How a gold IRA works
A regular brokerage IRA can’t hold physical coins or bars. To own them in a tax-advantaged account, you need a self-directed IRA. Three parties are involved:
- The custodian (a bank or trust company) holds the IRA, does the IRS reporting and charges an annual fee.
- The dealer (the “gold IRA company”) sells you the metal and usually helps open the account. Dealers earn most of their money from the difference between what they sell metal for and its spot value.
- The depository stores the metal and charges a storage fee. Storage can be commingled (your metal is pooled with others’) or segregated (kept separately), which usually costs more.
Most people fund a gold IRA by moving money from an existing IRA or old 401(k). A direct trustee-to-trustee transfer or direct rollover avoids tax withholding and the 60-day deadline. You can also contribute new money up to the normal IRA limit: $7,500 for 2026, plus $1,100 if you’re 50 or older. Gold IRAs can be traditional or Roth; the tax rules in our Roth vs. traditional IRA guide apply the same way. Traditional gold IRAs are subject to required minimum distributions starting at 73, which can mean selling metal on a schedule.
IRS rules on what you can hold
| Metal | Minimum fineness |
|---|---|
| Gold | 99.5% (.995) |
| Silver | 99.9% (.999) |
| Platinum | 99.95% (.9995) |
| Palladium | 99.95% (.9995) |
Source: IRA Financial, IRS-approved precious metals for 2026, summarizing Internal Revenue Code rules.
- American Gold Eagle exception. The Gold Eagle is 22-karat (about 91.67% gold) but is allowed because it’s minted by the U.S. government.
- No collectibles. Rare or numismatic coins and jewelry can’t go in an IRA. Some popular coins, like the South African Krugerrand, are problematic.
- No home storage. The metal must be held by an approved third-party depository. In McNulty v. Commissioner, the Tax Court treated IRA metals kept in the owner’s possession as a taxable distribution. Be wary of anyone pitching a “home storage gold IRA.”
What gold IRAs cost
There are two layers of cost. The visible one is account fees. The bigger one is usually the price you pay for the metal.
Account fees
Yahoo Finance’s May 2026 review found setup fees of $0 to $275 and annual fees of roughly $225 to $285 for the dealers it covered, with segregated storage usually adding about $50 a year. Those fees are flat, so they bite harder on small accounts: $275 a year is 0.55% of a $50,000 account. By comparison, a broad REIT or stock index ETF can cost less than 0.10% a year.
Markups and spreads
The CFTC explains that a dealer always sells above the spot price and buys back below it. That gap is the spread. The CFTC says spreads on precious metals sold for IRAs “can range anywhere from 30 to 300 percent or more,” and in a 2020 advisory said numismatic coins carried premiums of 40% to 200% above spot.
Here’s what that means in dollars. Say you roll over $50,000 and the products you buy carry a 30% markup. You own about $38,462 of metal at spot value on day one. Gold has to rise about 30% before you break even, before annual fees. Plain bullion bars and widely traded bullion coins generally carry lower premiums than “proof,” “limited mintage” or “semi-numismatic” products.
Gold IRA companies: published facts
These are some of the most widely advertised dealers. The figures are as reported by third parties, not verified by us, and dealers change terms. Where sources disagree, we note it. This isn’t a ranking.
| Company | Reported IRA minimum | Reported setup fee | Reported annual fees | BBB rating (as reported) | Metals |
|---|---|---|---|---|---|
| Augusta Precious Metals | $50,000 | $50–$275 (sources differ) | $200–$225 ($275 segregated); sources differ | A+ | Gold, silver |
| Goldco | $25,000 ($50,000 via rollover, per Finder) | $50–$275 (sources differ) | $225 ($275 segregated) | A+ | All four |
| American Hartford Gold | $10,000 | $230 | $225 ($275 segregated) | A+ | All four |
| Lear Capital | $10,000 | $50 | $235 ($285 segregated) | A+ | All four |
| Noble Gold Investments | $20,000 (another source reports $2,000) | $80 | $275 incl. segregated storage | A+ (Investing.com) | All four |
Source: Yahoo Finance, Best gold IRA companies for 2026 (updated May 1, 2026); Finder Goldco review (Aug. 2026); Investing.com reviews of Augusta, American Hartford Gold and Noble Gold. Dealers do not publish full fee schedules online, so confirm directly. BBB ratings reflect complaint handling and business practices, not investment performance or prices.
Notes from published reviews
- Augusta Precious Metals has the highest reported minimum of this group. Yahoo Finance reports it applies a 5% spread when buying back metal.
- Goldco and Lear Capital are reported to buy back at market rate without commissions. Ask what “market rate” means in writing, since it may differ from spot.
- American Hartford Gold doesn’t list prices online, according to Investing.com, which also reports IRA fees waived for one year on purchases over $50,000 and three years over $100,000. Benzinga reported different annual fees ($75 to $125), another sign to confirm directly.
- Noble Gold is reported by Investing.com to use a Texas storage facility, with an $80 setup fee made up of a $50 setup charge and a $30 wire fee.
