Many precious metals investors like the idea of using an Individual Retirement Account as means to save in precious metals. However, many are reluctant to do so because their metal is being held by someone else.
What if I told you that you could fund an IRA with precious metals and keep them at home?
The IRA LLC is a treasure to the precious metals community and few even know it exists. The structure allows the individual to take physical, at-home, possession of Gold and Silver Eagle Coins with IRA funds and it is not a taxable distribution. The metal does not have to be held at a depository and can be purchased from the dealer of your choice.
For those that have considered cashing out their IRAs or 401ks thus paying taxes and penalties, this can be a much cheaper alternative to physically holding precious metals.
It is also important to know the structure has been challenged and upheld in court numerous times, and the IRS ultimately released a field advisory statement in April 2001 stating it would no longer challenge the legitimacy of the IRA LLC structure.
Perhaps the little known nature of this concept is a good thing. Even most experts in the field of precious metals don’t know about it. Most hard money advocates hear the words IRA and metals and immediately assume involvement of a third party storage trustee. We have been conditioned to believe that we cannot hold our IRA assets, that we are not in control and that we must rely on brokers, bankers, and storage depositories. This is not true.