Transferring a Brokerage IRA Into Metals
To move a brokerage IRA into physical gold or silver, you generally sell some or all of its holdings to cash inside the IRA, then have the cash sent by trustee-to-trustee transfer to a self-directed IRA custodian that holds metals. Selling inside an IRA isn't a taxable event, and a direct transfer avoids withholding and rollover limits. The main decisions are how much to sell and when.
Why Most Transfers Into Metals Move as Cash
Brokerage IRAs typically hold stocks, bonds, mutual funds, and ETFs. A self-directed IRA custodian buys physical metal with cash, so the money usually needs to arrive as cash. You have two ways to get there:
| Approach | How it works | Points to weigh |
|---|---|---|
| Sell first, transfer cash | You place sell orders in the brokerage IRA, wait for settlement, then the cash is transferred | You control which holdings are sold and when; the account sits in cash briefly |
| Transfer in kind | Securities move to the new custodian, which sells them | Only if the receiving custodian accepts securities; you may have less control over sale timing |
Most people buying metals use the first approach. Ask the receiving custodian which it supports.
Selling Holdings Before Buying Metal
Because the holdings are inside an IRA, selling them doesn't create capital gains or losses for tax purposes. Taxes on a traditional IRA are generally owed only when money is distributed to you. That means you can choose what to sell based on your goals rather than tax lots. A few practical points:
- Settlement. Most U.S. stock and ETF trades settle one business day after the trade. Mutual funds generally price at the end of the trading day and settle on their own schedule. Wait until cash shows as settled before the transfer is processed.
- Price exposure. Between selling and buying metal, your money is in cash. Prices of both what you sold and the metal you'll buy can move in the meantime.
- Fund-specific charges. Some mutual funds have short-term redemption fees or back-end sales charges. Check the fund's prospectus.
- Leave room for fees. If you're keeping the brokerage IRA open, leave enough cash for any outgoing transfer fee.
Step-by-Step Transfer
- Open a self-directed IRA with a custodian that permits physical metals. Match the tax type: traditional to traditional, Roth to Roth.
- Decide the amount. Full or partial. See partial rollovers.
- Sell the chosen holdings inside the brokerage IRA and let trades settle.
- Sign the receiving custodian's transfer form, listing the brokerage, your account number, and the cash amount. Attach a recent statement.
- The receiving custodian sends the request to the brokerage, which sends the cash by check or wire.
- Choose eligible metals once cash posts. Gold must be .995 fine and silver .999 fine, with an exception for American Eagles, under 26 U.S.C. 408(m). See IRA-eligible silver coins.
- Confirm storage at an approved depository on your statement.
Our trustee-to-trustee transfer guide explains who does what at each step.
Choosing What to Sell
Because there's no tax cost to selling inside an IRA, the choice of what to sell comes down to your goals for the remaining account. Some people sell from whichever asset class has grown beyond their intended mix; others sell their highest-cost funds first; others simply sell evenly across holdings. If you're keeping the brokerage IRA open, think about what the remaining holdings should look like after the transfer, not just which shares raise the cash. A licensed professional can help you think this through; this page doesn't recommend any particular approach.
Avoid Taking a Distribution
Don't withdraw cash from the brokerage IRA to your bank account intending to redeposit it. That's an indirect rollover, with a 60-day deadline, possible withholding, and a one-per-12-months limit across all your IRAs. A transfer avoids all three. See the one-rollover-per-year rule.
What Changes After the Move
Moving from securities to physical metal changes how the money behaves:
- No income. Metal pays no dividends or interest. Some people hold it as a potential store of value and diversifier rather than an income source. See gold vs stocks.
- Different costs. Custodian and storage fees replace fund expense ratios and trading commissions.
- Different selling process. Selling metal involves a dealer quote and a custodian instruction rather than a click; see how buybacks work.
Working With Goldco
Goldco is a precious metals company that offers gold and silver for IRAs funded by transfer from existing IRAs and says it works with all major self-directed IRA custodians. It advertises a buyback program for IRA-approved coins; read its written terms. Its precious metals specialists are not licensed to give financial advice, so decisions about which holdings to sell are yours to make, ideally with a licensed professional. See the Goldco review.
Frequently Asked Questions
Do I owe tax when I sell stocks to buy gold in my brokerage account?
Not when the sale happens inside the IRA. Taxes generally apply only when money is distributed to you.
Can my brokerage hold the gold instead?
Many brokerages don't hold physical bullion in IRAs. Some offer metal-backed funds, which are a different product from owning coins or bars.
How long does a brokerage transfer into metals take?
Often one to a few weeks, depending on the brokerage's process and whether funds move by wire or check.