Should Young People Buy Gold? What $100 a Month Since 2016 Became

By Bullion Trading editorial team
Updated
What $100 a month in gold since January 2016 was worth each month, against the money paid in

Yes, in small amounts and after the basics. Someone who put $100 a month into gold from January 2016 had paid in $13,100 by 3 November 2026 and owned 7.52 oz worth $29,920 at the Ask, against $14,627 for the same deposits in a savings account paying 2% a year. That is Bullion Trading LLC research using LBMA prices, and it is the best case for small, regular buying. Started at the 2011 peak, the same plan was below its cost for most of 2013 to mid-2019, and gold pays no interest.

Young adults are curious (48% of U.S. Gen Z investors learn about investing on social media, according to FINRA Foundation and CFA Institute), but the Federal Reserve’s latest household survey found only 37% of adults aged 18 to 29 had three months of expenses saved. It matters now: on 3 November 2026 the gold Ask was $3,979 an ounce, 27% below its 29 January record.

Key findingResult
$100 a month in gold, January 2016 to 3 November 2026$13,100 paid in; 7.52 oz worth $29,920 at the Ask
Same deposits in savings at 2%; needed to match inflation$14,627; $15,915
Same plan started at the September 2011 peakMostly below cost from 2013 to mid-2019; as low as −24%
Gold vs S&P 500 with dividends, 46 ten-year periods since 1971Gold ahead in 14, stocks in 32
Median premium over the Ask since October 20241 g bar 31.6%; 1/10 oz coins 23.4%; 1 oz coins and bars 2.3% to 4.0%
Adults 18 to 29 with three months of emergency savings37% (Federal Reserve, 2025 survey)
Bullion Trading LLC research. Sources: LBMA; our price records; NYU Stern; Federal Reserve.

Is gold a good investment for young people?

It has been a good home for small, steady savings over the past decade, but not a smooth one, and timing matters.

$100 a month in gold or silver from January 2016, against savings at 2%Line chart of a plan that buys $100 of metal on the first trading day of each month from January 2016. By 3 November 2026: $13,100 paid in; gold worth $29,920 at the Ask (7.52 oz), silver $30,398 (603 oz), and a savings account at 2% $14,627. The gold plan's lowest point was -6.5% below the money paid in (January 2017); the silver plan's -14.4% (April 2020).GoldSilverSavings at 2%Paid in$0$10k$20k$30k$40k$50k$60k201620182020202220242026Silver $30,398Gold $29,920Value at each month's first LBMA price; today at the Ask$100 a month in gold or silver from January 2016, against savings at 2%Line chart of a plan that buys $100 of metal on the first trading day of each month from January 2016. By 3 November 2026: $13,100 paid in; gold worth $29,920 at the Ask (7.52 oz), silver $30,398 (603 oz), and a savings account at 2% $14,627. The gold plan's lowest point was -6.5% below the money paid in (January 2017); the silver plan's -14.4% (April 2020).GoldSilverSavings at 2%Paid in$0$10k$20k$30k$40k$50k$60k201620202024Silver $30,398Gold $29,920Value at each month's first LBMA price; today at the Ask
$100 bought at each month’s first LBMA price, valued at the Ask today; savings compound monthly at 2% a year. Bullion Trading LLC research.

Most of the gain came late: at the end of 2023 the gold plan had turned $9,600 into $13,079 (savings: $10,401) before the 2024 and 2025 rally more than doubled it. Silver finished higher, at $30,398, but the ride was rougher: the silver plan sank 14% below its cost in April 2020 and was last under water in September 2022.

The simple story, “buy a little every month and you can’t lose”, fails at the wrong start. Someone who began in September 2011, with gold near its record, was down 24% on the money paid in by July 2013 and has been above cost since July 2019. The silver version was down 35% by December 2014 and has been above cost since October 2022.

$100 a month from the 2011 gold peak: gain or loss on the money paid inLine chart, log scale, of a plan buying $100 of metal each month from September 2011, shown as the gain or loss on the total paid in, to 3 November 2026. The gold plan sank to −24% in July 2013 and was last below cost in June 2019; the silver plan fell to −35% in December 2014 and was last below cost in September 2022. On 3 November 2026 the $18,300 paid in was worth $44,981 in gold and $42,587 in silver.Gold planSilver plan−40%−20%0+50%+100%+200%+400%20122014201620182020202220242026Gold plan low: −24% (Jul 2013)Silver plan low: −35% (Dec 2014)Gold above cost since Jul 2019Silver above cost since Oct 2022Gold +146%Silver +133%Log scale; shaded: worth less than the money paid in$100 a month from the 2011 gold peak: gain or loss on the money paid inLine chart, log scale, of a plan buying $100 of metal each month from September 2011, shown as the gain or loss on the total paid in, to 3 November 2026. The gold plan sank to −24% in July 2013 and was last below cost in June 2019; the silver plan fell to −35% in December 2014 and was last below cost in September 2022. On 3 November 2026 the $18,300 paid in was worth $44,981 in gold and $42,587 in silver.Gold planSilver plan−40%−20%0+50%+100%+200%+400%2012201620202024Gold plan low: −24% (Jul 2013)Silver plan low: −35% (Dec 2014)Gold above cost since Jul 2019Silver above cost since Oct 2022Today: gold +146%, silver +133%Log scale; shaded: worth less than the money paid in
Gain or loss on the total paid in (log scale), plans started in September 2011; today at the Ask. Bullion Trading LLC research; data: LBMA.

Both plans are well ahead today: the $18,300 paid into the gold plan was worth $44,981 on 3 November 2026. Steady buying lowers your average price; it doesn’t remove the need to hold for years.

Monthly gold and silver plan calculator

Pick an amount, metal, start year and premium; compare with savings and inflation.

