401k To Gold (IRA) Rollover Guide – Choose The Best Gold Company

Disclaimer: Companies named here may be paying compensation to us. We are able to offer free informational services because of these compensations. The placement of a company in the list here depends on the compensation as well as rigorous editorial research conducted by us.

Table of Contents:

  1. Introduction
  2. The Top Rollover Companies
  3. Benefits of A Gold IRA
  4. How A Rollover Works
  5. Transfer Vs. Rollover
  6. Fees

You may think that your 401K account may be the best investment for your retirement. However, this fund is dependent on the stock market performance. Many other retirement accounts avoid any connection to the market. While it is true that you will earn better from your 401K account if the market performs better, the opposite can also happen. If the market goes down, your retirement savings will be reduced. You are unlikely to receive a good return on your investment if the market does not perform as expected. This may jeopardize your retirement plans and make it difficult to spend your retirement years without worrying about financial problems.

These problems can be solved to a great extent if you take advantage of a gold IRA for your retirement investment. You can roll over your 401K account to a gold IRA. It is a straightforward and simple solution that will deliver you the desired results.

There are many ways to deposit your money in a gold IRA. A rollover option is advised because you will get some tax benefits that cannot be found with any other option. The following information will guide you in this process. You will learn which company will be the best one to help you with this process.

Here are the top companies that can help you and educate you on the rollover process:

There are several companies that offer support services in changing a 401K to gold IRA. The top three precious metal IRA companies include:

  1. Goldco (Our Top Recommendation)
  2. Birch Gold Group
  3. Augusta Precious Metals

Goldco (Our Top Recommendation)

This company is at the top in the precious metal IRA industry. It has over a decade of expertise and experience in this field. Goldco offers excellent support services to its customers who need help in creating a precious metal IRA. You can trust this company with your savings. The company offers quick customer services. You will also receive several resources like videos, e-books and latest gold prices.

Goldco has low annual fees for the investors who have a gold IRA with it. You will receive a rollover kit for free to create and manage your IRA. The company has maintained A+ rating at Better Business Bureau for long.

>>>Visit Goldco’s Official Website Here

>>>Get Goldco’s FREE Gold IRA Guide Here

Birch Gold Group

It is a well-established dealer in precious metal investment options. You will receive quick response from it. Birch has maintained excellent ratings for its gold IRAs. Its customers have been satisfied with its services; otherwise it would not have been in this business for almost 20 years. Over this time, it has handled IRA accounts of over 10,000 customers.  It shows its customers trust it.

After completing the rollover procedure, the company will help you decide the coins and bars best for your IRA investment. You will also receive lots of educational materials to improve your investment and financial knowledge. The company releases a free knowledge kit every year.

Augusta Precious Metals

This award-winning company has maintained a good reputation in the precious metal industry. It offers excellent gold IRA options. Here you have to invest a minimum of $100,000 when creating your gold IRA. However, the advantage with Augusta is that its annual fees are less and you receive prompt response from its customer service desk. Your queries will be answered to your satisfaction.

You can create your gold IRA with Augusta quickly and easily. It is ready to match the low price of a competitor for gold bullion and coins.

401K Account

It is a retirement account where you can regularly contribute into the account sponsored by your employer. A big advantage of investing in this account is that your employer will match a part or all of the money you contribute. Another benefit is that you will be paying lower income taxes during the years you pay your contributions.

Disadvantages of a 401K Account

While this account offers several benefits, it also has some drawbacks. Its main drawback is that the amount of money you receive at the end of its term will depend on the stock market performance. If you invest a lot in the assets tied to the share market, you can lose a big amount of money when the market performs badly.

Another problem with this account is that you will have it only as long as your current employer keeps you employed. While it is possible to switch to an IRA from your 401K after losing your job, it will be better if you opt for a gold IRA before such a crisis comes up.

