How to Roll Over a 403(b) to a Gold IRA: Step-by-Step for Healthcare and Nonprofit Workers

Rolling over a 403(b) to a gold IRA follows the same fundamental process as other retirement account transfers—but with rules specific to 403(b) plan structures that differ from other employer-sponsored rollovers. Healthcare workers, VA employees, university staff, and nonprofit professionals can move 403(b) funds into a self-directed IRA holding IRS-approved precious metals through a direct trustee-to-trustee transfer. The primary risks involve plan-specific restrictions, custodian selection, and IRS compliance requirements for precious metals storage.

Last updated: February 2026

Key Takeaways

• ‍Direct rollovers eliminate mandatory 20% tax withholding that indirect rollovers trigger automatically
• ‍Not all 403(b) plans permit in-service rollovers—separation from employment may be required before transferring funds‍
• IRS-approved metals only: gold must meet .995 fineness; silver requires .999 fineness
• ‍Home storage of IRA precious metals is prohibited—violations trigger immediate taxation and penalties

Understanding 403(b) Rollover Mechanics

The 403(b) retirement plan serves employees of public schools, hospitals, nonprofits, and certain government organizations. For healthcare workers at VA medical centers, university researchers, and nonprofit professionals, the 403(b) functions similarly to an employer-sponsored 401(k)—but with plan-specific rules governing rollover eligibility.

Understanding these distinctions before initiating any transfer prevents costly mistakes that cannot be reversed once funds move.

Why This Question Keeps Coming Up

Healthcare, nonprofit, and university workers increasingly encounter precious metals investment information through retirement seminars, financial advisor discussions, and peer conversations as they approach mid-career and pre-retirement stages. Many discover that 403(b) rollover mechanics differ from what they've read about other retirement account transfers—creating confusion about eligibility, timing, and compliance requirements specific to their plan type.

Is Your 403(b) Eligible for Rollover?

Before initiating any transfer, confirm your plan's rollover eligibility. Unlike standardized employer plans, 403(b) plans vary significantly by employer and plan administrator.

In-Service vs. Separation Rollovers

In-service rollovers (while still employed) are permitted by some 403(b) plans for participants who have:

• Reached age 59½
• Experienced financial hardship (as defined by plan documents)
• Participated in the plan for a minimum period (typically 2+ years)

Post-separation rollovers become available after leaving employment and face fewer restrictions. Most 403(b) participants find the rollover process significantly more straightforward after separating from their employer.

How to Verify Eligibility

Contact your plan administrator directly and ask:

• "Does my plan permit in-service rollovers?"
• "Are there minimum participation requirements before rolling over?"
• "What documentation is required to initiate a rollover?"
• "Does my plan permit rollovers to self-directed IRAs holding alternative assets?"

Some 403(b) plans restrict rollovers to specific IRA types or approved custodians. Verifying these details before selecting a gold IRA custodian prevents process failures.

What Are the 403(b) Rollover Rules for 2025/2026?

403(b) accounts follow IRS regulations governing qualified retirement plan rollovers with some plan-specific variations.

2025/2026 Key Figures:

• Annual contribution limit: $23,500
• Age 50+ catch-up contribution: $7,500
• Age 60-63 enhanced catch-up (SECURE 2.0): $11,250
• Rollover amount limits: None—full account balances can transfer

Rollover Tax Treatment:

• Direct rollovers: No tax withholding, no deadline pressure
• Indirect rollovers: Mandatory 20% withholding, 60-day completion deadline
• Traditional 403(b) → Traditional IRA: Tax-deferred status maintained
• Traditional 403(b) → Roth IRA: Taxable conversion event in year of transfer

How Does a 403(b) Rollover Differ From Other Employer Plan Rollovers?

Workers familiar with other employer plan rollover mechanics will find some similarities—but important differences exist with 403(b) plans specifically.

The most significant difference: 403(b) plans are administered by nonprofit, educational, and healthcare institutions with varying plan documents and administrator policies that require individual verification.

