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    Question about storage fees for gold IRA - am I doing this right?

    R
    Key Takeaways
    • I'm sitting on about $75k in physical gold right now, all stored in Delaware.
    • My custodian charges me 0.15% annually for storage, which works out to about $112.50 a year based on my current holdings.
    • On top of that, there's a flat $100 annual administrative fee.
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    Hey, so I've been seeing a lot of posts lately about Gold IRAs and it's making me wonder if I'm getting the best deal or if there's something I should be looking out for. I set up my Gold IRA about two and a half years ago, mostly as a hedge against inflation and to supplement my government pension when I eventually retire. I'm sitting on about $75k in physical gold right now, all stored in Delaware. I'm based here in Albuquerque and picked Delaware because it felt like a good, solid option for security, but now I'm starting to second-guess the fees.

    My custodian charges me 0.15% annually for storage, which works out to about $112.50 a year based on my current holdings. On top of that, there's a flat $100 annual administrative fee. So I'm looking at roughly $212.50 a year just to keep my gold in a vault and manage the account. It doesn't sound like a ton of money, especially compared to the gains I've seen, but the percentage-based storage fee is what's starting to bug me. As my portfolio grows (and I plan to keep adding to it), that percentage will obviously mean more money out of my pocket, while a flat fee would stay the same.

    I know some places charge flat fees for storage, not percentages. Is it worth looking into switching custodians or even just finding a different storage solution within my current setup? I'm trying to be smart about this long-term. My priority is security, absolutely, but if I can get similar security for a lower, more predictable cost, I'd obviously prefer that. I'm aiming for this account to hit six figures in the next 5-7 years, so these fees will only get higher.

    What are others paying for their Gold IRA storage? Especially if you have a similar portfolio size or a government/pension background and understand the need for extra stability. Any thoughts on whether 0.15% for storage is standard, or if I should be pushing for a flat fee option? Thanks for any insights!

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    4 comments

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    Best Answer▲ 10 upvotes
    D
    donna_rogers🏆Advanced (250-500k)

    Totally get wanting to diversify, especially with a pension. But honestly, for just a "hedge" against inflation and to supplement a pension, I've always wondered if the storage fees for a Gold IRA really make sense in the long run.

    I mean, you're looking at ongoing costs that eat into those inflation-beating returns. Have you ever done a side-by-side comparison of the projected returns of your actual gold, minus fees, versus just a broad market index fund over the same time frame? Sometimes the "safest" option isn't always the most profitable once you factor in those recurring charges.

    Comments (4)

    3
    christopher_young🌟Ultra (5m+)Real Investor✓ Verifiedabout 15 hours ago

    Totally get where you're coming from! I had a similar experience a few years back when I first set up my own Gold IRA. I was so focused on the initial setup and what metals to buy that I barely gave the storage fees a second thought. It wasn't until I saw a thread here that I realized I might be overpaying compared to others. Definitely worth doing a quick check!

    9
    karen_robinson💼Starter (0-50k)about 15 hours ago

    Hey, cool you're looking into this. You mentioned your pension – are you planning to roll over a portion of that into your Gold IRA, or is the Gold IRA just a separate, additional investment for you?

    10
    donna_rogers🏆Advanced (250-500k)Real Investorabout 15 hours ago

    Totally get wanting to diversify, especially with a pension. But honestly, for just a "hedge" against inflation and to supplement a pension, I've always wondered if the storage fees for a Gold IRA really make sense in the long run.

    I mean, you're looking at ongoing costs that eat into those inflation-beating returns. Have you ever done a side-by-side comparison of the projected returns of your actual gold, minus fees, versus just a broad market index fund over the same time frame? Sometimes the "safest" option isn't always the most profitable once you factor in those recurring charges.

    5
    steven_mitchell🏆Advanced (250-500k)Real Investor✓ Verifiedabout 15 hours ago

    Hey there! Great question about storage fees. It's smart to review things after a couple of years. For anyone else looking into this, a good rule of thumb is to check if your custodian offers segregated vs. commingled storage. Segregated generally means your specific metals are kept separate, which can sometimes come with a slightly higher fee but offers peace of mind. Both are secure, but it's a detail worth clarifying when you're comparing costs.

    You can often find detailed breakdowns of these differences on custodian websites or in their FAQs. Hope that helps!

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