What happens if I want to sell my IRA metals?

Selling metals inside your precious metals IRA is straightforward, but it works differently than selling metals you own personally. Here's everything you need to know:

The Key Principle

Because your metals are held inside a tax-advantaged retirement account, you don't sell them directly yourself. All transactions are directed through your custodian, New Direction Trust Company (NDTCO), to ensure IRS compliance and preserve your account's tax-advantaged status.

Your Options When You Want to Sell

Option 1: Sell and Keep Proceeds Inside Your IRA

You can direct your custodian to sell your metals and keep the cash proceeds inside your SDIRA. This is the most common approach because:

• The transaction is tax-free at the time of sale
• Your proceeds remain in a tax-advantaged environment
• You can use the cash to purchase different metals, rebalance your holdings, or simply hold cash within the account
• No penalties apply regardless of your age

Option 2: Take a Cash Distribution

You can sell your metals and take the proceeds as a cash distribution from your IRA. Important rules apply:

• If you are age 59½ or older — no penalty, but the distribution is added to your ordinary taxable income for that year (Traditional IRA)
• If you are under age 59½ — a 10% early withdrawal penalty applies on top of ordinary income taxes
• Roth IRA holders who meet qualified distribution rules may receive proceeds completely tax-free

Option 3: Take an In-Kind Distribution (Physical Metal)

Rather than selling, you can take a distribution of the physical metal itself — meaning the actual coins or bars are shipped directly to you. Keep in mind:

• The fair market value of the metal at the time of distribution is treated as a taxable distribution
• The same age rules apply — penalty-free at 59½ or older
• Once received, the metals are yours personally and are no longer part of your IRA
• You can then sell them through SoundMoney or hold them as personally owned metals

What About Required Minimum Distributions (RMDs)?

Once you reach age 73, the IRS requires you to begin taking minimum distributions from your Traditional IRA each year. You can satisfy your RMD by:

• Taking a cash distribution after selling a portion of your metals
• Taking an in-kind distribution of physical metal equal to the required amount
• Drawing your RMD from another IRA or retirement account if you have one, leaving your metals account untouched

How the Process Works

Selling metals inside your IRA is a simple, coordinated process:

1. You contact SoundMoney or your custodian to initiate the sale
2. NDTCO facilitates the transaction on your behalf
3. Proceeds are deposited into your IRA cash account or distributed to you depending on your choice
4. Documentation is provided by your custodian for tax reporting purposes

Does the Value of My Metals Affect Taxes While in the IRA?

No. One of the key benefits of a precious metals IRA is that your metals can rise in value inside the account without triggering any taxes. You only pay taxes when you take a distribution — not when the value of your metals increases.

A Quick Reference Guide

Disclaimer: SoundMoney is not a tax advisor. Tax treatment of IRA distributions depends on your individual circumstances. Always consult a qualified tax professional before making distribution decisions.

Updated on: 09/04/2026