It’s that special time of year again when investors have an opportunity to make IRA contributions for two years in a single move. This is a perfect opportunity to max out your retirement plan allocations for both 2023 and 2024.
In this week’s The Gold Spot video, Scottsdale Bullion & Coin Sr. Precious Metals Advisor Steve Rand and IRA Liaison Michelle Ellis explain the funding thresholds for each year, how investors can take greater control of their wealth, and why a precious metals IRA is a must in this economic climate.
Traditional and Roth IRA Contribution Limits for 2023 and 2024
| 2023 IRA Contribution Limits | 2024 IRA Contribution Limits | |
|---|---|---|
| Under age 50 | $6,500 | $7,000 |
| Age 50+ (catch up contribution) | $7,500 | $8,000 |
Following the New Year, investors have a three-and-a-half-month window to make IRA contributions for both the 2023 and 2024 fiscal years. This is a perfect way to optimize your retirement savings by investing cash in more valuable assets before the economy turns south. It also simplifies the process by simultaneously knocking out two years’ worth of contributions.
The IRA contribution caps for 2023 are set at $6,500 if you’re under 50 and $7,500 if you’re 50 or older. The ceiling is higher in 2024, with the limits being $7,000 and $8,000, respectively. Investors have until the tax deadline of April 15, 2024, to complete contributions for 2023, and the same date in 2025 to make allocations for 2024.
401(k) Plans: A Double-Edged Sword
The majority of investors with retirement plans have 401(k)s primarily because of their employer-sponsored structure. However, it’s crucial to weigh the benefits and drawbacks of these accounts diligently when determining the best retirement plan.
401(k) plans boast higher contribution limits than IRAs and employer matching opportunities. Still, these advantages are counterbalanced by significant drawbacks, including significantly higher fees, a restricted range of investments, and the possibility of an account freeze in the case of a merger or bankruptcy.
Exploring Your Retirement Options
If you’re wondering what to do with an old 401(k) or other retirement plans, this is an excellent opportunity to explore alternatives that might better align with your investment goals and provide greater control over your financial future.
Investors are increasingly turning to a self-directed precious metals IRA to get the protections offered by physical gold and silver with tax-advantaged dollars. It’s an ideal time of year to start making IRA contributions toward this self-directed retirement plan.
Related reading: 401k to Gold IRA Rollover: How to Transfer Your 401k to Gold Without Penalty
We’re Here to Help!
At Scottsdale Bullion & Coin, we’ve helped countless investors restructure their retirement plans for greater security, privacy, and returns. Feel free to contact us by calling toll-free at 1-888-812-9892 or using our live chat to talk with an advisor.
Our precious metals advisors will be happy to discuss the pros and cons of a gold IRA and see if rolling over your 401k to gold and silver is right for you based on your unique objectives, time horizon, and budget.
NEW Precious Metals IRA Step-by-Step Video Guide
We’ve created a comprehensive NEW Video explaining the merits and setup process for a precious metals IRA and how it differs from a traditional IRA.
