401k to Gold IRA Rollover

Many people use a 401k as the main place they generate capital for their pension but while the 401k is a great start to having retirement funds it does not have to be the only fund you have. This article is about moving some of your 401k funds to a Gold IRA Rollover so that you improve how your money works for you and also so that have a protection against potential fluctuations in the market. After all not that long ago people with 401ks lost thousands of dollars from their accounts when the market took a sharp dive so having an alternative plan makes a lot of financial sense.

Using a Gold IRA Rollover as your safety net

The U.S economy took a big hit recently and there is still a lot of uncertainty about its future and indeed the global economy too. Trading in precious metals like gold is a great way to protect some of your funds while also still earning you a good income for your retirement. In the past, even when bonds, stocks, and other forms of investments are struggling gold has continued to do well, and it is gold that countries turn to when currencies falter.

gold bullion bars

Even during times when the stock market is flourishing you still have your risks, and there are still ups and downs. If you are looking to minimize the affect these fluctuations have on your portfolio’s success gold makes a great investment option. It has a very long history of always being in demand and increasing in value.

Strengthening your portfolio with a Gold IRA Rollover

Gold is lovely to look at but in this case its beauty is not in its purity or shine, but in how good of an investment it could be for you. It has performed consistently over the years and right now is doing even better than before because of the recent market issues. So now rather than relying on investments all of one type consider having a gold IRA Rollover as a way to diversify your investments. People that do not take this approach have no buffer for when things go wrong. This is why so many people lost so much when things took a dive. People investing in this manner leave themselves open also to fraudulent investment businesses who take all your money, then disappear with it leaving you broke. Having an investment in gold will mean you are not one of those people left financially and possibly emotionally ruined.

Boost your income with a Gold IRA Rollover

As mentioned the value of gold has dramatically improved recently but that rise is set to continue so investing now is still going to bring you a nice return. In 2010 gold’s value reached an all time high but experts are saying that in the next few years that record may be broken. This means adding gold to your investment portfolio right now could earn you a very nice retirement fund for when you need it. With the fact that it is so much more stable than other investments there really is no reason not to make this happen.

gold ingots

Using your 401k

You will need to look at the plan your employer has in place to see if there are any restrictions about what investment options are open to you. Often though there is the option of cashing out assets from the 401k to buy something like gold or silver. Back in 2009 the stock market was at a high and people held onto those stocks. Six months later the market plummeted and people lost at least half if not more of their retirement funds. This is something that could happen again at anytime.

If you no longer work for the company from whom your 401k comes from you can choose to roll over
the funds there into an IRA (traditional). When you have done that you can then use them to buy precious metals like gold or silver. If you are still with the company that holds your 401k you may have an option of’ ‘in service distribution’ which frees up those funds for a roll over. These funds can be rolled over to a self directed IRA within 60 days, it is not a loan. But you need to ask whether that option is available and if it is they can then tell you what to do next if you choose to proceed.

Why you may not have heard about investing in gold

Only a few financial institutions are equipped to deal with precious metals as part of a retirement plan, so it is possible your adviser has not recommended it for that reason. Also they are only licensed to suggest public traded securities and have not all been trained on this option. Be aware that investing in ETFs (Exchange Traded Funds) and mining stocks is not the same as investing in gold. The latter is something tangible, physical. The former are just like other paper assets and are therefore subject to the same possible fluctuations and falls. If you want to have a Gold IRA Rollover look for one of the few investment places that can do it properly and know what they are doing.

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