The IRS rules for holding precious metals in an IRA are specific and worth knowing before buying anything. Under IRC Section 408(m), gold must be at least .995 fine, silver at least .999 fine, and platinum/palladium at least .9995 fine to qualify – with a narrow exception for American Gold Eagle coins, which are IRA-eligible despite being .9167 fine.

The metals must be held by a qualified trustee or custodian – a bank, credit union, or IRS-approved non-bank trustee – and stored at an approved depository. You cannot personally hold IRA-owned metals or store them at home; doing so can cause the IRS to treat the metals as a taxable distribution, potentially triggering income tax and, if you’re under 59½, a 10% early withdrawal penalty.

Contribution limits still apply if you’re funding the IRA with new money rather than a rollover: $7,500 for 2026, or $8,600 if you’re 50 or older (IRS Notice 2025-67). Collectible coins and numismatic items generally do not qualify – the IRS specifically restricts IRA holdings to bullion-grade metals meeting the fineness standards above.

FAQ

What happens if I violate the storage rules? The IRS can treat the metals as distributed at their fair market value, creating an immediate tax liability and possible early withdrawal penalty, even though you never took physical possession for personal use.