Preparing for retirement is very important for people of all ages and the earlier you start saving for retirements the better your lifestyle will be in your golden years. But just blindly paying into a retirement account and investing in stock indices has proven to be a very risky approach, which was made very clear in the most recent financial crisis. People who were planning to retire had very large amounts of their savings diminished. But there are ways to protect at least some of your retirement savings from extreme downward moves due to financial crisis, and one of those options is a gold IRA rollover.
Why Perform An IRA Rollover?
An IRA rollover is essentially the action of moving your funds from one type of retirement account to another, or from one custodian to another. As long as your funds go from one approved retirement account to another there are no tax penalties, and there are numerous situations where this would make sense.
One common situation is where a 401(k) is transferred to an IRA, which can happen if you change jobs and thereby leave your employers retirement plan. Another option is to move from one IRA custodian to another to save on fees or to gain access to different investment options. A gold IRA rollover is what you would need to do if you wanted to have gold in your retirement account but your current custodian does not have any provision for it.
What Is The Benefit Of A Gold IRA?
As mentioned above your retirement savings are at risk and can be seriously diminished by economic collapses and financial crisis. With interest rates at record lows and no sign of increasing any time soon, holding cash and bonds will not provide the necessary returns to grow your savings to a level that you can comfortably retire on.
One way to protect your savings from serious financial disasters and the increasing devaluation of the US Dollar is to invest a portion of your savings in gold and silver. Gold is a monetary metal and holds its value over long periods of time. What this means is that when priced in gold the most common living expenses are largely unchanged over centuries. This cannot be said for paper currency, which has lost more than 95% of its value in the last 100 years.
In order to invest in gold within your retirement account, your custodian has to provide the facility to buy physical or digital gold. If this is not possible with your current provider then you should consider a gold IRA rollover to a new custodian who offers such flexibility.
Protecting your wealth and your future lifestyle is very important and by having at least some exposure to gold and silver you can give yourself an awful lot of peace of mind. Even if there are large financial shocks, at least some of your losses will be offset by the gains in your precious metals. This can make a huge difference on your retirement lifestyle.