Step-by-Step: How to Roll Over a 403(b) to a Gold IRA

Step 1: Confirm Rollover Eligibility

Contact your 403(b) plan administrator to verify:

• Rollover eligibility based on employment status and plan rules
• Required documentation and forms
• Processing timelines
• Any plan-specific restrictions on receiving account types

Timeline: 1-3 business days for eligibility confirmation

Step 2: Select an IRS-Approved Gold IRA Custodian

Self-directed IRAs holding precious metals require specialized custodians approved by the IRS. Standard brokerage IRA custodians do not administer physical precious metals accounts.

Custodian evaluation criteria:

• IRS approval status and regulatory standing
• Annual fees (typically $75-$300)
• Storage fee structures (typically $100-$300 annually)
• Approved depository partnerships
• Processing timelines and customer service quality
• Minimum account requirements

Firms specializing in precious metals IRA administration handle both custodianship coordination and depository relationships. Request complete fee schedules in writing before committing.

Step 3: Open Your Self-Directed IRA

Complete the new account application with your chosen custodian:

• Personal identification documentation
• Beneficiary designations
• Investment objectives and risk acknowledgment forms
• Storage preference selection (segregated vs. commingled)

Timeline: 3-7 business days for account establishment

Step 4: Initiate the Direct Rollover

Contact your 403(b) plan administrator to request a direct rollover to your new self-directed IRA custodian. Provide:

• New custodian's complete receiving instructions
• Routing numbers and account details
• Written rollover request (plan-specific form)
• New IRA account number

Critical: Specify direct rollover explicitly. If the plan administrator issues a check payable to you personally, mandatory 20% withholding applies and the 60-day indirect rollover rules take effect.

Timeline: 2-4 weeks for fund transfer completion

Step 5: Select IRS-Approved Precious Metals

Once funds arrive at your self-directed IRA custodian, select IRS-compliant metals for purchase.

IRS-approved gold products include:

• American Gold Eagle coins (.9167 fineness—exception to .995 rule)
• American Gold Buffalo coins (.9999 fineness)
• Canadian Gold Maple Leaf coins (.9999 fineness)
• Gold bars from approved refiners (.995+ fineness)

IRS-approved silver products include:

• American Silver Eagle coins (.999 fineness)
• Canadian Silver Maple Leaf coins (.9999 fineness)
• Silver bars from approved refiners (.999+ fineness)

Prohibited metals include:

• Most collectible or numismatic coins
• Gold or silver below minimum fineness standards
• Metals not produced by approved refiners or government mints

Step 6: Arrange IRS-Compliant Storage

IRA-owned precious metals must be stored with qualified custodians at IRS-approved depositories. Personal possession is prohibited regardless of intent.

Approved depository options include:

• Delaware Depository (Wilmington, DE)
• Brink's Global Services
• International Depository Services (IDS)
• Texas Precious Metals Depository

Storage options:

• Segregated storage: Your metals stored separately, identified as yours specifically
• Commingled storage: Your metals stored with other investors' holdings of same type

Segregated storage typically costs $50-$100 more annually but provides clearer individual ownership documentation.

What Happens If You Take an Indirect Rollover?

Healthcare and nonprofit workers who receive 403(b) distribution checks personally face immediate compliance consequences.

The plan administrator withholds 20% for federal income taxes automatically. For a $100,000 distribution, you receive $80,000. Completing a full tax-free rollover requires depositing $100,000 into your gold IRA within 60 days—meaning the missing $20,000 must come from personal funds.

Missing the 60-day deadline converts the entire distribution to taxable income. For workers under 59½, a 10% early withdrawal penalty applies on top of ordinary income taxes.

...triggering combined tax and penalty exposure of 30-40% on amounts not properly rolled over.

Healthcare, nonprofit, and university professionals considering precious metals rollovers should use direct transfers exclusively to avoid these consequences.

How Do IRS Rules for Precious Metals Differ From Standard IRA Investments?

