The Complete Gold IRA Guide

Affiliate disclosure: we may earn a commission when a reader opens an account through links on this page. The commission has no effect on what you pay or on what we publish. We are not a financial or tax advisor; consult a licensed advisor for your situation. Last reviewed June 2026.

How a gold IRA account is structured

A gold IRA is not a separate tax status in the code. It is a self-directed IRA that owns IRS-approved bullion under IRC 408(m)(3), instead of stocks and bonds. The tax wrapper is identical to a traditional or Roth IRA.

What sets it apart is the plumbing. A qualified custodian, usually a non-bank trust company, holds legal title to the account. A precious metals dealer sources the metal. An IRS-approved depository stores the bars and coins in a vault the IRA owner never physically touches.

Each party plays a distinct role. The custodian files the tax forms and executes trades on written instruction. The dealer prices and ships the metal to the depository. The depository issues storage confirmations and carries insurance on the vaulted assets.

1. Self-directed IRA at a qualified custodian. The account has to sit at a bank, a federally insured credit union, or an IRS-approved non-bank trustee. Common self-directed custodians include Equity Trust, STRATA Trust, GoldStar Trust, and Kingdom Trust.
2. IRS-approved bullion. Bars and coins must meet IRC 408(m)(3) fineness minimums or fall under the American Eagle statutory exception. Numismatic and graded coins bought for collectible value do not qualify.
3. An approved depository. The metal has to sit at an IRS-approved facility. Common choices include Delaware Depository, Brinks, International Depository Services, CNT, and the Texas Bullion Depository in Leander.
4. A dealer to fill the order. The dealer prices the metal, the custodian wires payment from the IRA cash balance, and the dealer ships direct to the depository. The account holder never handles the metal.

Metals the IRS allows inside a gold IRA

The IRS bans collectibles in an IRA under IRC Section 408(m). A statutory carve-out lets specific bullion coins and bars in, provided they hit a purity floor. Anything below that floor stays out, unless the coin is on the named exception list.

The chart below shows the minimum fineness by metal, expressed as percent purity. All four thresholds sit within a hair of 100 percent.

Two coins sit inside the statute despite failing the purity floor. The American Gold Eagle is 22-karat at 91.67 percent, and the American Silver Eagle is 99.9 percent, so both qualify by name. Proof versions of either coin also qualify when kept in original mint packaging with the certificate of authenticity.

Bars have to come from a refiner accredited by NYMEX, COMEX, or LBMA, or be a product of a national government mint. Off-brand or unrated bars do not qualify, even if the assay claims high purity. Dealers focused on IRA business rarely stock non-eligible product for IRA orders.

A few widely traded coins fall outside the rule. The South African Krugerrand sits at 91.67 percent gold with no statutory exception, so it is out. Pre-1965 United States silver coinage at 90 percent silver misses the silver floor. Graded slabs and marketed-as-rare coins fail the collectibles test in almost every case.

How money flows into a gold IRA

Money reaches a gold IRA through three main paths. Each path has its own tax mechanics and its own paperwork.

The safest default is a direct rollover or a trustee-to-trustee transfer. Both avoid the 20 percent withholding trap and both avoid the risk of missing the 60-day window. Providers used to gold IRA work default to these paths for that reason.

Employer-plan rules add a wrinkle. A current-employer 401(k) usually blocks any rollover until age 59 and a half, separation of service, or another qualifying event. Former-employer 401(k), 403(b), 457(b), and TSP balances are almost always eligible for a direct rollover.

Where the IRS makes you store the metal

An IRA-owned coin or bar cannot sit in your safe, your closet, or a home safe deposit box. Federal law treats the metal as owned by the IRA, not by you personally. The 2021 Tax Court decision in McNulty v. Commissioner ruled that taking possession triggers a full taxable distribution on the whole account.

Instead, the metal has to sit at an IRS-approved depository. The custodian sends the payment; the dealer ships the metal direct to the depository; the depository logs the intake and issues storage confirmations back to the custodian.

