American Bullion Gold IRA Relations Manager John Reese lays out the details of Regular and Self Directed Traditional IRAs

LOS ANGELES, CA, USA, March 29, 2023/EINPresswire.com/ -- A “Traditional” IRA is a “pre-tax” IRA, meaning that funds invested have not yet been subjected to income tax.

Therefore, qualifying funds invested can be written off against income (depending on your filing status and income) for the year invested and are not subject to taxation until withdrawn by way of a distribution. Traditional contribution limits for 2019 – 2022 were $6,000 for an individual ($7,000 if over 50 years old). For 2023, limits have increased to $6,500 ($7,500 if over 50 years old). Congressional legislation passed in 2022 raised the age when you have to start taking Required Minimum Distributions (RMD) from your Traditional IRA. If you turned 72 in 2022, you’ll need to take your first RMD by April 1, 2023 and will need to take another one by the end of 2023. If you turn 72 in 2023, you won’t have to take an RMD until 2024 (when you turn 73), which will be due by April 1, 2025. Neither a Traditional nor Self-Directed IRA can be used to hold collectibles such as artwork, rugs, antiques, gems, stamps, or alcoholic beverages.

Additionally, neither can permit; fiduciaries to obtain or use the income or assets for their own interest, use the IRA as security for a loan, or for the purchase of a life insurance policy.

A Regular Traditional IRA Offers the Following Investment Options:
A Regular Traditional IRA is capable of holding typical investments like cash, stocks, mutual funds, Treasury bonds, bills and notes. Mutual funds tend to be a popular portion due to their already diversified nature.

A Self-Directed Traditional IRA Offers All the Options of a Regular Plus:
A Self-Directed Traditional IRA can hold private equity investments, private debt investments, crowdfunding, real estate, and IRA-approved gold, silver, platinum, and palladium precious metal products. These are commonly known as a Gold IRA, a term that was first used by American Bullion based in Los Angeles. Private equity investments can include LLC’s, limited partnerships, pre-IPO private stocks, private hedge funds, joint ventures, corporate stocks, and bonds. Private debt investments including trust deeds, mortgages, corporate debt offerings and private debentures.

Crowdfunding can include Regulation D private equity offerings, as well as peer-to-peer lending. Real estate can include single family homes (not your primary or other family residence), duplexes, apartment buildings, commercial property and raw land.

Today’s economic turmoil, which includes; a listless or declining stock market, inflation, and rising interest rates, typically bodes well for all types of precious metals. For investors to hold physical precious metals at home, as part of their household emergency kit, is always a good idea, perhaps now more than ever. A Precious metals IRA (aka Gold IRA) can be created by transferring or rolling over funds from an existing qualified IRA, or by funding a new account with newly contributed funds up to the annual limit, but it’s important to keep in mind that contributions not made in 2022 can be made up until April 15, 2023, in addition to funds up to the contribution limit for tax year 2023, which needs to be made no later than April 15, 2024. A Gold IRA can hold IRS-approved physical metal products including: GOLD – American Eagle Coins & Proof Coins, American Buffalo Coins, Australian Kangaroo/Nugget Coins, Austrian Philharmonic Coins, Perth Mint Bars, and select .995 Gold Bars & Rounds, SILVER – American Eagle Coins, American Eagle Proof Coins, Australian Kookaburra Coins, Austrian Philharmonic Coins, Canadian Maple Leaf Coins, Johnson Matthey Bars, and select .999 Silver Bars & Rounds, PLATINUM and PALLADIUM – American Eagle Coins, Australian Koala Coins, Canadian Maple Leaf Coins, and select .9995 Platinum & Palladium Bars.

It’s tax time and perhaps time to reconsider investment and retirement allocations. Click here in order to view a detailed infographic, regarding taking control of your retirement with a Self-Directed IRA.

John Reese
American Bullion, Inc.
+1 310-689-7720
email us here
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