BUYING BULLION FOR A SILVER IRA

Silver, gold and other precious metals have been popular for centuries. The value of these metals has risen over time and continues to this day. Since the deregulation of gold in 1971, the values of such metals have continued to grow very rapidly. Recent acts by the IRS have allowed the addition of precious metals to Individual Retirement Accounts. This means that investors can buy Silver IRAs that provide the same tax benefits as paper-backed retirement accounts, but offering the security of silver instead.

Many people make reference to the Gold Standard, a time when each printed paper dollar was backed by gold held by the government. They may not realize that the Silver Standard was the first to be adopted by the U.S. back in 1785. Hoarding of silver by other nations lead to the U.S. adoption of the Gold Standard.

Silver is considered second in value only to gold. As gold continues to rise in value, silver does likewise. These metals provide the investor a hedge against inflation as well as protection in the event of stock market crashes. The newer ruling by the IRS made it possible to convert from paper assets to precious metals by buying bullion for a Silver IRA.

These changes in IRS rules allow investors to convert their former retirement plans or 401k plans into new Silver IRAs. These accounts are known as self-directed accounts. This type of account is under the control of the investor and can hold silver, gold and other investments. A self-directed account allows an individual to have control over physical investments that include silver bullion.

Investors should be aware of the rules permitting only certain types of silver in their account. The approved metals for these accounts include limited types of coins and bars, such as the American Silver Eagle, the 10 oz Pamp Suisse bar and the 100 oz Johnson Matthey bar. If you are thinking of buying bullion for a Silver IRA, the IRS website lists all of the specific types that are allowed. Before making a purchase, investors should consult this listing to ensure that the coins or bars they are buying are approved ones.

One of the greatest benefits of adding silver to one’s portfolio is the hedge against depreciation. In addition, silver is one metal that can be used to provide diversification to protect one’s wealth against turbulent economics or inflation. To further diversify, the investor may want to consider adding gold bars or coins.

Silver, gold and other rare metals have been found in the tombs of the Pharaohs. These metals have long been used as coins and to back many paper investments. The value of such metals can never be altered by the government or a central bank. This means that citizens will not see a devaluation of their investment, as is possible with paper investments. The performance of silver over the past thousands of years show it to provide a safe investment even when the economy is uncertain. A Silver IRA or a Silver 401k offers an outstanding investment that protects one’s financial future. With such investments, the golden years can be lined with silver.