Deciding to invest in gold bullion bars is an easy choice to make right now. Why? It’s simply one of the best ways to protect your portfolio during tough economic times. You may not see it right now if your livelihood hasn’t suffered from the pandemic. But make no mistakes about it. The economy is in for a rough ride the next few years as we overcome the fallout from the coronavirus.
How so? One example is cold and flu season is upon us once again, or it’s nearly here. Viruses like the coronavirus spread like wildfire during the cold weather month conditions. The first holiday travel sanctions are already taking place.
Mayor DiBlasio in New York City – the financial capital of the world – has quarantine restrictions in place for 41 of the 50 states in the US. How many people will travel to New York City this holiday season under these conditions? Not many. This will harm restaurant commerce, holiday shopping, and much more.
The worst the economy gets, the more enticing gold bullion bars become. Because during economic crises like this one, the value of gold tends to rise like gangbusters. It’s already on the move and it’s poised to become more valuable as the crisis continues.
The best way to invest in gold bullion bars is through a precious metals IRA account. Why? Some of the biggest reasons include the following:
7 Reasons to Add Gold Bullion Bars to Your Gold IRA Account
- The historical value of gold not only maintains its worth, but it increases as time passes.
- Investing in gold is a great way to hedge your portfolio against inflation. The additional value acquired throughout the years provides supplementary purchasing power during your retirement years. On average, inflation rises roughly 3% per year. You’ll need the additional capital to live comfortably when you get older.
- Gold investments are the perfect option to diversify your precious metals IRA portfolio. It’s an added way to grow your portfolio besides traditional stocks and bonds.
- Supply constraints are a big reason why gold is in such high demand. The gold supply is diminishing overall, which makes investing in gold bars even more lucrative.
- The demand for gold has increased tenfold throughout the years. Major countries like Russia and China buy hundreds of tons of gold per year. This increases its value by increasing demand.
- Geopolitical uncertainty is running rampant throughout the world right now. Not only are major elections taking place throughout the globe, but the politicians aren’t getting along as usual. This creates volatility in the marketplace.
- The US dollar is weak. It will continue to get even weaker as the Federal Reserve prints more money to prop up the economy. This bodes well for growing a healthy gold IRA account.
By adding gold to your precious metal IRA account, you’ll bypass some of the pitfalls that other future retirees experience. You won’t have to worry about losing all of the value in your retirement account during a recession. You’ll know that your gold, silver, platinum, and palladium investments are working hard on your behalf.
Remember to always purchase gold bullion bars through a reputable IRA company. Learn about my top 10 favorite choices by reading my detailed review of my favorite companies in this space.
Why Should I Purchase Gold Bullion Bars?
As an investor, you need an edge to keep your retirement portfolio growing during all economic environments. You need to focus on investing in gold bullion bars because they’ll experience price appreciation during down economies. On the other hand, they still continue to rise in value during a soaring economy as well. So, it’s the kind of investment that’ll make it possible to make money in an up or down market.
As you can imagine, there are many other reasons why you should invest in gold bullion bars. Besides the fantastic price appreciation, you should consider opening a precious metals IRA for the following reasons:
- Gold bullion bars are a physical asset. You want to own physical currency over digital currency as often as possible. Why? If things really get bad, owning gold can come in very handy when times get difficult. Gold is accepted as legal tender all throughout the world. Paper money, on the other hand, can become virtually worthless if people lose faith and trust in the government that backs it. Cryptocurrency is the only digital currency you can trust because it’s autonomous and free from governmental manipulation. By investing in physical gold bullion bars, you are investing in your future during good and bad times.
- Gold bullion bars are liquid assets. Everyone wants to get their hands on gold because of its intrinsic value. So, it’s easy to sell gold for the current fair market price if the time comes to make this decision. Precious metals brokers also have buyback programs in place for this very reason. They are always willing to repurchase gold bullion bars from their customers when they need to sell them. And the best companies are always willing to pay fair market value and provide payment within 24 to 48 hours.
- Gold bullion bars are a confidential investment. Nobody ever needs to know that you privately own gold bullion in your precious metals IRA. You can completely remain anonymous as an investor. It’s impossible to remain anonymous from the IRS though. You’ll potentially have to pay taxes if you have a tax-deferred IRA account. But other than the Internal Revenue Service, you can keep your investments safe, confidential, and away from prying eyes.
- Gold bullion bars are impossible to hack. But your bank account is certainly vulnerable to hackers. They can digitally steal your money in the blink of an eye if they want to. But nobody is going to run off with your physical gold bullion bars. On the contrary, they’ll have to break into a highly secure depository to get their hands on your investment. Guess what? They’ll find it nearly impossible to break into a Brinks or Delaware Depository vault. So, you can sleep soundly at night knowing that your investments are protected.
To learn more about the top gold IRA companies doing business today, please click here to read my review article.
