What a gold IRA costs
Every gold IRA has the same three fees. The numbers differ by company, and the good ones publish them.
The three fees
| Fee | Who it goes to | Typical range |
|---|---|---|
| Account setup, one time | Custodian | $50 to $150 |
| Annual custodian fee | Custodian | $75 to $300 |
| Annual storage and insurance | Depository | $100 to $150; segregated storage costs more |
The custodian is the regulated firm that administers the account and reports to the IRS. The depository is the vault that holds the metal, insured and audited. Neither is the dealer you buy from, which is part of how the structure protects you.
Some companies waive the first year's fees on larger accounts. If a company offers that, it will be in writing on its fee schedule.
The cost that isn't a fee: the spread
Dealers sell metal above the spot price and buy it back below it. The gap is the spread, and it's the largest cost in most gold IRAs.
It varies by product. Common bullion bars and coins carry a smaller spread; proof and specialty coins carry a larger one. Ask for the spread on the exact products you'd hold, and ask for the buyback price the same day. A company that answers both questions in plain numbers is one you can work with.
What it adds up to
On a $50,000 account, the three fees together typically run well under 1% a year, in the range of what a mutual fund charges. The spread is a one-time cost when you buy and again when you sell, so it matters more on a shorter holding period. That's one reason a gold IRA suits money you're holding five years or more.
Whatever company you choose, have the specialist confirm every figure on the call before you fund anything. The numbers on this page are typical ranges, not quotes.