The recent surge in gold prices is pushing more people to consider unloading their family heirlooms and other valuables, which can be melted for cash, according to Schmidt.

Spot gold prices hit an all-time high above $3,500 per ounce last week. The record follows a barrage of tariffs announced by President Donald Trump in April, fueling concern that a global trade war will push the U.S. economy into recession. One year ago, prices were about $2,200 to $2,300 an ounce.

As of Wednesday morning, gold futures prices were up about 23% year-to-date and 36% higher compared to the price a year ago. 

“Gold tends to trade on fear, and we have a lot of fear in the markets right now,” said Kathy Kristof, a personal finance expert and founder of SideHusl.com.

“If you can find a moment when people are the most fearful, that’s an ideal time to sell your gold,” she said. “Strike while the iron is hot.”

Sellers can use the spot price to get a rough sense of what their gold is worth, if they know its weight and purity, to sense if they’re being ripped off, Kristof said. (Keep in mind: 24-karat gold is pure gold; an 18-karat piece is 75% gold and 25% other metals.)

“Do the math before you even go,” she said. “Fools get creamed.”

Price comparisons and deal shopping are “always wise” moves for consumers, Kristof added.

“It is a competitive marketplace,” she said. “You can get a better deal.”

2. ‘Wise or foolish’ to wait?

Some experts say prices may have topped out, but others think there is still room to run.

“My view is that gold hit an interim peak, which should hold up at least into the fall,” Roy-Byrne said.

Ultimately, it’s impossible to know what the future holds. Consumers should assess if they made a good return on investment, and if the risk of holding and hoping for a better profit “is wise or foolish,” Kristof said.

3. Tax bill may be unexpectedly high

One cautionary note: Sellers may pay a higher tax rate on their gold profits than they may otherwise think.

That’s because the Internal Revenue Service would likely consider physical gold like jewelry, coins or bars to be a “collectible,” for tax purposes, explained Troy Lewis, a certified public accountant and professor of accounting and tax at Brigham Young University.

Federal long-term capital gains taxes on collectibles can go as high as 28%, while those on other assets like stocks and real estate can reach 20%.

4. Proceed ‘thoughtfully’

Schmidt recommends proceeding “thoughtfully” before selling or melting down gold jewelry.

“It can be a smart move for those needing immediate funds, but not every piece should be melted down,” he said. “Items with historical or artistic value, like family heirlooms or antique jewelry, may be worth more in their original form than as melted metal.”

Schmidt recommends consulting with a reputable jeweler or appraiser before selling as well as considering the cost of cashing out.

“Gold may be in high demand, but once a unique piece is melted, its original value is lost forever,” he said.

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As investors wrestle with tariff-induced stock market volatility, there could be a tax-planning opportunity. But it’s not right for all investors, experts say.

The strategy, known as “Roth conversions,” transfers pretax or nondeductible individual retirement account money to a Roth IRA, which starts future tax-free growth. The tradeoff is paying upfront taxes due on the converted balance.

This planning move has been gaining popularity. As of Dec 31, the volume of Roth conversions increased by 36% year-over-year, according to the latest data from Fidelity Investments.

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Roth conversions are especially attractive when the stock market drops, according to certified financial planner Ashton Lawrence, director at Mariner Wealth Advisors in Greenville, South Carolina.

Here’s why: Amid market volatility, you can convert a smaller balance and pay less upfront taxes. When the market recovers, you’ll secure tax-free growth in the Roth account, Lawrence said.

Still, there are some key factors to consider before converting funds, experts say.

When weighing Roth conversions, “the single biggest factor” should be your current marginal tax rate vs. your expected rate when you withdraw the funds, said George Gagliardi, a CFP and founder of Coromandel Wealth Management in Lexington, Massachusetts. (Your marginal rate is the percent you pay on your last dollar of taxable income.)

Typically, you should aim to time planning moves that incur taxes — including those from Roth conversions or future withdrawals — when rates are lower, experts say.