Experience Unique & Favorable Tax Advantages with a Precious Metals IRA Account
Gold IRA account holders have the option to take advantage of various tax benefits. But the benefits that you’ll receive depend on the way you set up your IRA account in the beginning. You will have big benefits nonetheless, and the most important things to seriously consider include:
- You’ll get to lower your gross adjusted income each year. By making yearly contributions into your IRA account, you’ll pay less taxes on your overall yearly income. If you make $60,000 during a tax year, and you contribute $6000 to your IRA account, you’ll only pay taxes on $54,000. But this is only true if you set up a tax-deferred IRA account.
- You’ll earn tax-deferred savings to beef up your retirement funds. This makes it possible to deposit even more money into your IRA account before the IRS takes out taxes. For some people, this is incredibly important because it allows them to make the maximum contribution each year.
- You’ll earn tax-free savings in your retirement account. This is a huge boon to anyone who doesn’t want to pay taxes on their earnings and distributions. You’ll pay the taxes upfront on the funds that you deposit into this account. So, when it comes time to take distributions, you’ll receive the proceeds of your investments tax-free.
- You can continue adding funds to your precious metals IRA account until 70 ½ years old. Most retirement accounts cut you off at 65 years old. But with this account, you can gain an additional 5 ½ years of solid investing and retirement account growth.
- You’ll pay the marginal tax rate on tax-deferred investments. This is a huge benefit because you won’t have to pay major taxes or capital gains taxes like other investments. Paying the marginal tax rate means saving big bucks that you’ll put in your pocket to enjoy during your retirement.
Are you ready to finally learn more about opening a gold IRA account? The first step is choosing a reputable gold broker to help you get started. I’ve made this easier than ever by reviewing the top 10 gold IRA companies in business today. There are potentially hundreds of companies to choose from. But I narrowed it down to the 10-best using my seven critical factors formula. Click here to read my top 10 reviews to make it easier to make your ultimate choice.
Most people are excited to get started opening a gold IRA account after reading this type of information. They truly see the power of this investment strategy. They realize just how successful they can become purchasing gold bullion bars for their retirement. Are you one of the intelligent few who sees the value in this investment approach?
Take a moment to consider your options because this is a big step toward securing your retirement future. You only want to do business with the best and brightest IRA brokers in business today. To quickly find out about the top 10 companies, please click here to read my thorough review.
Hi and thanks for sharing this and explaining all the benefits of opening an IRA account for precious metals including gold. I have received a great many emails in the last months advertising gold purchases and gold funds. But when I look at the market, the price of gold has not done so well since about August last year and has been on a downtrend since then. Do you have any idea when the gold price is likely to turn around? I have a position in GLD, and ETF that tracks the gold price and though it is thankfully at a higher price than it was when I bought it, it has steadily declined since last summer. Thanks, Andy
Hello Andy! Just like any other asset, gold will have its downswings but that is why I recommend it for the long-term because in the long run the value of gold has risen in value over history and is predicted to continue to do so. It has risen in value in the recent decades and centuries and a decline in value in a short period of time is not something to be discouraged about. I hope you will continue to hold on to your assets and know that it is for good in the long run. Thank you for the inquiry and I wish you the best on your investment journey!
Thank you for this article and for explaining in-depth all the benefits of opening an IRA account, personally, I believe very strongly in investing in Real Estate, especially to generate a passive income. I have always been fascinated by the fact of investing in gold and I do believe in the long run it will be beneficial, investing gold can definitely tailor a handsome retirement package, I enjoyed this article, a great read.
Hello Jean! Real estate is another asset you can have in a self-directed IRA. I’m glad my article got you thinking of adding gold to your portfolio – that would be a great move! Thank you for sharing your experience and feedback with us!
Hello there! I have not really considered adding gold bullion bars to a IRA account before. I guess because I am nowhere near retirement just yet but after reading your article, you listed 7 great reasons why one should do so. Especially during difficult economic times, one should really find any opportunities to support oneself financially and this is one of them. Thanks for creating this article!
Hello Mike! I’m glad I got you interested in investing in gold bullion for retirement! Thank you for the feedback and the compliments!
I wasn’t really into all this business, but now slowly opening up to them and considering joing or starting with a company related in this investing platform.
I haven’t heard of gold bullion bars but after reading through this I have gained enough information to learn also why you should start investing, so thanks for that!
Hello Sariyah and you’re welcome! It’s great to be able to introduce you to gold bullion investing. I wish you the best on your investment journey and thank you for the feedback and compliments!
Very interesting article. In these uncertain times it is crucial to secure future of ourselves and our families in wise manner. I was looking into many options, including real estate, cryptocurrency and investment funds but to be fair I haven’t thought before about gold. But looking on your review this is perfect investment to allocate at least part of capital. Regal Assets looks promising, and Im looking forward to test their offer in practice.
Hello Cogito! A self-directed IRA can contain all of the mentioned assets including gold. You should definitely try out Regal Assets or some of the other companies mentioned in my top 10 list. Thank you for the feedback, Cogito!