Low published account fees don’t tell you the markup on the metal. Two dealers with identical $225 annual fees can charge very different prices for the same coin.
What regulators warn about
In March 2024 the CFTC, FINRA and the North American Securities Administrators Association (NASAA) jointly warned that precious metals sold as “safe” can carry hefty markups, commissions and fees. They said scammers target retirement rollovers and older investors, and that self-directed IRA custodians may offer only limited protections. The CFTC says it has pursued dealers who together sold more than $500 million in overpriced metals over the past decade.
The CFTC’s “Lies Versus Facts” guide lists common sales claims to distrust:
- “Putting all your retirement savings in precious metals is safe and secure.”
- “You can trust this dealer because we share political or religious views.”
- “The government can’t seize collectible coins.”
- “There are secret tax loopholes or advantages to owning precious metals.”
- “You’re speaking to an expert advisor or someone with inside information.”
Real cases show how this plays out. In September 2023 the CFTC charged Crown Bullion and Bright Future Financial (operating as Oakhurst Metals) with taking more than $7 million from over 100 victims, many elderly, through self-directed IRAs, sending false invoices to custodians and selling metals at vastly inflated prices. A 2020 CFTC case alleged a $185 million scheme selling overpriced gold and silver. Retail metals dealers are not regulated at the federal level, so the burden to check is on you.
Questions to ask before you sign
- What is the spot price right now, and what exactly am I paying per ounce for each product?
- What would you pay to buy it back from me tomorrow?
- Can I have every fee, cost and commission in writing: setup, custodian, storage, insurance, shipping, buyback?
- Is this bullion, or a numismatic or semi-numismatic product?
- Who is the custodian, and which depository holds the metal? Can I verify my holdings directly with them?
- Is the salesperson registered with the SEC, FINRA, CFTC or my state? You can check before taking any investment advice.
Hang up on unsolicited calls, ignore pressure to act today, and ask how any “free” bonus metal is priced into what you buy.
Who a gold IRA may not suit
- Smaller balances. Flat fees of $200 to $300 a year eat a much larger share of a $10,000 account than a $100,000 one.
- Anyone near retirement relying on income. Gold pays no dividends or interest, and traditional IRA required distributions may force sales at bad prices.
- People moving most of their savings. Concentration in any single asset is risky; the CFTC specifically calls “all your retirement savings in precious metals” a false claim of safety.
- People who want gold exposure cheaply. Gold exchange-traded funds or mining-stock funds can be held in a regular IRA at an online broker, without separate custodian and storage bills, and can be sold on any trading day. Compare platforms in our best stock brokers guide.
If you’re still deciding whether gold belongs in your retirement plan at all, our gold IRA overview explains the basics, and our 401(k) guide covers what to check before you roll money out of a workplace plan.
Frequently asked questions
Can I keep my gold IRA coins at home?
No. IRA-owned metal must be held by an approved third-party depository. In McNulty v. Commissioner, metals kept in the owner's possession were treated as a taxable distribution.
Is a gold IRA a good way to protect my retirement?
Gold can diversify a portfolio, but a gold IRA adds markups and yearly fees and pays no income. The CFTC lists 'putting all your retirement savings in precious metals is safe and secure' as a common sales lie.
What coins are allowed in a gold IRA?
Gold must be at least .995 fine, silver .999, and platinum and palladium .9995. The American Gold Eagle is allowed despite lower purity. Collectible and numismatic coins aren't allowed.
Does rolling my 401(k) into a gold IRA trigger taxes?
Not if it's done as a direct rollover into a traditional self-directed IRA. An indirect rollover from a workplace plan has 20% withheld and must be completed within 60 days.
How do I check a gold IRA salesperson?
Ask whether they are registered with the SEC, FINRA, CFTC or your state, and check before taking advice. Retail metals dealers themselves are not regulated at the federal level.
Are there cheaper ways to own gold in an IRA?
Gold ETFs or precious-metals mining funds can be held in a standard IRA at an online broker without storage fees. They don't give you title to specific bars or coins.
Sources
- CFTC – Lies Versus Facts: The Truth Behind Gold and Silver IRA Scams
- CFTC/FINRA – 10 Things to Ask Before Buying Physical Gold, Silver, or Other Metals
- CFTC – Release 8881-24: regulators warn about precious metals schemes
- CFTC – Release 8784-23: precious metals dealers charged in $7 million retirement account fraud
- CFTC – Release 8215-20: Beware of gold and silver schemes designed to drain your retirement savings
- InvestmentNews – Investing in precious metals may not be so safe, regulators warn
- IRA Financial – IRS-approved precious metals for retirement accounts in 2026
- IRS – 401(k) limit increases to $24,500 for 2026, IRA limit increases to $7,500
- Yahoo Finance – Best gold IRA companies for 2026
- Investing.com – American Hartford Gold review
- Investing.com – Noble Gold review
- Benzinga – Best gold IRA companies
- Fidelity – 401(k)-to-IRA rollover rules
- Finder – Goldco review (Aug. 2026)
- Investing.com – Augusta Precious Metals review
Rates, fees and terms change often. Figures were checked in October 2026; confirm current details with the provider before you apply.