Segregated storage means your bars and coins sit in a dedicated bin under your account number. Non-segregated (also called commingled) storage pools bullion of the same type across many accounts. Segregated costs more, but you get back the exact serial-numbered bars you bought.

What a gold IRA really costs each year

A gold IRA carries six typical fees. Each one is small on its own; stacked, they can matter a lot on a smaller account.

Dealer markup is where the widest spreads hide. A common bullion coin like the American Gold Eagle or a generic LBMA bar carries a tight premium above spot. Proof, graded, or marketed-as-exclusive coins can carry markups several multiples higher, and that premium is embedded in the invoice, not billed as a line item.

Custodian and storage fees compound over time. On a 10,000 dollar account, a 250 dollar per year combined admin and storage load is roughly 2.5 percent of the balance per year, before dealer markup. On a 200,000 dollar account, the same 250 dollar load falls to about 0.125 percent per year.

Estimate the fee drag on your account

Fee drag is the annual bite that fixed dollar fees take from a metal-heavy IRA when the balance is on the small side. The calculator below turns a set of published fees into a percent of your balance per year.

Use it as a sizing check, not personalized advice. Confirm every input against the fee schedule of the specific custodian, depository, and dealer you plan to use.

Where living in Texas changes the math

Federal IRA tax rules apply the same in every state. State tax layers on top. That is where residency matters, and where a Texas address quietly changes the after-tax outcome on distributions.

Texas has no state personal income tax under Article 8, Section 24 of the Texas Constitution. A 2019 ballot amendment locked the ban further by requiring a two-thirds legislative vote plus a statewide election to ever impose one. Taxable IRA distributions, Roth conversions, and 10 percent early-withdrawal penalties are handled at the federal level only for a Texas resident.

Texas also runs the only state-administered precious-metals depository in the country. The Texas Bullion Depository sits on a purpose-built campus in Leander, north of Austin, and has accepted deposits since 2017. The vault is operated on contract by Lone Star Tangible Assets under the oversight of the Texas Comptroller of Public Accounts.

For IRA storage specifically, Lone Star Tangible Assets holds IRS non-bank trustee status, and Equity Trust Company acts as the wired-in self-directed IRA custodian. The Comptroller announced this IRA capability publicly on June 12, 2025, citing total deposits above 400 million dollars across all storage types. Source: texasbulliondepository.gov, checked June 2026.

How to vet a gold IRA company

Dealers get paid on the metal you buy, not on your long-term outcome. The check on a bad fit sits with you, not the salesperson. A short vetting checklist filters out the worst offenders before you sign anything.

1. Check the Better Business Bureau file. Look up the exact legal entity name, not the marketing brand. Read the complaints on both sides of the ledger; a spotless five-star record with zero complaints on a decade-old firm reads differently from an A-plus record with 20 detailed complaints all resolved.
2. Confirm the custodian and depository the company works with. Every legitimate dealer will name them on request. A refusal or a fuzzy answer is a red flag on its own.
3. Get the fee schedule in writing. Setup, annual custodian, annual storage, wire fees, and buyback policy should be printed, not verbal. Ask for the schedule before the phone call, not during.
4. Ask about proof and graded coin pricing. A hard push toward proof, graded, or marketed-as-exclusive coins is the single most common way a gold IRA underperforms its own thesis. Common bullion coins and standard LBMA bars fit the IRA structure better in most cases.
5. Read the buyback language. Some companies advertise a buyback commitment; others price the buy-side at a discount to spot that eats the buyer alive on exit. Both patterns exist. Read the actual policy.
6. Cross-check with a second opinion. Talk to a fee-only fiduciary advisor if you have one. If the deal only makes sense when explained by the salesperson, it usually does not survive the second look.

Worked example: a 150,000 dollar rollover under fee drag

Your next step

If a gold IRA fits your situation, the leverage sits in vetting the provider before signing paperwork. Augusta Precious Metals is our primary affiliate partner, and the free company checklist they publish is a fair yardstick you can hold up against any dealer you talk to, including Augusta.

When a gold IRA is a bad idea

Gold IRA FAQ

By the Harry’s Coins Editorial team. Last reviewed June 2026.