Investing in a gold IRA typically includes:
- Setup Fees
- Storage and Maintenance Fees
- Miscellaneous Fees
However, there are other fees, such as the cost of precious metals, management fees, and many more.
In this article, we will look into the different fees you’ll be encountering when you invest in a gold IRA. We’ll also review the top companies and list down the pros and cons of each firm.
Gold IRA Fees
storage and maintenance
Minimum initial investment
$50 to $150
$50 to $300
Around $40 per transaction
$10,000 to $50,000
Account Setup Fees
Applying for a gold IRA costs around $50 on average, but fees usually vary depending on your gold IRA company. Setting up typically includes:
- Processing and filing of necessary documents.
- Transferring funds into your gold IRA account, usually from an existing regular IRA or a 401k. This is called a rollover.
- Selecting your precious physical metals.
Expect to pay up to $150, since companies often include extra steps and processes. Some companies also waive the initial setup fee if you deposit a large sum of money on the first contribution.
Storage and Maintenance Fees
Hiring a custodian or depository to store and manage your gold typically ranges around $50 to $300 annually, but this usually varies from company to company.
Upon paying for storage and maintenance fees, your custodian will take on several responsibilities for you. Here are some of them:
- Store and manage your assets for you.
- Maintain your assets and keep them pristine.
- Allow you to monitor your assets by keeping you updated.
- Issue and handle reports required by the IRS.
Normally, custodians charge a one-time payment to cover all expenses, but others demand a percentage from the investor’s assets instead.
Part of opening a gold investment entails having to pay several miscellaneous fees which are often unavoidable. An example of this is a wiring fee, which typically costs around $25.
A wiring fee is an amount paid for every wire transfer made from your account to either a gold IRA company, custodian, or depository.
Transaction Fees are fees charged by custodians for every sale or purchase an investor makes within a gold IRA. Fees for every transaction usually cost around $40 on average.
Spot Price Fees
Aside from being able to purchase precious physical metals through a gold IRA, investors can also pay additional fees to purchase bullion at a spot price.
Fees vary from dealer to dealer for spot prices on precious physical metals.
Minimum Initial Investments
Each company requires a minimum initial investment that investors must deposit upon opening an account. Initial investments are usually set at around $10,000 to $50,000 and vary from firm to firm.
Costs and Pricing of the Best Gold IRA Companies
Investing in a gold IRA requires working with a gold IRA company that suits your budget and meets your demands.
Here are reviews of some of the top precious metals IRA companies to help you determine the best company for your needs.
Goldco Precious Metals
According to timesunion.com, Goldco is the best gold IRA company of 2022. Goldco has been a leading provider in the precious metals market since 2006 and has served thousands of investors across the United States.
Starting an account with Goldco entails a setup fee of $50, a storage fee of around $100 to $150, and a maintenance fee of $80.
Pros and cons of working with Goldco include:
American Hartford Gold
Founded in 2015, American Hartford Gold is a family-owned investment company which is widely recognized as one of the best gold IRA firms in the country.
Starting an account with American Hartford Gold requires hiring a third-party gold IRA custodian who will store and manage your gold for you. However, investors are still required to pay fees for tracking and insurance, which costs around $180, with first year fees being waived.
American Hartford Gold is especially known for its efficiency and reliability in providing a quick and easy account opening process, as well as seamless transactions and fast precious metal deliveries.
Pros and cons of working with American Hartford Gold include:
Birch Gold Group
Birch Gold Group is a precious metals company that has been serving clients for over 20 years now. It is a company that prides itself in experience and knowledge. Starting an account with Birch Gold includes a one-time setup fee of $50, a storage fee of around $100, and a management fee of around $80.
The company has gained a reputation for helping clients and giving them the proper guidance in starting their gold IRA journey.
Birch Gold also ensures its clients are well-educated on the intricacies of the gold market by providing clients with a plethora of resources about gold, such as comprehensive guides to informative articles.
Pros and cons of working with Birch Gold Group include:
Advantage Gold was founded in 2014 and has been one of the top gold IRA companies in the industry. The company prides itself in having the fastest and most efficient IRA rollover process. Starting an account with Advantage Gold includes a one-time setup fee of $50, a storage fee of around $50 to $100 annually, and an annual account fee of $95 to $250.
The firm has established a reputation rooted in excellent customer service, integrity, and transparency. From the rollover to looking for a custodian, they have representatives that guide you through the entire IRA process.
The company also provides a variety of resources and tools to keep their clients informed and educated on everything they need to know about Gold IRAs.
Pros and cons of working with Advantage Gold include:
Augusta Precious Metals
Augusta Precious Metals has been serving clients and investors since 2012 and has garnered an image built on integrity. Starting an account with Augusta Precious Metal includes a one-time setup fee of $50, a storage fee of around $100, and a maintenance fee of around $100.
As a firm that is established on the principles of honesty and truthfulness, the company provides its customers with prices that are affordable and transparent.
Overall, Augusta Precious Metals is a reliable company, dedicated to ensuring that its investors are well-informed and educated before making any investment moves or financial decisions.
Pros and cons of working with Augusta Precious Metals include:
Oxford Gold Group
Oxford Gold Group is a precious metals company operating since 2018, and is owned and managed by industry veterans. Starting an account with Oxford Gold Group includes an annual fee of around $175 to $225 that covers setup fees, storage fees, maintenance fees, and other expenses.
Despite the company being relatively new compared to other IRA firms, Oxford Gold Group has already established itself as one of the leading distributors of precious metals in the United States.
The company prides itself in providing affordable investment options to investors all over the country, while ensuring excellent quality and superb customer service.
Pros and cons of working with Oxford Gold Group include:
Other top-notch gold IRA companies include:
- Noble Gold Investments
- Regal Asset
- Gold Alliance
- Patriot Gold Group
Clients can also purchase various kinds of American bullion and gold bullion, such as the Gold American Eagle coin, silver coins, and other precious metals.
Here are some of the best bullion providers in the country:
- JM Bullion
- SD Bullion
Some top rated IRA custodians include:
- Delaware Depository
- Goldstar Trust Company
- Strata Trust Company
Frequently Asked Questions About Gold IRAs
Final Thoughts: Are Gold IRA Fees Too Expensive?
Investing in a gold IRA requires a deep knowledge and understanding of how IRAs work. However, it is more important to understand the costs and fees before opening an account.
While gold IRAs can quickly accumulate and become costly, the same can be said of any other investment.
Being aware of the costs of opening an IRA beforehand is essential in avoiding any unnecessary taxes and penalties that might haunt you later on.