What is IRA-Approved Silver?

IRA-approved silver is investment-grade physical silver that’s approved by the IRS to be used in an individual retirement account (IRA). 

For your safety and security, the IRS has strict guidelines on what types of metals can be held in an IRA. To be considered eligible as IRA-approved silver, the silver must meet exacting standards for quality, purity, and condition. Not all silver is created equal, but you can rest assured that your IRA will only contain some of the purest and most widely recognized bars and coins in the world. 

The IRS guidelines for quality, purity, and safe storage of IRA-eligible silver make owning silver in an IRA one of the safest ways to own precious metals. You get some of the best products available and can store and insure them in some of the best vaults in the world. 

Consulting with your Silver IRA account executive is very important. The executive will help make sure that the metals that you choose meet your investment objectives and comply with IRS standards. 

What Silver Products Are Approved for a Silver IRA?

Because your Silver IRA is designed for long-term investing, you’re only allowed to own investment-grade silver in a Silver IRA. 

The standards for IRA-eligible silver ownership are: 

• The silver must meet a minimum fineness of 0.999, or simply put, be 99.9% pure. 
• Coins must only be minted by approved government mints, and be new, uncirculated, and in perfect physical condition. 
• Proof coins cannot be graded. They must still be contained in their original mint packaging, and the certificate of authenticity must be included. 
• Silver bars and silver rounds must be manufactured by NYMEX, COMEX, or ISO 9000-approved manufacturers. 

These protective measures and restrictions are in place to ensure the worth of your investment. 

Those who own silver often talk about how beautiful and captivating it is to hold even a small sample of their silver coins in their hands.

These coins typically weigh ¾ of an ounce or more and have a shiny, newly minted appearance that makes them stand out. When you hold a silver coin between your fingers, you can feel its weight and thickness, and the smooth, reflective surface can be mesmerizing. It can transport you back to the time of the Roman Empire when silver coins were used as currency. This reminds us that throughout history, silver has been a reliable source of value and exchange. 

There are many examples of IRA-eligible silver coins that fit the bill.  

The Royal Canadian Mint is known for its wide selection of newly minted, IRA-eligible silver coins. While Royal Canadian Mint coins often come in different weights and sizes, they share a unifying theme: a charming animal featured on the front. These IRA-eligible silver coins are released in a limited mintage run and often have unique physical characteristics: 

Royal Canadian Mint – Eagle Coin 

• 1 ½ ounces
• 99.9% pure silver 
• Radial lines on the obverse (front) and the reverse, for enhanced security 
• Masterfully crafted, engraved, and finished to bring stunning depth and texture
• Minted in limited quantities 

Royal Canadian Mint – Lynx 

• Seventh release in RCM’s acclaimed Animal Series 
• ¾ ounce coin 
• 99.9% pure silver 
• Reverse proof finish, with a frosted/matte background that contrasts with and emphasizes the lynx’s features 
• The obverse features a portrait of Queen Elizabeth, four pearls, and the double dates of her reign 
• Minted in limited quantities 

Royal Canadian Mint – Maple Leaf 

• 1-ounce coin 
• 99.9% pure silver 
• Recognized worldwide 

In addition to coins created by the Royal Canadian Mint, silver IRAs also allow investors to purchase an American Eagle silver coin with the following characteristics: 

• 1-ounce coin 
• 99.9% pure silver 
• Recognized worldwide 
• Mass-produced to demand

What Types of Silver Aren’t Allowed in an IRA?

Let’s say your late uncle gifted you his extensive collection of vintage coins since the 1940s and you decide you want to incorporate them into your Silver IRA. 

Unfortunately, these junk silver coins do not meet the eligibility criteria for IRA inclusion. While they may contain 90% silver, allowable coins must be 99.9% pure, new, and uncirculated, and strictly designated as investment grade. Additionally, your aunt’s sterling silver jewelry pieces, beautiful they may be, are also ineligible for IRA inclusion. 

The good news is that you can still derive value from these precious items by selling them and using some of the proceeds to fund your annual silver IRA contribution. Even though they may not qualify for your IRA, you can still benefit from their worth. 

What Are the Benefits of Investing in Silver?

Investing in silver can be a fantastic strategic move to diversify your portfolio and mitigate your risk, and in some cases, it might make more sense to purchase silver instead of gold. 

Consider the following benefits of buying silver as part of your precious metals IRA: 

• Affordability: Silver is generally more affordable than gold, which can make it more accessible to smaller investors or those just starting out. 
• Industrial demand: Silver’s wide range of industrial applications leads to consistent demand. This demand can help support its price. 
• Inflationary hedge: Much like gold, silver allows investors to hedge against inflation. As the cost of living increases, the price of silver tends to rise. 
• Potential for high returns: While silver prices can be volatile, they also offer potential high returns. This is especially true during price spikes. 

Like any investment, buying silver comes with risks. Conduct thorough research and consult with a financial advisor before you make any investment decisions. 

One important thing to remember is that while you may buy silver to fund your IRA, there’s nothing stopping you from purchasing gold down the road as part of your investment strategy. You may fund an entirely separate gold IRA or use those precious metals as part of your silver IRA. 

How to Buy IRA-Approved Silver

It’s easy to buy IRA-approved silver. Here are the steps: 

• Choose your Silver IRA company. 

• Walk through the simple application process. 

• Fund your Silver IRA. 

• Discuss the metals options with your IRA expert. 

• Choose the metals that best suit your needs. 

• Sit back and relax. 

Since setting up a Silver IRA requires expert assistance, you probably have the necessary resources at hand. An experienced self-directed IRA specialist can explain the options, provide advice on the benefits and drawbacks of different metals, and smoothly guide you through the process. 

If you still have questions regarding IRA eligibility or need assistance, contact us to connect with an Advantage Gold account executive. We’re here and we’re happy to help.