Today’s economic climate isn’t very conducive to a thriving US economy. At best, the US will recover slowly but surely after a coronavirus vaccine is fully developed. This will likely take months or more. At worst, the economic devastation will linger for years after the coronavirus is no longer a threat.
What does this have to do with investing in a gold IRA? It’s a huge development if you ask me. And you would know how huge it was too if you paid attention to the gold market.
In the past two years, gold has gained anywhere from $500-$800 an ounce in value. The investment fluctuates so it’s hard to pinpoint an exact number. But it’s been on a tear lately.
Do you want to know why? It’s rising in value because the US economy – and economies around the world – is falling apart. Investors are tired of losing on the stock market. And worse, they’re tired of the value of the US dollar diminishing month after month during this economic crisis.
That’s how gold entered the picture for many investors. And it’s likely why you’re interested in gold too. Before you invest in a gold IRA, there are some things you should consider to help make your mind up.
A Gold IRA Delivers Tremendous Tax Breaks & Advantages
When I buy gold, I only purchase it through a gold IRA. I love beating the IRS at their own game every step of the way! I have no interest in paying additional taxes and I love any opportunity to avoid paying as much tax at all costs. How about you?
Opening a self-directed IRA a.k.a. a gold IRA provides tax advantages that you can’t get with other investments. That’s why it’s critical to take full advantage of these opportunities and maximize your contributions whenever possible. This will help set you up for retirement in a big way once you reach that time in your life.
The biggest tax benefits of initiating a gold IRA rollover include the following:
- Tax-deferred investing is one of two potential realities. You can continue to add to your retirement account with pretax dollars. This means you’ll likely put more money aside in your precious metals IRA for investing purposes. You can grow your account quicker, which will ultimately lead to larger gains over the long term. This investing strategy is loved by many people. They can forgo paying taxes on part of their income until retirement age comes knocking at their door.
- Take advantage of this tax-free investing opportunity. You can also set up your account in a way that delivers tax-free investing. Some people would rather pay their taxes upfront and accumulate tax-free wealth. This is also possible within a gold IRA account. Just mention it to your IRA custodian during the account creation process. He or she will hook you up with the perfect setup. Under this setup, you’ll earn big returns and keep all of it to use however you please during retirement.
- Lower your adjusted gross income by contributing to your gold IRA account each year. This is an excellent opportunity to pay less taxes when you open a tax-deferred account. For example, if you earn $75,000 during a tax year and contribute $6000 to your IRA, your adjusted gross income is $69,000. You’ll only pay income taxes on the adjusted amount until you begin taking distributions much later in retirement.
- Make yearly contributions past retirement age. You can contribute to this account until you turn 70 ½ years old. Typical retirement accounts force you to stop contributing at 65 years old. With this account, you gain an additional 5 ½ years of tax-free or tax-deferred investment growth.
Working with a reputable gold IRA broker is of the utmost importance. Spend time learning about the top gold IRA companies doing business today to experience the best results. You’ll save money every year and discover valuable information from the intelligent people that work at the best companies. Use this resource as often as possible to expand your investing knowledge base.
Physical Gold is Tangible
Why is owning a tangible asset so important? From my perspective, I think this investment is critical because the worst could happen when you least expect it. This is certainly true during times of political upheaval like the situation in the United States right now. The current president is contesting the results of the election that claim he lost. The projected president-elect is worried that there will not be a smooth transfer of power.
President Trump has an ax to grind with the Democrats because it appears that they may have stolen the election. There are countless acts of election fraud that need to be investigated. But from the way things are shaking out, it doesn’t look like Trump is getting the support he’ll need to overturn the result. Many are worried that he will take drastic measures to secure the office of the president of the United States.
If aggressive political upheaval takes place, the US economy could completely fall apart. The US dollar will lose most or all of its value. And all of the dollars you’ve accumulated could potentially become worthless. Are you willing to take that chance? Are you willing to keep your family at risk during a global pandemic?
Owning physical gold means you are financially safe and protected. It means that you have ways and means of paying for goods and services all over the world. Gold is never going to go out of fashion. Countries will always accept this form of legal tender. Having it available right now is of the utmost importance.
It doesn’t take a rocket scientist to see the value of investing through a gold IRA. This opportunity doesn’t come along every day. The world doesn’t experience a global pandemic too often that will cause the price of gold to keep rising higher. But it’s happening right now. And you’re going to miss out on a tremendous opportunity if you continue sitting on the sidelines.