Gold 401k Rollover Guide

By on May 20, 2016
gold-401k-rollover

An increasing number of people who maintain a 401K retirement account are considering the idea of a gold 401K rollover. Retirement savings are best placed with investments in a relatively safer and consistently growing precious metal such as gold. The good part is that it is possible to invest in gold with a 401K.

However, the requirement is that you must convert your existing traditional 401K retirement account into a gold 401K account.

You can seek the guidance and services of a reputed gold dealer company such as Regal Assets to make this rollover of your account. It is a fairly simple procedure, and you will not have to incur any new taxes to open a gold 401K rollover account. When you open the new account, you can not only invest in gold, but also in other precious metals. Many account holders like to diversify their 401K investment portfolio with additional investments in silver.

POSSESSION OF GOLD

When you set up a gold 401K account, it allows you to make investments in gold, but you are not allowed to receive the physical possession of gold bullion or gold coins. When you invest in a gold 401K, your investment is stored in a secure and recognized depository of precious metals.

Once the account has been opened, you will receive updates with respect to your investment and its current market value every six months. You are free to sell off your gold investment at any point of time, just like a regular 401K or IRA account. However, you may be charged a fee because you are making an earlier than scheduled sale.

EXISTING INVESTMENTS IN 401K

When you opt for a gold 401K rollover, you do not need to beconcerned about your existing investments in your original account. The rollover process does not affect your investments in any way. There is no need to liquidate the investments during a rollover of 401K. However, it is still important to evaluate all details of the new gold 401K plan before going ahead with it.

Your new gold 401K plan may not have the same kind of flexibility over investments as your existing plan. If you find that your choices are very limited, you may also consider a 401K rollover to an IRA. This option is permitted during the rollover period.

ADVANTAGES OF A GOLD 401K

You should seek the guidance and consultation from a top gold dealer such as Regal Assets to learn about the best possible range of investment options available for your retirement account. Your existing 401K allows you to invest in your future at your own terms, so it is worthwhile to learn about all the options for investment, and choose the one that suits your needs in the best possible way.

Retirement savings are not just about investments in mutual funds, stocks, and bonds. Investments in gold and gold bullion coins or trading in gold may prove to be more beneficial in the long run. In recent years, people who invested in a Gold IRA account have been able to earn significantly better returns compared to those who invested in other stock market instruments.