Common Myths about IRAs That Are Just Not True
We’re never sure of what the future holds for us. And while the thought is scary, somehow, we get through.
This is especially true when we reach retirement age. When the monthly paycheck is no longer there to save the day, it can be hard to envision how you’re going to make ends meet.
But that doesn’t mean we stop dreaming. Whether it’s traveling, moving to the countryside, buying a small peaceful house near the mountains, or starting a school of our own so we can have a job to look forward to.
The key to making all of these post-retirement goals come to life is simple: an individual retirement account! An IRA is your walking stick when you feel like you need support. It’s your paycheck when you’re no longer in an office. Most importantly, an IRA helps you foot hospital bills when old-age ailments start kicking in.
Have doubts? Here are a few IRA myths that might be keeping you from having a secure post-retirement life.
Myth#1: You can’t touch the money in your IRA till you’ve retired
It’s true that you can’t withdraw money from your IRA till you’re at least fifty-nine-and-a-half years old. It’s also true that a 10% penalty tax is charged on a premature withdrawal.
But there are loopholes! It all depends on why you want to withdraw the money. None of the above-mentioned conditions will apply if you have any of the following reasons to withdraw:
- You have to pay heavy college tuition for yourself or an immediate family member
- You’ve incurred huge medical expenses which are far beyond 10% of your monthly income
- You’ve suffered from a sudden disability and need money for treatment or can’t earn anymore
- You’re buying a home for yourself for the first time and need money
Myth#2: You can only use IRAs to invest in the stock market
This couldn’t be further from the truth. If you want to store securities for retirement in an IRA, an even better alternative to stocks and bonds is precious metals.
Various investment dealers help you buy and store gold and silver coins in insured IRAs. In fact, gold IRAs are more profitable than other forms of IRAs. The gold market doesn’t work on the basis of speculations and doesn’t go drastically down.
Investopedia recommends adding gold to your portfolio along with other stocks and bonds in order to diversify it and lower risk. If you’re planning on investing in precious metals, you can also get your savings transferred from a conventional IRA to a gold IRA.
Are you looking for a reliable precious metals investment company in Los Angeles? Contact Orion Metal Exchange. We’ve had over 50 years of experience in facilitating investors. We help you ensure a financially sound retirement age by setting up your precious metal IRA. For further details, please get in touch with us. We would be glad to advise you online or on the phone. The number is 1800-559-0088.