But boosting your adjusted gross income can lead to other tax consequences, such as higher Medicare Part B and Part D premiums. That’s why it’s important to run tax projections before converting funds.

Since 2020, certain heirs must follow the “10-year rule,” which stipulates that inherited IRAs must be depleted by the 10th year after the original account owner’s death. This applies to beneficiaries who are not a spouse, minor child, disabled, chronically ill or certain trusts.

In some cases, clients pay taxes upfront via a Roth conversion to spare their future heirs from the bill, Lawrence said. Alternatively, some pass along the tax liability when heirs are in a lower tax bracket.

“We know that Uncle Sam is going to get his fair share, but we can be smart about it,” he added.

Concerns about the future of the Social Security Administration may tempt some workers to claim retirement benefits early.

Yet experts warn that may not be the best decision.

It’s no secret that Social Security is running low on funding. Fears that the program might not be able to pay benefits in the future — or that benefits might be cut — have prompted people to take their money earlier, even if it means receiving a smaller monthly payment for the rest of their lives.

In 2024, the trustees projected the trust fund used to help pay retirement benefits may be depleted in 2033, when 79% of benefits will be payable. Social Security’s trustees have not yet released new trust fund depletion projections in 2025.

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Changes at the Social Security Administration — including staff cuts and long wait times for service — do not encourage more confidence in the program, noted Kelly LaVigne vice president of consumer insights at Allianz Life Insurance Company.

A recent survey from Allianz found that 64% of Americans are more worried about running out money than they are about dying. Meanwhile, Social Security not providing enough money was the second reason cited for those worries behind inflation, the survey found.

On average, Social Security benefits replace about 40% of a worker’s pre-retirement income, according to the SSA. As Congress eventually seeks a fix to the program’s funding woes, that may require Americans to pay more taxes and/or receive less benefits.

“If you cut that, or there’s a threat of cutting that, that does make the fear of running out of money even greater,” LaVigne said of Social Security benefits.

Individuals who want to take their retirement benefits at age 62 — otherwise known as the early eligibility age — need to understand their benefits will be reduced, Herzog said. By waiting until full retirement age — generally age 66 to 67, depending on date of birth — beneficiaries may receive 100% of the benefits they earned.

For workers whose full retirement age is 66, claiming early at 62 will result in a 25% reduction in monthly benefits. For workers whose full retirement age is 67, claiming at 62 prompts a 30% cut to monthly benefits. Yet most people claim before full retirement age, according to the Congressional Research Service.

Workers who wait even longer to claim retirement benefits — up to age 70 — stand to receive the biggest monthly checks. For every year individuals wait past full retirement age, they stand to receive an 8% increase to their benefits. For workers whose full retirement age is 66, that represents a 32% boost to monthly benefits. For workers with a full retirement age of 67, that’s a 24% boost.

“For those who expect to have a normal life expectancy of 80 years plus, then it can make sense to wait to age 70 to get the maximum benefit,” Herzog said.

To be sure, the decision comes down to many factors, including how long someone is able to work, whether they can draw from other investment income and the choice that will help them best sleep at night, Herzog said.

Notably, delaying even just one month can help increase monthly benefit checks.

Most workers who expect to live long lives will want to prioritize the risk they could outlive their money, and therefore delay claiming benefits, according to Vanguard research.

But for those who do not expect to live as long, the prospect of break-even risk — or the risk of receiving a smaller total sum by delaying — should be prioritized instead, according to Vanguard.

Claiming early can provide other perks, such as making it possible to spread the tax burden of that income over more years, Vanguard’s research notes. Plus, with lower monthly checks, less of that Social Security income may be taxed and it may be possible to keep Medicare income-related monthly adjusted amounts, or IRMAA, low, according to the research.

Yet for many individuals, there are other reasons to wait to claim that are compelling, particularly if their spouses may need to live on their benefits once they die. Moreover, having higher monthly benefits means they may be better prepared to withstand unexpected financial shocks, according to Vanguard.