Silver IRA

By Tim Schmidt - UPDATED: January 15, 2025

Disclaimer: Some or all of the companies listed on this page provide compensation to us. This is how we maintain our free service for consumers that visit us. Compensation & hard research determine where and how companies appear below.

Saving up enough money to retire comfortably is a dream many Americans share. However, at some point, simply keeping money in the bank will no longer be the ideal solution. With inflation being so unpredictable, you do not want to risk waking up one day to find that your nest egg is gone.

This is where finding the right investments to add to your retirement portfolio becomes important. Many people choose to invest in various paper assets, such as mutual funds, stocks, and bonds. While these are great alternatives, they still fall short when it comes to safeguarding your money in such a volatile economy.

There is a better way to hedge against inflation, which many people are increasingly becoming aware of. Have you ever thought of investing in silver bullion and other precious metals? If not, maybe today is the right time to learn about how you can open a self-directed IRA based on physical silver assets.

With the right precious metals dealer, you can get access to loads of silver coins or bars of the right quality to include in your individual retirement account. In this article, you will learn about the best way to add silver to your retirement portfolio. We have also compiled a short list of some of the most highly rated companies to take charge of your diversified savings account.

What Are Silver IRAs?

A silver IRA can best be described as a self-directed individual retirement account whose value is based on the precious metals it holds. In this case, the retirement savings account's value will be linked to the silver prices in the global markets.

Similar to Roth and traditional IRAs, silver IRAs have many advantages that the account holders can enjoy with regard to things such as taxable income. If, for example, the account is structured like a traditional IRA, it means the portfolio will grow tax-deferred and only become taxable when withdrawals are made.

Silver assets that are held in a silver IRA can be in the form of bullion coins, bars, or collectible coins. The important thing is that they meet the strict rules on purity and origin set by the IRS. Silver bullion has to be at least 99,9% pure to be eligible.

What Is a Silver Roth IRA?

One of the most popular ways of structuring a silver IRA is in the form of a self-directed Roth IRA. This type of account relies on silver's ability to resist inflation and other global economic downturns. As with any other self-directed IRA, a silver Roth IRA gives the account holder a lot of control regarding the asset management of the portfolio.

While all contributions made to such silver IRAs are taxed, future withdrawals can be made tax-free. The investors are free to enjoy a diversified portfolio that includes stocks, bonds, and mutual funds. This is something that will not be possible with a traditional IRA.

In 2024, any investor younger than 50 years can contribute a maximum of $7,000 per year to their silver IRA. The contribution limit is increased to $8,000 for those over 50 years old. This extra $1,000 is referred to as a catch-up contribution for those who switched to silver IRAs later on in their lives.

There are other factors that affect the contribution limits for Roth silver IRAs, such as your filing status (married or single), income, and the amount you contribute to traditional IRAs and retirement account portfolios.

How to Open a Silver IRA

To be eligible for a silver IRA and invest in gold, silver, platinum, palladium, and other precious metals, you need to be making contributions to at least one other traditional IRA already.

However, the total contributions you make to all your retirement savings accounts must not exceed the contribution limits for the current year.

To begin investing in silver and other precious metals is an easy process. All you need is to take the following steps:

Choose a Custodian

The right precious metals dealer or custodian is the key to a healthy retirement savings portfolio. A lot of research is required if you want to find a company that will guide you to making a good investment while offering competitive pricing.

If you go online, many companies can help you invest in silver IRAs, but not all of them are best suited to assist you in reaching your financial goals. It is important to consider what other investors have to say about a particular custodian before making your choice.

Fund the Account

You will need funds to purchase the precious metals that you want. Considering the spot prices of silver coins and bullion bars, the minimum investment to your precious metals Roth IRA will have to be a sizeable one.

One of the best ways to fund your silver IRA is to have the money rolled over from your current IRA. This is a process that is easy to do, especially with the right custodian, and offers many advantages to the investor.

Select Precious Metals

After the account has been funded, it will be time to choose the precious metals you want to invest in. Here, you will have to consider many factors, such as silver prices, industrial demand, market volatility, and your long-term financial goals.

Silver IRA Rollovers

Funds can be quickly rolled over from an existing individual retirement savings account to your silver IRA. However, there are a few IRS rules that you will need to remember, such as:

• Funds are not allowed to sit in your account for more than 60 days from the day they are rolled over from the existing IRA.
• Only one rollover is allowed per year.
• Funds rolled over to a Roth IRA are taxable.
• You can be slapped with stiff penalties of up to 10% for breaching rollover rules and regulations.

Who Should Invest in Silver IRAs?

Annual income is one of the main limiting factors that determine whether a person can invest in a silver IRA or not. In general, to invest in a silver Roth IRA, you need to be earning at least $31,000 per year to be eligible, or $63,000 if you are filing jointly as a married couple.

Those who earn less than this amount will have to consider other options, such as opening a traditional IRA when the money they have saved up in the bank reaches $6,000.

Why Invest in Silver and Other Precious Metals?

Investing in a silver IRA or any other precious metals, such as gold, platinum, and palladium, is something everyone should seriously consider in times of market volatility and sudden economic downturns.

One of the biggest benefits of keeping your money stored in the form of physical silver assets is that it is a very strong hedge against inflation. Historically, whenever stocks, bonds, mutual funds, and other paper assets are taking a hit on the market, investments based on precious metals tend to do very well.