Things to Know about Gold IRAs

These IRAs are individual retirement accounts where you can invest in gold in different ways. This account is legally accepted as a retirement investment plan by the authorities. A gold IRA can also have investment made in other precious metals, such as silver, palladium and platinum. If you are planning to invest in this IRA, you have a few options. For example, you can invest in a stock linked to precious metals. You also have the option to invest in physical precious metals like bullion and coin.

In case you have decided to roll over your 401K to gold IRA, the new IRA should be held in another account and not in your usual retirement account. The main difference between gold and other IRAs is that your investment will be secured in the form of physical gold. Compared to the fees needed for investments associated with physical gold, you will be paying higher if you decide to invest in ETFs or mutual funds related to precious metals.

IRS Advisory for Gold IRAs

Before any rollover of 401K account to gold account is done, you must know the IRS laws and regulations that apply to gold IRAs. You cannot create these accounts with support of a traditional custodian or broker. It is recommended that this rollover is done through a company that specializes in this field. You can contact the top companies working in this sector, such as Goldco and Augusta Precious Metals. They comply with all legal requirements and provide excellent gold IRA services.

While the gold IRA assets are different from the ones held in the traditional 401K, the gold IRA rules are similar to the ones used for other IRA accounts. The contribution limit for 2021 has been fixed at $6000. Individuals over 50 can invest $1000 more in their account every year.

After reaching 59.5 years of age, you are allowed to withdraw money from this account without paying any penalty. You will be paying an extra 10% tax if you make any withdrawals before that age. The physical gold in which you invest cannot be stored at your home. You have to place it with a facility that has approval from IRS. Because of this, you will be paying taxes on your withdrawal.


If you need assistance or help with your Gold IRA Rollover, Goldco is our top recommendation and is extremely helpful when getting your rollover correct.

>>>Contact Goldco Here for your FREE Guide.

Benefits of Investing in Gold

Gold IRA investment offers several benefits. You get some excellent tax benefits. For example, your contributions to this account will be counted as before tax payment. It means the taxes do not apply unless you decide to withdraw the amount from this account.

Another benefit with a gold IRA is that the precious metal held in this account can be passed to your beneficiary without paying any inheritance tax. This account offers the investors greater freedom than other retirement investment options.

You can invest in different types of coins and bars. The product selection will depend on the company you have selected to provide you assistance in rolling over from 401K to gold. In the gold IRA account, you can sell at a higher price than what it cost you to purchase. If you fear gold prices are going to dip, you can sell your precious metal coins and bars to reduce your losses.

Gold has always been considered a secure investment since ages. Diversify your investment portfolio by investing a part of your savings on gold and gold related financial products like ETFs. By having gold in your retirement plan, you mitigate the risks that come with the stock market fluctuations. Markets often crash due to financial, political and other reasons.

What Does It Entail to Change from 401K to a Gold Account?

You have several options for your 401K account when your job is lost or you change your employer. Many employees decide to encash the account even if it requires paying withdrawal fees. It may seem a logical step but keep in mind that taxes can be very high if you fall in the tax bracket that exceeds 12%.

You can avoid disturbing your 401K account after leaving your present employer. A downside of it is that you will have to pay maintenance fees for two accounts in case you start another 401K account for the new employment. In some cases, an old 401K account can be matched with the new account you have opened at your new job.

The best suggestion would be to move from 401K to gold IRA. This way all your money from the 401K account will be moved to an IRA without any issue. You will incur minimum fees with this rollover. It is also an ideal option in case you have a trustee who knows how to manage your account.

Before starting this process, you should know that two different rollover options are available to you – direct and indirect. If you choose an indirect rollover, your 401K provider will send you the funds by a check. Deposit this check with your bank account to receive the money. From then onward, you get 60 days to deposit your retirement funds in the new IRA. This new account can be a gold IRA as well.

If this 60-day deadline is missed during the indirect rollover process, your rollover will be counted as a withdrawal. It means you will have to pay the tax on it. For this reason, you are advised to prefer a direct rollover procedure. A company specializing in gold IRAs will help you handle this process better.

