Paperwork for a Precious Metals IRA
Opening a precious metals IRA usually involves five core documents: the custodian's account application, a transfer or rollover request, a buy direction letter telling the custodian which metals to purchase, a beneficiary designation, and a storage agreement or election. Knowing what each one does makes the process faster and helps you catch mistakes before they cost money.
Document 1: The Custodian Account Application
This opens your self-directed IRA. It is a custodian form, not a dealer form, even if the metals company sends it to you. Expect to provide:
- Full legal name, address, date of birth and Social Security number.
- A copy of a government-issued photo ID.
- Account type: traditional, Roth, SEP or SIMPLE.
- Acknowledgment of the custodial agreement and the custodian's fee schedule.
- How you will pay ongoing fees, such as from account cash or a credit card on file.
Read the fee schedule closely. It is separate from any dealer pricing and from Goldco's published fee statement if you use Goldco. Our page on metals IRA custodians explains what custodians do.
Document 2: Transfer or Rollover Request
This moves money from your existing account. Which form you use depends on where the money is:
Moving funds from an existing account: the transfer request
Your new custodian's transfer form asks for the current custodian's name, address, account number and the amount (all or partial). A recent statement is usually attached. Some providers also require their own release form or a medallion stamp verifying your signature, so call your current provider to ask. See trustee-to-trustee transfers.
Moving workplace plan money: the plan distribution form
Employer plans usually require you to request a direct rollover on their own distribution paperwork, made payable to the new custodian for your benefit. Get the exact payee wording and mailing instructions from your new custodian first. The TSP and many 401(k) plans also require spousal consent forms in some cases. Our rollover paperwork and forms page covers plan-specific details.
Document 3: The Buy Direction Letter
Once cash arrives, the custodian will not buy anything until you tell it to in writing. Custodians call this form by different names; in plain terms it is a buy direction letter. It typically lists:
- The dealer you are buying from.
- Each product, quantity and price per unit.
- The total amount to be paid from the account.
- The depository where the metal will be delivered.
- Your signature confirming you chose the products yourself.
Check every line against the dealer's invoice. Confirm the products meet IRS fineness rules in Internal Revenue Code section 408(m). See IRA-eligible gold and silver bars.
Document 4: Beneficiary Designation
Usually part of the application, sometimes a separate form. It controls who inherits the account, and it overrides your will. Name primary and contingent beneficiaries with percentages that total 100%. If you later transfer to a different custodian, file a new designation there. The IRS explains inheritance options on its beneficiary page, and we cover them in beneficiaries and inheriting a metals IRA.
Document 5: Storage Agreement or Election
You choose the depository (if the custodian offers a choice) and the storage type: segregated, where your specific items are stored separately, or commingled, where you own a quantity of identical items in a shared pool. The depository's fee and insurance terms apply. See segregated vs. commingled storage.
Other Paperwork You May See
- Dealer purchase agreement setting out pricing, cancellation terms and buyback policies. Read it before you sign.
- Fee payment authorization for annual custodian and storage fees.
- Interested party designation, allowing the custodian to share account information with the dealer.
- Distribution request later on, for cash or in-kind withdrawals.
Tax Forms That Follow
Your custodian issues Form 5498 each year reporting contributions, rollovers and the account's year-end fair market value. If you took an indirect rollover check, your old plan issues Form 1099-R, and you report the rollover on your tax return.
Help With Forms
Goldco, a precious metals company, says its precious metals specialists help customers with transfer and rollover paperwork and that it works with all major self-directed IRA custodians. They are not licensed to give financial, legal or tax advice. Our Goldco account setup checklist lists what to gather before you call.
Frequently Asked Questions
What is a medallion stamp?
A medallion stamp is a signature verification issued by a participating bank or brokerage, which is different from a notary seal. Some providers require it to release funds. Ask your current provider whether you need one.
Can I sign the forms electronically?
Many custodians accept e-signatures for applications and buy directions. Some old providers still require wet signatures for transfers out.
Who keeps the originals?
The custodian keeps the official records. Keep your own copies of everything, including dealer invoices.