Self-directed IRAs holding precious metals face additional compliance requirements absent from standard brokerage IRAs.

IRC Section 408(m) establishes specific standards for precious metals held in IRAs. Violations—including home storage schemes marketed as "Checkbook IRAs"—trigger immediate distribution treatment. A U.S. Tax Court precedent confirmed that personal storage of IRA-purchased gold resulted in taxable distribution of the entire account value plus penalties.

What "Home Storage IRAs" actually are: Some firms market self-directed IRA structures suggesting investors can store precious metals at home. These arrangements consistently fail IRS scrutiny. The IRS requires qualified custodians and approved depositories for all IRA precious metals—not home safes, safety deposit boxes, or personal storage of any kind.

What Are the Total Costs of a 403(b) to Gold IRA Rollover?

Understanding complete cost structures helps nonprofit and healthcare workers evaluate whether precious metals IRAs align with their retirement objectives.

Typical annual costs for a $100,000 gold IRA:

Legitimate dealers charge 4-8% spreads over spot price on common bullion. Spreads exceeding 15% warrant careful scrutiny. CFTC enforcement data shows fraudulent firms charged spreads averaging 47% over spot—a significant first-year capital loss that compounds over time.

Healthcare and nonprofit professionals evaluating whether precious metals fit within their broader retirement strategy may benefit from reviewing a comprehensive analysis of whether rolling a retirement account into a gold IRA makes sense, including benefits, trade-offs, and execution mistakes to avoid.

Healthcare and nonprofit professionals beginning their research may find it helpful to start with a broader review of common gold IRA questions and compliance considerations before evaluating specific rollover strategies.

Who Benefits Most From 403(b) to Gold IRA Rollovers?

Healthcare Professionals Approaching Retirement

Hospital physicians, nurses, and healthcare administrators with substantial 403(b) balances ($200,000+) seeking inflation protection and portfolio diversification. These professionals value thorough due diligence and detailed compliance guidance before major financial decisions.

Primary considerations: Fee impact on large balances, storage security, custodian track records, and IRS compliance documentation.

University Researchers and Academic Staff

Tenured faculty and senior researchers with long-service 403(b) balances evaluating wealth preservation as retirement approaches. Analytically minded, they respond to data-driven comparisons rather than emotional appeals.

Primary considerations: Cost comparison vs. existing 403(b) investment options, liquidity trade-offs, and total return analysis over 10-20 year horizons.

Nonprofit Professionals Seeking Diversification

Senior nonprofit executives and long-term staff with 403(b) balances seeking alternative assets for inflation hedging. Often skeptical of both traditional financial advice and precious metals marketing.

Primary considerations: Dealer transparency, fee disclosure completeness, and regulatory compliance verification.

Poor Fit: Workers With Smaller Balances

403(b) participants with balances under $50,000 face proportionally higher fee impacts from gold IRA cost structures. For a $25,000 account, annual fees of $300-$600 represent 1.2-2.4% annually—significantly reducing long-term growth potential.

Lower-cost alternatives for smaller balances include precious metals ETFs (GLDM expense ratio: 0.10%) providing similar inflation hedge exposure without physical storage complexity.

Common 403(b) to Gold IRA Rollover Mistakes

Initiating Rollover Before Confirming Plan Eligibility

Some 403(b) plans require specific conditions before permitting rollovers. Workers who open gold IRA accounts and begin the transfer process before confirming eligibility face delays and potential complications.

Prevention: Confirm eligibility with plan administrator before any other steps.

Selecting Custodians Without Fee Disclosure

Gold IRA custodians vary significantly in fee transparency. Workers who commit to custodians without obtaining complete written fee schedules discover unexpected costs after funds transfer.

Prevention: Request itemized fee schedules in writing covering setup, annual administration, storage, and transaction fees.

Confusing Rollover and Transfer Terminology

Plan administrators sometimes use "transfer" and "rollover" interchangeably. Workers must confirm that funds move directly between institutions without personal possession—regardless of terminology used.

