Where your gold IRA metals are stored is not just a practical detail — it is a legal requirement. The IRS mandates that all precious metals held in an IRA be stored at an approved depository or bank. Storing metals improperly can result in the entire IRA being deemed a taxable distribution, wiping out years of tax-deferred growth in a single event.
This guide covers the IRS storage rules, profiles the major depositories used by gold IRA companies, compares segregated and commingled storage options, breaks down costs, and addresses the persistent — and legally dangerous — myth of home storage gold IRAs.
IRS Storage Requirements for Precious Metals IRAs
Under IRC Section 408(m)(3)(B), precious metals held in an IRA must be stored by a bank (as defined in IRC Section 408(n)), an approved non-bank trustee, or another entity approved by the IRS. In practice, this means your metals must be held at a qualified depository — a specialized vault facility designed for the secure storage of precious metals and other high-value assets.
What Qualifies as an Approved Depository?
- ●Banks meeting the definition under IRC Section 408(n), including national banks and state-chartered banks.
- ●Approved non-bank trustees that have received IRS approval to serve as IRA custodians or trustees.
- ●Third-party depositories approved by the IRS and used by qualified IRA custodians for metals storage.
The key rule is simple: you cannot personally hold your IRA metals. The metals must be in the physical custody of an approved entity at all times. Your IRA custodian is responsible for arranging and maintaining the storage relationship.
Major IRS-Approved Depositories
The vast majority of gold IRA metals in the United States are stored at one of four major depositories. Each has a long track record, comprehensive insurance coverage, and established relationships with gold IRA custodians.
Delaware Depository (Wilmington, DE)
The most widely used depository in the gold IRA industry. Established in 1999, the Delaware Depository holds a Class III vault rating (the highest available) and stores tens of billions of dollars in precious metals for IRA custodians, hedge funds, and institutional investors. Insurance is provided through Lloyd's of London, covering the full replacement value of stored assets. Annual audits are conducted by an independent accounting firm. Used by Augusta Precious Metals, Goldco, American Hartford Gold, Birch Gold Group, Advantage Gold, Patriot Gold Group, Noble Gold, and Rosland Capital.
Brinks Global Services
A division of The Brink's Company (NYSE: BCO), founded in 1859. Brinks operates vault facilities across the United States and internationally. Their precious metals storage services are backed by the financial strength of a publicly traded, $5+ billion revenue company. Brinks facilities feature 24/7 monitoring, biometric access controls, and comprehensive insurance coverage. Used by Augusta Precious Metals, American Hartford Gold, Birch Gold Group, and Advantage Gold.
International Depository Services (IDS) of Texas (Dallas, TX)
A privately held depository specializing in precious metals storage for IRA custodians and institutional investors. Located in Dallas, Texas, IDS provides an alternative for investors who prefer their metals stored in a different state or closer to their geographic region. The facility features state-of-the-art security systems, climate-controlled vaults, and comprehensive insurance. Used by Goldco, Birch Gold Group, and Noble Gold Investments.
HSBC Precious Metals Vault (Various Locations)
One of the world's largest custodian banks for precious metals, HSBC operates vault facilities in New York, London, and other major financial centers. While primarily used by institutional investors and ETF sponsors (HSBC is the custodian for the SPDR Gold Trust - GLD), some gold IRA custodians offer HSBC as a storage option for larger accounts. The bank's global scale and financial resources provide an additional layer of security.
Segregated vs. Commingled Storage
When setting up your gold IRA, most companies offer a choice between two storage methods. Each has distinct advantages and cost implications.
Segregated Storage
Your metals are stored separately, in a designated space labeled with your account information.
Advantages
- + You receive the exact same coins/bars you purchased
- + Easy to audit and verify specific items
- + Eliminates commingling with other accounts
- + Greater peace of mind and accountability
Disadvantages
- - Higher cost ($200-$250/year typical)
- - May require a minimum account size
Typical cost: $200 - $250/year
Commingled Storage
Your metals are stored with metals of the same type from other IRA holders.
