Can I Buy Gold With a Roth IRA?

Before considering adding physical gold to your IRA, it’s essential to first evaluate your retirement goals and see if this type of investment matches with them.

Step one in investing in precious metals via self-directed IRA is to select an approved custodian. Usually this means finding a brokerage or bank that offers these accounts.


Gold is an increasingly popular investment option for retirement accounts. This yellow metal has long been recognized for its ability to preserve purchasing power during times of economic instability, serving as a hedge against inflationary effects and providing protection from its diminishing purchasing power.

Though physical gold coins or bars can be purchased directly through traditional IRAs, self-directed IRAs provide greater options. This is due to IRS restrictions preventing certain items such as life insurance policies or stock of an S-corp from being included within an IRA; additionally some forms of gold could fall under collectible category and thus violate this rule.

There are various companies offering gold IRAs, each offering its own services and fees. While some charge an upfront setup fee, others charge ongoing custodian fees or require bullion storage fees as part of their contracts.


Gold can be an appealing investment option for Roth IRAs as it serves as a hedge against inflation and provides security during times of economic instability or geopolitical conflict. Before considering investing in one however, it’s essential that one understands all risks and costs involved – the main one being storage and insurance fees which can add up over time.

There are ways to bypass these fees, however. You could invest in exchange-traded funds that hold gold futures or invest in mining companies; you could roll over funding from another retirement account into a gold IRA and avoid taxes and penalties; this requires careful planning in order not to miss your rollover deadline; additionally, finding an organization capable of handling this transaction must also be researched prior to selecting an IRA provider.


One way to access gold without opening a physical-gold IRA is through exchange-traded funds (ETFs) that invest in either gold itself or companies associated with it. But if you wish to hold actual physical gold itself, a self-directed IRA that permits precious metals is necessary.

Self-directed IRAs can be used to hold various alternative investments, including physical gold which must be stored at an approved depository that meets purity and security requirements. Just like traditional pre-tax or Roth IRAs, self-directed IRAs allow contributions in cash or rollover funds from another retirement account.

As well as safeguarding your physical gold, an excellent custodian will also ensure its accurate valuation. They’ll handle the reporting to the IRS as well as reporting obligations. When selecting a custodian, ensure they possess all of the required credentials including licenses and insurance.


Although investing in gold can provide some protection from inflation, precious metals lack the diversification needed for creating a balanced retirement portfolio. Furthermore, an IRA that holds only precious metals would not generate income and therefore would not qualify as an adequate hedge against inflation.

Purchase physical gold through a Roth IRA is possible via self-directed IRA, however this account comes with certain fees that you should expect. After an initial setup fee, there are also annual custodian and transaction fees that depend on both price of gold as well as storage costs.

As with regular IRAs, a regular Roth IRA can also be used to invest in gold; however, the IRS considers any collectibles purchased through it immediate distributions subject to taxes and penalties. But opening a “gold IRA” specifically designed to hold physical gold could help avoid these fees and penalties.

Raymond Banks Administrator
Raymond Banks is a published author in the commodity world. He has written extensively about gold and silver investments, and his work has been featured in some of the most respected financial journals in the industry. Raymond\\\'s expertise in the commodities market is highly sought-after, and he regularly delivers presentations on behalf of various investment firms. He is also a regular guest on financial news programmes, where he offers his expert insights into the latest commodity trends.

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