Also, you can always count on the sustained industrial demand for silver as technology continues to advance. It is a very important raw material in medicine, jewelry design, and information technology, so you can rest assured that offloading your silver coins or bullion bars will never be a problem.

However, you need to remember that you will not be able to enjoy any capital gains on your silver bullion or collectible coins as you would with stocks and mutual funds. You are also not allowed to keep the precious metals in your silver IRA anywhere other than an IRS-approved depository.

Having said that, as far as long-term savings are concerned, you cannot go wrong with a silver IRA investment. It is one of the few assets that can be backed to grow significantly over many years, making it a great choice for a retirement account.

Choosing the Best Silver IRA Custodian

Usually, the success and growth of your silver IRA portfolio largely depend on your choice of IRA custodian. With so many options to choose from, it is important to know how to pick the right one for your needs.

As such, consider the following factors:

Reputation

The reputation of your chosen IRA custodian says a lot about the kind of experience other investors have had when dealing with it. As such, you need to carefully go through any reviews you find on reputable platforms, such as the Better Business Bureau or Business Consumer Alliance.

Some companies will try to take advantage of the lack of knowledge of new investors, and these are the types of custodians you will want to avoid. To make life easier for you, we will briefly discuss three great companies that you can consider for your silver IRA.

Experience

It takes many years for a company to gain the kind of experience that is needed to expertly handle silver IRA investment portfolios. If you are not very knowledgeable about the industry you are about to step into, you should at least make sure that your custodian has what it takes to guide you.

Always go for companies that provide a lot of educational resources to investors who want to make informed decisions about their financial futures. There are many pros and cons to investing in precious metals, and the right silver IRA custodian can help you make good choices every step of the way.

Legitimacy

Finally, you need to ensure that the company you choose is legitimate. The US Securities and Exchange Commission is always on the lookout for untrustworthy gold dealers looking to scam investors, and you should avoid these companies at all costs.

Take time to research the company's background and find out whether other investors have had good dealings with it in the past. Anything to do with precious metals attracts a lot of fraudulent and criminal activity, so verifying the legitimacy of the custodian is an important first step before transferring any money.

Three Awesome Recommendations for Your Retirement Savings Account

If you are wondering which silver IRA company you need to consider for your investments, the following three are great options and you can find my full reviews of each company below:

• Goldco (Full Review)
• Augusta Precious Metals Review
• American Hartford Gold Reviews

We chose these three options after an extensive search that revealed that they had the following advantages and disadvantages:

Pros

• Highly experienced in silver IRAs with many years in the industry
• Offer personalized advice to investors looking for a diversified portfolio
• Fast, secure, and free wire transfers for the deposit
• Fully licensed by the US government
• Wide range of investment options and plenty of precious metals to choose from
• Transparent and easy-to-understand buyback programs that allow investors to change their minds when needed
• Allow investors to open multiple accounts for even more diversification

Cons

• Some limitations when it comes to the selection of silver coins and bars

Goldco

If you are a new investor looking for a custodian to guide you through all the steps involved in diversifying your portfolio, Goldco is one of the best options to consider. The company has a great history of offering good customer service to its investors, which means your account will be well looked after.

Goldco also has the best customer reviews online, which is a sign that the company has many satisfied investors on its books. If you go on the Better Business Bureau, you will see that no other precious metals custodian has a higher rating than Goldco.

The company's website offers easy access to a wide range of educational resources, which is something any new investor would need. Before committing, Goldco has a policy of encouraging investors to speak to a financial advisor first to get an idea of the investment they are about to undertake.

Even after you have transferred your money and made your first purchases, Goldco has highly transparent payback plans that you can take advantage of in case you change your mind. This is why it has grown into one of the most trusted companies in the industry.

Augusta Precious Metals

Another great option to consider is Augusta Precious Metals. It is one of the most well-known players in the silver IRA sector and has an extensive track record of helping investors reach their financial goals. The custodian offers a wide range of products to choose from to help you diversify your portfolio in the best way possible.

Over the years, many customers have successfully opened retirement accounts with Augusta Precious Metals, and its reputation has grown steadily. Customer funds are handled as efficiently as possible, ensuring that you get the most out of every cent you choose to invest.

Together with Goldco, Augusta Precious Metals holds the highest ratings on the Better Business Bureau, which is enough to satisfy most investors of its legitimacy. Compared to many other companies in the industry, the company offers one of the most competitive pricing structures for its products, which means you get a lot more from your investments.

American Hartford Gold

The last company on this list is American Hartford Gold, a company whose name has become synonymous with trustworthiness and reliability. This company offers top-notch customer service, which allows investors to enjoy personalized attention when they choose products.

American Hartford Gold also has very high ratings on the Better Business Bureau, which is a sign of its competence and commitment to helping investors make good investments. The company has a strong panel of analysts who are ready to help you secure your financial future through sound investment decisions.

With each investor often coming in with varying financial means, American Hartford Gold provides a flexible and easy-to-understand payback plan that caters to everyone. As long as you can meet the minimum investment required by the company, this can be a good place to start your silver IRA journey.

Take Control of Your Retirement Plans Using a Silver IRA Today

Working a regular 9-5 job and earning a fixed and taxable income makes it difficult for many people to invest adequately to enjoy a comfortable retirement. However, buying gold and silver can be the perfect option for those looking for a long-term investment.

With a silver Roth IRA, you can invest in coins and bullion bars that will continue to increase in value with each passing year. By the time you retire, you can have a very good-looking nest egg and enjoy tax-free withdrawals anytime you need some money.