In this article we will carefully look at the pros, cons and risks involved in Home Storage Gold IRA.
Due to the recent financial uncertainty, so many people especially investors are looking to have a large number of investments in precious metals. This is by far a more secure and reliable investment to make.
Having a 401k or existing IRA account, you will need to put some capital into gold, this way you will definitely protect your wealth over the terrible effect of inflation.
It is known already that stock prices fall and rise drastically and that is no good news to your funds. Having your funds put into a gold investment is a better choice because gold will retain its value irrespective of any inflation.
The top investors always recommend adding gold to your portfolio. There is a great reason for that. Remember the financial crisis which occurred in 2008, this 2020 is no different. Save your wealth and prevent the effect of inflations on your finance.
Unbiased Truth About the Home Storage Gold IRA
There are lots of information today on the internet and that can cost you a whole lot of trouble. You have to be selective when consuming your information you see on the internet lately.
Nevertheless, we try our best to update our readers on the most current information they need in our best possible way. Most people talk about the ‘Home Storage Gold IRA’ but fail to give a complete detail about that.
We will try to cover all you need to know in this post. Having a Home Storage IRA is a completely legal and legitimate activity. However, this will not bring a good amount of investment for most investors, but in other words bring a large amount of risk.
We prepared a guide that will help you in every possible way from basic to professional level so you do not get tricked by any misleading information. To know more about this guide, simply download our free gold IRA investment guide.
Can My Gold IRA be Stored at Home?
Having the ability to store your Gold in the comfort off your home is so attractive, and many people will prefer this option. But it is not as easy as it looks.
There are so many things that needs to be done and honestly home storage is not a good fit for an investor.
However, you will need to setup an LLC, then have complete control of the transactions into the IRA or out of the IRA, using your checkbook IRA account.
It is crucial that you note that, you cannot just form an LLC, purchase some precious metals such as gold, silver then store it in your home, may be at the cupboard or a fireproof safe.
In addition to so many other requirements, you must store the precious metal in a well protected area such as a safe deposit box, having your LLC name. Taking full possession of the metal, simply looks like a distribution to the IRS and warrants a tax fee, because it looks just as if the money was pulled out of your IRA account.
As I said earlier, the self-storage is totally not a good idea. Nevertheless you can easily get all these sorted out, without any issue or stress about you worrying where your gold is been kept. To get in touch with a standard company we trust, to deliver at high efficiency, just click here.
The Costs Associated with a Home Storage Gold IRA?
The internet has so many informations and It is so important you try to pic the best and most accurate on how to improve your IRA account, especially when it comes to buying gold and silver.
Getting started with a home storage IRA involves some important requirements, which include things lime creating a limited liability company (LLC), having a net worth of over $250,000 after incorporation, having a corporate legal counsel and having a detailed annual review.
Chances of undergoing an IRS audit are likely increased, and you can be charged by various fines when discovered you are not in compliance with the terms governing home storage.
Can I get a Much Better Liquidity with Home Storage Gold IRA?
So many people think they will get a better return on investment doing it in this manner, but to be honest, you on behalf of the LLC, you will have to ship the metal back to the dealer or get to look for a buyer at any local pawn shop who is interested in the purchase.
It is good to know that the local coin brokers and pawnshops typically charge incredibly large high liquidation fees that will really have a negative effect on your profit.
Secondly, you will have to mail the metals to the new firm who is interested in the purchase and that can really be expensive and you will still pay for insurance for the metals during delivery.
However, there are traditional depositories and approved custodians who can buy metals immediately from you on the same day and fund you within 3 business days.
The Pros of Home Storage Gold IRA
- You can get to see your precious metal such as gold everytime and whenever you want to look at it.
- You get to keep your metal where you feel is safe for it.
- You can have your metal at your reach when you need it.
- You can get nice deals and sell for better profits depending on your skill of marketing.
The Cons of Home Storage Gold IRA
- You will need to start am LLC and that will cost a lot of time and money.
- You will also need to maintain the LLC according to the appropriate rules and regulations of your home state.
- You will also adhere to the necessary fees involved in owing an LLC.
- There will be a regular paper work or annual reports you will have to fill on a regular basis.
However, with a self-directed custodian, you will not worry about any work to do and have all your paperwork directly handed to you, which is so convenient.
Final Words and Recommendations
Having a Home Storage IRA is legal and a legitimate option. However, in our option and many experts and other top investors, the risks on a Home Storage IRA is much greater than its benefits.
You will have to set up an LLC, then find and specify a secure place for the precious metals since you can not keep them in your home, then report to the IRS and take full responsibility for regular compliance to the rules and regulations.
To prevent all the stress and also getting the best out of your investment, it is best you pick a trusted custodian firm like the Augusta Assets, who will walk you through from start to finish.
Augusta Assets will setup your account for you, give you their analysis on the best precious metals to pick (if you have yours, you can pick it instantly), then store your bullion in an IRS-certified depository built to provide an insured, guarded protection for their precious metals.
This is a more convenient way, less expensive and totally less risky. In our opinion this is the best way to go.