What Does IRA-Eligible Gold Mean?

IRA-eligible gold refers to gold that meets specific IRS requirements to be held within an individual retirement account (IRA). This includes gold coins and bars that must be of a certain purity—typically 99.5% or higher—and must be produced by a government mint or an accredited refiner, assayer, or manufacturer.

These standards ensure that the gold is of high quality and suitable for long-term investment in a retirement account. Here’s everything to know about IRA eligibility if you’re considering keeping gold products in a retirement account.

What is IRA-eligible gold?

Quite simply, IRA-eligible gold is gold that meets IRS standards to be held in a self-directed IRA—also known as an individual retirement account or arrangement.

What are IRA-eligible coins?

IRA-eligible coins are specific gold coins that meet IRS requirements for inclusion in a self-directed individual retirement account (IRA).

These coins must meet certain purity standards, be minted by approved government mints, and be in uncirculated, like-new condition to qualify. The IRS has strict guidelines to ensure that only high-quality, investment-grade coins are used in retirement accounts.

Requirement	Details
Minimum Purity	99.5% or higher
Approved Mints	Government mints (e.g., US Mint, Royal Mint, Canadian Mint)
Form	Specific coins such as American Gold Eagle, Canadian Maple Leaf, Austrian Philharmonic
Condition	Must be in uncirculated, like-new condition
Storage	Must be stored in an IRS-approved depository

Examples of IRA-eligible coins

• American Gold Eagle
• Canadian Gold Maple Leaf
• Austrian Gold Philharmonic
• Australian Gold Kangaroo

These coins are popular choices for IRA investors due to their recognized value, high purity, and backing by reputable governments.

Be aware that some coins may meet IRS purity standards but be ineligible for an IRA because they are considered collectible. These include a number of popular bullion coins, such as United Kingdom Sovereign coins, French 20 Franc gold coins, and U.S. Liberty coins.

What are IRA-eligible bars?

IRA-eligible bars are gold bars that meet the IRS standards for inclusion in a self-directed IRA. Like coins, these bars must meet specific purity requirements, but they differ in that they are produced by accredited refiners, assayers, or manufacturers rather than government mints. The gold bars must be in good delivery condition and stored in an IRS-approved depository.

Requirements for IRA-Eligible Bars

Requirement	Details
Minimum purity	99.5% or higher
Approved producers	Accredited refiners, assayers, or manufacturers (e.g., PAMP Suisse, Credit Suisse)
Form	Standard gold bars
Condition	Must be in good delivery condition
Storage	Must be stored in an IRS-approved depository

Examples of IRA-eligible bars

• 1 oz. PAMP Suisse Gold Bar
• 1 oz. Credit Suisse Gold Bar
• 10 oz. Johnson Matthey Gold Bar
• 1 kg. Heraeus Gold Bar

These bars are chosen for their high purity, quality manufacturing, and reputation within the gold market, making them solid options for gold IRAs.

How do I know if gold is IRA-eligible?

If the requirements sound confusing, don’t worry. Many companies that sell IRA-eligible gold make it easy to find qualifying products. For instance, here’s how American Hartford Gold designates its IRA-eligible products.

As you can see, IRA-approved gold is clearly marked. Many companies will also allow you to search and filter their inventory to show only IRA-eligible gold.

Expert take

David Haas

CFP®

The IRS does not allow a self-directed IRA to invest in collectibles. Many coins with gold content are classified as collectibles and are not allowed. The IRS use the gold content criteria to specify which coins are considered precious metal and not simply a collectible.

Is purchasing IRA-approved gold different than non-IRA-approved gold?

If you are buying gold to invest in an IRA, the process for purchasing precious metals is different. You’ll need to take the following steps:

1. Open a self-directed IRA.
2. Fund the IRA and select IRA-eligible gold products for investment.
3. Have the gold stored in an approved depository.

Companies such as American Hartford Gold can assist with the process of setting up an IRA and arranging for the storage of your gold. The IRS does not allow IRA account holders to store their own gold. Doing so could jeopardize the tax benefits that come with a gold IRA.