Irrespective of the company you have selected to send your present 401K funds to a gold IRA, you will receive a check from your new custodian in a direct rollover process. This check can be sent to the custodian directly or first to you so you can pay it to your custodian. Most of the companies involved in 401K to gold rollover process can handle this process through the phone itself.


If you need assistance or help with your Gold IRA Rollover, Goldco is our top recommendation and is extremely helpful when getting your rollover correct.

>>>Contact Goldco Here for your FREE Guide.

You will have to deal with some additional paperwork if the government is sponsoring your 401K. The rollover process can take 2-6 weeks after the paperwork is complete. A 401K account holder is allowed only one rollover in a single 12-month period. There is no such restriction if the transfer happens from one custodian to another.

Transfer vs. Rollover

Once you decide to go for the 401K to gold rollover, you should have prior information about the differences between a rollover and a transfer. Many people use these terms interchangeably but these processes have some key differences.

For example, in a rollover, your 401K funds are first given to you. The fund goes to the IRA account only in the next step. In case of a transfer, the 401K account custodian can send the fund to the new IRA account custodian. In a rollover process, you have to first deposit your 401K funds in a gold IRA within the stipulated 60 days. It helps you avoid paying withdrawal fees.

You will find the transfer process easier and simpler compared to the rollover process that requires complying with many strict rules. You do not pay any special penalties or fees in the transfer process. After your gold IRA has been set up, your 401K custodian will be able to send the fund to your new IRA custodian. This will be done through wire transfer. It lets you avoid the limitation of 60 days. Several gold IRA firms refer the transfer process as direct rollover. It is the recommended option.

Benefits of Choosing a Gold Account

If you plan to keep your 401K account, you get several benefits when you move your funds into a gold IRA account. Some of these benefits are:

  • You can take your investment decisions without any interference. You do not get too many investment opportunities with your 401K account. On the other hand, investments can be made in precious metals, stocks, bonds and real estate if the fund is moved to an IRA.
  • You will pay lower fees. People fear of high fees when investing in a gold IRA. However, it is not true. A gold IRA account will have a reasonable rate if you take help of a robo-advisor system.
  • Your funds will be accessible easily. While it is always advisable to not withdraw any money from your retirement account until you retire, the fees will be less if you withdraw the fund from a precious metal IRA and not from the 401K.
  • You are free to select your trustee. There is freedom to choose your favorite platform when investing money in this gold IRA. Top platforms will offer you 24/7 customer services, lower fees and a variety of investment tools. These benefits help you take smart retirement investment decisions.

Invest in a Roth IRA – A few investment platforms let you change your 401K into physical gold if you want a complete or partial Roth IRA. This IRA lets you make withdrawals after the retirement without paying any taxes. Compared to some other IRAs, you will not face the problem of minimum withdrawal limit after you have reached the specified age.


If you need assistance or help with your Gold IRA Rollover, Goldco is our top recommendation and is extremely helpful when getting your rollover correct.

>>>Contact Goldco Here for your FREE Guide.

Fees for Gold IRA

Similar to other IRA accounts, you are required to pay some types of fees once the rollover is complete. Generally, you will be paying lower fees compared to what you had to pay when you held a 401K account. Some common fees include:

Yearly fees – You will be keeping your costs low because there are no annual fees with the gold IRAs.

Load fees – These fees can be as high as 3% with some mutual funds. You can avoid such fees by keeping the funds.

Fees for Management – If a Robo-advisor manages your gold IRA, your annual management fees can go down up to 0.25%.

The information in this 401K to gold rollover guide makes it clear how easy and straightforward it is to roll over your 401K to gold IRA. Make sure you deal with an established and reliable investment company. It will offer you the direct rollover option. After that, you can continue to invest in your gold account to build a substantial retirement fund. You will feel confident about your retirement investment by partnering with one of these three companies. They transfer the 401K funds to the new gold IRA without any delay or issue.

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