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Transfer Your 401k To Gold Without Penalty

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Are you thinking of diversifying your retirement savings into gold?

If so, you are on the right track, gold and other precious metals have some distinct advantages you can enjoy. They include the following;

  • Gold isn’t tied to the economy, so an economic recession won’t hurt your gold IRA account as much as it would hurt a portfolio consisting of mostly paper assets like stock and bonds.
  • Gold has historically proven to be a good inflation hedge, meaning you won’t fall victim to the current high levels of inflation eroding away the buying power of the dollar.
  • Investing in gold through an IRA enables investors to obtain some protection for their retirement planning.

A Gold IRA might seem like a good option, however there are somethings you need to be aware of before proceeding in order to avoid certain penalties. This article is here to answer any questions you may have.

With that said, let’s get started.


Gold Individual retirement accounts (IRA) is the term commonly used to refer to an IRA that is invested in physical precious metals like Gold, Silver, Platinum. So a “Gold” IRA doesn’t necessarily limit it to just gold, it can also own Silver and other precious metals.


A 401k Gold IRA Rollover is when you switch from a traditional 401k account to a gold-backed account. Traditional 401k accounts usually invest in paper assets like Stocks, bonds and mutual funds not precious metals like gold and silver. It is called a rollover because it involves moving funds from your traditional 401k to a new Self-Directed Gold IRA. There are two types of rollover with one incurring a 10% penalty if done incorrectly. Here they are;


An indirect rollover is what you’ll most likely want to avoid because of the associated 10% penalty when done. In an indirect rollover your 401k provider sends you a check with your money which you to put in your personal bank account. You then have about 60 days to deposit the funds into you new IRA. There is an associated 10% penalty if you are under the age of 59½ years.


Your desirable option would be a direct rollover. In this instance your 401k provider sends a check directly to your new IRA provider. Most 401k providers can start your rollovers over the phone and the whole process usually takes about 2 – 6 weeks. It is advised to always go with a highly reputable Gold IRA Company that can handle all the necessary paper work for you and make the process stress free. Here is the Gold IRA company we highly recommend.


  1. Stability – One of the most enticing qualities of gold as an investment is the stability it brings to your portfolio. As of the time of writing the S&P500 is down 17% while Gold is only down 2.8% and other metals like Platinum are even up 5.7%.
  2. Profit Potential – Gold also has very good profit potential for those who don’t mind a little upside on their safe portfolio. Gold has had some pretty good runs over the past 2 decades going from $200 an ounce to around $1700 as at time of writing. And with inflation in the US being the worst it has been in the last 40 years, there is good chance Gold sees higher prices in the future.
  3. Diversity – Any Savvy investor knows diversification is a good way to protect your portfolio. Investing in gold is a good ways to diversify due to its low correlation with equities or bond markets. Gold has also historically proven to have an extent of stability when currencies, governments and financial markets stumble.
  4. Perpetual Demand – It always keeps an investor at ease when He/She knows they own an asset that is demand. Gold will always be in demand, be it for jewellery purposes, technology purposes or investment purposes. You can rest assured that you own an asset that other people want and are willing to pay for.


  1. Metals must be newly purchased inside the IRA account. Already owned metal cannot be moved into the IRA.
  2. Fees – Having a gold IRA There are yearly storage fees for your precious metals, however the storage fees is dependent on the custodian you go ahead with. Also there are fees you incur when you buy or sell precious metals and as previously stated, this is dependent on the custodian you pick, which is why picking the right custodian is of utmost important
  3. No Dividends – Income investors who seek out regular payments such as dividends gotten from stocks or interest payments from bonds won’t see such with gold. Instead gold undergoes capital appreciation over time, so those who seek out passive income from their portfolio won’t get that with Gold.


Like we stated earlier, if you want to go ahead with a 401k to Gold IRA rollover, you need to go the Direct Rollover route to avoid potential penalties. And it is advisable to get the help of a professional Gold Custodian to avoid the pitfalls that many have fallen victim to over the years. However picking a trusted Gold IRA company is a tough challenge due to the dozens of companies out there, making all sorts of promises and claims. It’s common practice for a first time Gold investor to be lost or overwhelmed without the proper guidance.

However, we are here to help you avoid that problem all together, by recommending our top rated Gold IRA Company. This company became our no1 recommendation due to their impressive feats, they include;

  • 100’s of happy customers and MILLIONS in retirement Savings PROTECTED,
  • Easy to get started with
  • 100% IRS compliant and
  • Account life time support

Further details on this Gold IRA company is shared at the bottom of the page.


If you are interested in a gold IRA rollover then online research (which is what you’re doing right now) is important, but it’s just the first step.

Next you need to speak to a professional Gold IRA company who will assess your unique situation and come up with a plan that is suited for just you. Amongst the dozens of companies out there, one company we recommend above others is Augusta Precious Metals.

Moving a 401k to a gold IRA is a good option for investors who:

  • want to mitigate inflation risks
  • enjoy tax benefits (a gold IRA defers taxes)
  • need greater security in the form of an untouchable savings account

Augusta Precious Metals is one of the top rated Gold IRA companies out there. They will help you achieve your aim, while making the entire experience stress-free and seamless.

Augusta Precious Metals website

To get in contact with them, click the button below, you will be redirected to the Augusta Precious Metal website, where you will be required to put in your name, email and phone number.

After putting in your details, they will send you a free Gold IRA Guide and an expert will contact in the next 24-48 hours.

If you prefer to speak with someone right away then you can call this number 844-423-4150.

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The content on this website is for educational and informational purposes only and should not be construed as professional financial advice. We are not a financial institution and do not provide any financial products or services. We strive to provide up-to-date information but make no warranties regarding the accuracy of our information.