A Roth IRA is a very popular retirement option as contributions are made with pre-tax income. This means the any money put into a Roth IRA has been subjected to taxes and cannot be taxed again, even years later, when it is withdrawn. This also means that any contributions to a Roth IRA are not tax deductible.

Using a Roth IRA to Buy Gold

Those who have a Roth IRA have the ability to invest in a number of different options. Popular choices include stocks, bonds, and mutual funds. Another option that is quickly gaining in popularity is the gold Roth IRA, which is a way for individuals to invest their money in gold. Gold is an investment that has proven to be more stable and can over a better return on investment, especially over a long term, than stocks. The best way to set up a gold Roth IRA is to find a broker/company who has experience with buying gold specifically for the purposes of setting up a retirement account. In many cases, these companies have solid working relationships with trustworthy IRA custodians and safe depositories, making the process much easier.

Roth IRA Deadlines

Tax deadlines may vary slightly from year to year, and for the 2012 tax year, the deadline for contributions is Monday, April 15th, 2013. As a general rule, the deadline for Roth IRA contributions is the same as the tax deadline the following year.

Roth IRA Account Limits

There are limits to how much a contribution to a Roth IRA can be within a given year. This limit is determined both by income and by age. For the 2012 tax year, the contribution limit is $5,000. This limit is scheduled to go up to $5,500 for the 2013 tax year. The 2012 contribution limit is in place for anyone who is age 49 or younger. For those over 50, the contribution limit is raised by an additional $1,000. In terms of income levels, those past a certain income threshold can no longer make contributions to their IRA. For the 2012 tax year, the income limit is $183,000 for married couples filing jointly, and $125,000 for single individuals.

It is possible for an individual to have both a Gold Roth IRA and a Traditional IRA and to contribute to both of them during a single calendar year. For advice and for setting up a foundation for a comfortable retirement, it is helpful to find an experience broker or custodian (like the one we recommend here).  Here is a link to the IRS guidelines on IRAs.