As an investor, it’s important to know that the demand for gold tremendously increase during the last decade. This is because central banks around the world have been holding on their gold deposits rather than selling the same. Another reason is the obvious truth that gold deposits on earth are getting depleted and many mining establishments are no longer active in this field. The increasing mining costs can no longer be defrayed by the benefits that can be derived from the gold extraction activities.
As the value of gold increases, many investors would prefer holding on to their Gold backed IRA investment plans for their retirement and no longer rely on a currency-backed plan. Gold provides long term stability and this makes the investors feel secured and safe regarding the plans that they have chosen for their senior years.
Studies show that during the close of 2003, 1 ounce of gold was valued at $400 and as of this date it’s more or less $1400 per ounce. The constant increase in value over the previous years is even expected to triple. Financial specialists predicted that 1 ounce of gold could, by the year 2020, hit the $5000 mark.
This precious metal is most beneficial when you hold your investment on a medium or long term basis. It’s time that you secure your financial future! Simply put, this is the perfect time to invest. You’ll be kicking yourself 10 years from now if you fail to invest in gold today. On the other hand, you’ll be patting yourself in the future for taking the right action today!
Take control of your destiny and protect your family by investing in gold IRA.
Are there tax benefits that can be derived by investing in gold? Take a closer look at the real scenario. When you exchange your gold for money, say 10 or 15 years from now, you’ll need to pay an income tax. However, this tax is significantly lower compared to the ordinary currency transaction in a conventional IRA plan. The reason for this is gold is considered as a capital asset; thereby, taxed at a much lower rate.
No Need to Report to the IRS
Do you have to report your gold investment to the IRS? No! Penalties for early withdrawals are even waived for the following special circumstances: home purchases, bills and medical issues. Gold has a high liquidity so you can easily turn it to cash at any time. These points strengthen the conclusion that gold IRA investments are much more beneficial compared to a currency-backed plan.
So if you’re still searching for the best investment that will allow you to earn more in a stable manner, then it’s best that you choose investing in gold. You’d never regret taking part in this type of investment since you’re assured of higher returns compared to investing in securities or even placing your money in a bank. Talk to a professional that can help you place an investment in gold.