Prevention: Explicitly request "direct rollover" and confirm no check will be issued payable to you personally.

Purchasing Non-Qualifying Metals

Some dealers recommend collectible or numismatic coins that don't meet IRS fineness requirements. These purchases may trigger immediate distribution treatment of the entire IRA.

Prevention: Request IRS compliance confirmation for every metal product before purchase. Stick to standard bullion products from government mints and approved refiners.

FAQs

Can I roll over my 403(b) to a gold IRA while still employed?

‍It depends on your plan. Some 403(b) plans permit in-service rollovers after age 59½ or after minimum participation periods. Others require separation from employment. Contact your plan administrator to confirm your specific plan's rules.

How long does a 403(b) to gold IRA rollover take?

‍Direct rollovers typically complete in 3-6 weeks total: 3-7 days for new IRA establishment, 2-4 weeks for fund transfer from plan administrator.

Do I pay taxes on a 403(b) to gold IRA rollover?

‍Direct rollovers from Traditional 403(b) accounts to Traditional IRAs do not trigger taxation. The funds maintain tax-deferred status. Rollovers to Roth IRAs constitute taxable conversions.

What is the minimum amount needed for a gold IRA?

‍Minimums vary by custodian and dealer, typically ranging from $10,000 to $50,000. Higher minimums generally indicate education-first providers serving larger accounts.

Can I roll over a Roth 403(b) to a gold IRA?

‍Yes. Roth 403(b) funds should roll to Roth self-directed IRAs to maintain tax-free status. Rolling Roth funds to Traditional IRAs eliminates the tax-free benefit.

What if my 403(b) plan doesn't permit rollovers to alternative assets?

‍Some plans restrict rollovers to specific account types. Post-separation rollovers generally face fewer restrictions. Consult your plan administrator and a qualified tax professional.

Making Informed Decisions About 403(b) Rollovers

Healthcare workers, university staff, and nonprofit professionals have built 403(b) accounts through years of consistent contributions. These balances represent significant retirement security requiring careful evaluation before any transfer decisions.

The distinction between plan eligibility, direct rollover mechanics, and IRS precious metals compliance determines whether 403(b) to gold IRA transfers succeed without tax consequences. Understanding these requirements—and working with qualified custodians who provide complete fee disclosure—protects accumulated retirement capital during transitions.

For most workers, the decision depends on balance size, remaining years to retirement, existing investment diversification, and comfort with self-directed IRA management requirements.

Disclaimer: This article provides educational information about 403(b) rollover mechanics and does not constitute financial, tax, or legal advice. Healthcare workers, nonprofit professionals, and university employees should consult qualified financial advisors, tax professionals, and legal counsel before making retirement account decisions. Rollover choices involve individual circumstances including tax situations, investment objectives, and retirement timing. The IRS provides official guidance through Publication 590-A and Publication 590-B.

References

[1] Internal Revenue Service. "IRC Section 408(m): Precious Metals in IRAs." IRS.gov.

[2] Internal Revenue Service. "Publication 571: Tax-Sheltered Annuity Plans (403(b) Plans)." 2025 Edition. IRS.gov.

[3] Internal Revenue Service. "Topic No. 413: Rollovers from Retirement Plans." IRS.gov.

[4] Internal Revenue Service. "Publication 590-B: Distributions from Individual Retirement Arrangements." 2025 Edition. IRS.gov.

[5] U.S. Tax Court. "McNulty v. Commissioner: IRA Precious Metals Storage Requirements." Tax Court Case Precedent.

[6] Commodity Futures Trading Commission. "Precious Metals Fraud Enforcement Actions 2020-2024." CFTC.gov.

[7] Internal Revenue Service. "SECURE 2.0 Act: Enhanced Catch-Up Contribution Rules." IRS.gov.

[8] FINRA. "Buying Physical Gold or Other Metals for Retirement Accounts." Investor Insights. FINRA.org.

[9] Internal Revenue Service. "Retirement Topics: 403(b) Contribution Limits." IRS.gov.