Here’s a closer look at how buying IRA-approved and non-IRA-approved gold compares:

	IRA-approved gold	Non-IRA-approved gold
Purchases	Many companies have a minimum investment requirement to open an account	None
Storage	IRS-approved depository	Home safe, bank deposit box, or other secure location of your choice
Shipping	Often covered by account fees	Postage plus insurance costs
Costs	IRA setup fee Annual IRA maintenance fee Storage fees	No required ongoing fees

Of course, you can purchase IRA-approved gold outside of an IRA and store it in your home or another location. In that case, the purchase would occur in the same manner as non-IRA-approved gold.

Do certain IRA-eligible gold coins or bars perform better than others?

If you buy gold bars or rounds, their value will closely follow the “spot price” of gold, which reflects the current market value of one ounce.

The value of gold bars and rounds is generally the same regardless of the manufacturer, although some people may prefer to purchase from specific mints.

However, coins may have an added value because of their desirability as collectibles. For instance, here’s a look at how some gold coins compare to the spot price of gold as of February 26, 2024.

Item	Price
Monex Spot Gold	$2,034.00
Gold American Eagle	$2,870.00
Gold American Buffalo	$2,940.00
Gold Canadian Maple Leaf	$2,106.36
Gold Vienna Philharmonics	$2,091.52

As you can see, the value of all of these coins tracks closely with the spot price of gold, although they are worth slightly more. Other gold bullion prices may be similar.

In terms of the return on investment, it may not make much difference whether you purchase gold bars or specific coins. But for purposes of liquidating your gold for cash, coins may be easier to sell than small bullion bars.

What to consider when purchasing IRA-eligible gold

While you don’t need an IRA to invest in gold, opening one will provide some substantial tax benefits. Money deposited into a traditional IRA is deductible, up to allowable annual limits, while cash in a Roth IRA grows tax-free and can be withdrawn tax-free during retirement.

That said, a gold IRA may not be right for everyone. Consider the following:

• Contribution limits: The IRS limits 2022 contributions to IRAs to $6,000 per year for workers younger than age 50 and $7,000 for older workers.If you want to buy more gold than that each year, you’ll have to do it outside an IRA.
• Fees: Opening a gold IRA is more expensive than opening a traditional IRA or purchasing gold outside an IRA. Gold IRAs have annual fees for storage and account maintenance. There may be an initial set-up fee as well.
• Minimum investment requirements: Some gold IRAs require a minimum initial deposit of $25,000 or more. Unless you have an existing IRA balance to roll over, it may be difficult to meet these minimums.
• Early withdrawal penalty: The government doesn’t want you spending your retirement money before retirement, so they impose a 10% tax penalty on withdrawals taken before age 59 ½. There are some exceptions, but if you think you could want to liquidate your gold before retirement, an IRA might not be the best option for you.

Expert take

David Haas

CFP®

You don’t need a self-directed IRA to buy an investment pegged to the price of gold. You can buy a low-cost exchange-traded fund (ETF) which is pegged to the price of gold. Top ETFs include SPDR Gold Shares (ticker: GLD) and iShares Gold Trust (ticker: IAU). Both of these and others can be held in a normal traditional or Roth IRA. ETFs can be cheaper and easier options. When you hold gold in a self-directed IRA, it is not income producing, so you might as well hold it in a taxable account. When you sell it, you may pay a lower tax rate.

Where to purchase IRA eligible gold

If you do decide to open a gold IRA, the next step is to find the right company for your account.

While some are good all-around choices, others may be a better fit for you, depending on your situation.

For instance, Patriot Gold Group may be a good option for those with large balances, and Lear Capital is known for providing price notifications.

Of course, you want to be sure to select a company that offers the type of gold that appeals to you—whether that’s coins, bars, or a combination of the two.

Expert take

David Haas

CFP®

Eventually, you will want to take withdrawals from your self-directed IRA. If you are over the required beginning date, you will be forced to take required minimum distributions. When you have physical gold in your IRA, you may be able to instruct the custodian to sell your gold for you. You also may be able to take physical delivery of the gold in whatever form your IRA was holding it. Make sure to find out what the fees are for these services and what kind of pricing you can obtain when selling the gold. It may be difficult to transfer the IRA to a different custodian later, so what happens upon withdrawal is important.