Advantages
- + Lower cost ($150/year typical)
- + Available for all account sizes
- + Operationally simpler for the depository
Disadvantages
- - You may not receive the exact items you purchased
- - Less transparency about specific allocations
- - Perception of lower security (though actual security is the same)
Typical cost: $150/year
For most investors, commingled storage is adequate and cost-effective. The metals are the same quality and quantity — only the physical arrangement differs. However, investors with larger accounts or those who place a high premium on accountability may prefer segregated storage for the additional peace of mind it provides.
Storage Costs Across Gold IRA Companies
| Company | Standard Storage | Depositories Used | Segregated Available? |
|---|---|---|---|
| Augusta Precious Metals | $150/yr | Delaware Depository, Brinks | Yes |
| Goldco | $150/yr | Delaware Depository, IDS Texas | Yes |
| American Hartford Gold | $150/yr | Delaware Depository, Brinks | Yes |
| Birch Gold Group | $150/yr | Delaware Depository, Brinks, IDS | Yes |
| Noble Gold Investments | $150/yr | Delaware Depository, IDS | Yes |
| Advantage Gold | $150/yr | Brinks, Delaware Depository | Yes |
| Patriot Gold Group | $150/yr | Delaware Depository | Contact |
| Rosland Capital | $150/yr | Delaware Depository | Contact |
Storage fees shown are for standard commingled storage. Segregated storage typically costs $50-$100 more per year. Contact each company for current pricing.
Insurance and Security Measures
IRS-approved depositories maintain comprehensive security and insurance programs. Understanding these protections is important for peace of mind — even if you never need to use them.
All-Risk Insurance
Major depositories carry all-risk insurance policies (typically through Lloyd's of London) that cover theft, loss, damage, and natural disasters. Coverage extends to the full replacement value of stored metals.
Physical Security
Class III vault ratings (the highest level), reinforced steel construction, seismic reinforcement, and multiple redundant locking systems. Physical access requires multi-factor authentication.
24/7 Surveillance
Continuous video monitoring, motion detection, intrusion detection systems, and armed security personnel. Many facilities use biometric access controls (fingerprint, retinal scan).
Regular Auditing
Annual audits by independent accounting firms verify that the metals on record match the metals in the vault. These audits provide an additional layer of accountability beyond the depository's internal controls.
The Home Storage IRA Myth: Why It Is Risky
Some promoters advertise “home storage gold IRAs” or “checkbook control IRAs” that claim to allow you to keep IRA metals at home in a personal safe. This arrangement carries serious legal and financial risk.
In the 2017 Tax Court case McNulty v. Commissioner, the court ruled that a taxpayer who stored IRA gold coins at home had made a taxable distribution, resulting in taxes plus a 10% early withdrawal penalty. The IRS has consistently taken the position that home storage violates the custodial requirements of IRC Section 408.
The typical home storage scheme involves setting up an LLC, naming the LLC as the IRA's investment, and then having the LLC hold the metals at your home. While promoters argue this creates a legal separation, the IRS and courts have rejected this structure. The risks include:
- •Full account balance treated as a taxable distribution
- •10% early withdrawal penalty if under age 59.5
- •Potential prohibited transaction excise taxes
- •Loss of all tax-deferred growth in the account
- •No insurance coverage (depository insurance does not apply to home storage)
Our recommendation: avoid home storage IRA arrangements entirely. The potential tax consequences far outweigh any perceived convenience.
How to Verify Your Metals Are Stored Properly
Request and review your custodian's latest annual statement showing your specific holdings (type, quantity, weight).
Ask for a copy of the depository's most recent independent audit report.
Verify that the depository carries comprehensive all-risk insurance and confirm the coverage limits.
For segregated storage accounts, request the specific vault location or allocation number for your metals.
Check whether your custodian provides online account access for real-time holdings verification.
If desired (and for segregated accounts), arrange an in-person visit to the depository to inspect your metals.