Worked example: $100 a month in gold from January 2016, bought at spot, comes to 7.52 oz, worth $29,920 at the 3 November 2026 Ask; $13,100 paid in, $14,627 in savings at 2%. Paying a 1 gram bar's median premium (31.6% over the Ask) would leave 5.71 oz.

Gold vs stocks: which is better for a young investor?

Over most long stretches, stocks. In annual data compiled by NYU Stern’s Aswath Damodaran, the S&P 500 with dividends returned 11.1% a year from 1971 to 2025 against 9.0% for gold, turning $1 into about $330 against $116. Of the 46 ten-year periods ending 1980 to 2025, gold came out ahead in 14.

Gold vs the S&P 500: annual return over each 10-year period, 1971–80 to 2016–25Line chart of the compound annual return of gold and of the S&P 500 including dividends over every 10-year period ending 1980 to 2025. Gold was ahead in 14 of 46 periods (those ending 1980, 1981, 1982, 1983, 2007, 2008, 2009, 2010, 2011, 2012, 2013, 2014, 2015, 2025); stocks in the other 32. Gold returned less than 3% a year over every period ending 1989 to 2005, and less than zero in 10 of those 17.GoldS&P 500 with dividends−10%−5%0%5%10%15%20%25%30%35%198019902000201020202025Gold 19% a year, 2002–11Gold −3%, 1990–99Stocks 19%, 1989–98Compound annual return; x = last year of the 10-year periodGold vs the S&P 500: annual return over each 10-year period, 1971–80 to 2016–25Line chart of the compound annual return of gold and of the S&P 500 including dividends over every 10-year period ending 1980 to 2025. Gold was ahead in 14 of 46 periods (those ending 1980, 1981, 1982, 1983, 2007, 2008, 2009, 2010, 2011, 2012, 2013, 2014, 2015, 2025); stocks in the other 32. Gold returned less than 3% a year over every period ending 1989 to 2005, and less than zero in 10 of those 17.GoldS&P 500 with dividends−10%0%10%20%30%1980199520102025Gold 19% a year, 2002–11Gold −3%, 1990–99Compound annual return; x = last year of the 10-year period
Compound annual return over each 10-year period, by its last year. Bullion Trading LLC research; data: NYU Stern (Damodaran), updated 5 January 2026.

Gold’s good decades came in clusters, and its bad ones lasted: over every ten-year period ending 1989 to 2005 it returned less than 3% a year, and in 10 of those 17 it lost money. The past decade was close only because of 2025, when gold gained 66%: that lifted its 2016 to 2025 return to 15.1% a year, against 14.7% for stocks. Through 2024, stocks led 14.3% to 10.5%.

What gold offers is a different path: in the 11 years since 1971 when the S&P 500 fell, gold rose in 7, including 2008 and 2022. That is the case for a slice next to stocks, not instead of them.

Why are Gen Z and millennials buying gold?

Surveys show curiosity and social media at work more than a measured shift in what young people hold.

  • FINRA Foundation and CFA Institute (surveyed late 2022, published 2023): 56% of U.S. Gen Z adults aged 18 to 25 own investments; 44% of Gen Z investors started with crypto, and 41% cite fear of missing out as a reason they began (CFA Institute).
  • Bank of America Private Bank (June 2024): 45% of wealthy investors aged 21 to 43 owned physical gold, against 18% of all respondents; everyone surveyed had $3 million or more to invest.
  • Gallup (April 2025): 23% of U.S. adults named gold the best long-term investment, behind real estate (37%) and ahead of stocks (16%); no age breakdown.
  • World Gold Council (January 2026): U.S. dealers reported “anecdotal evidence pointing to increased interest from younger consumers.”

What does a small gold purchase really cost?

Far more per ounce than a 1 oz coin or bar. In Bullion Trading LLC price records since October 2024, a random-brand 1 gram gold bar sold at a median 31.6% over the value of its gold at the Ask and 1/10 oz coins at 23.4%, against 2.3% to 4.0% for 1 oz coins and bars.
Premium over the Ask by size: small pieces cost moreBar chart of the median premium over the Ask paid at Bullion Trading LLC check/wire prices from October 2024 to November 2026: 1 g gold bar (random brand) 31.6%; 1/10 oz Krugerrand 23.4%; 1/10 oz American Gold Eagle 23.4%; 1 oz American Gold Eagle 4.0%; 1 oz gold bar (random brand) 2.7%; 1 oz Krugerrand 2.3%; 1 oz American Silver Eagle 19.2%; 1 oz silver round (random brand) 12.7%. A 1 gram gold bar carried about 12 times the premium of a 1 oz gold coin or bar.1 g gold bar (random brand)31.6%today 30.6%1/10 oz Krugerrand23.4%today 13.9%1/10 oz American Gold Eagle23.4%today 22.4%1 oz American Gold Eagle4.0%1 oz gold bar (random brand)2.7%1 oz Krugerrand2.3%today 1.7%1 oz American Silver Eagle19.2%today 19.9%1 oz silver round (random brand)12.7%today 10.4%Median premium over the Ask, check/wire prices, Oct 2024 to Nov 2026Premium over the Ask by size: small pieces cost moreBar chart of the median premium over the Ask paid at Bullion Trading LLC check/wire prices from October 2024 to November 2026: 1 g gold bar (random brand) 31.6%; 1/10 oz Krugerrand 23.4%; 1/10 oz American Gold Eagle 23.4%; 1 oz American Gold Eagle 4.0%; 1 oz gold bar (random brand) 2.7%; 1 oz Krugerrand 2.3%; 1 oz American Silver Eagle 19.2%; 1 oz silver round (random brand) 12.7%. A 1 gram gold bar carried about 12 times the premium of a 1 oz gold coin or bar.1 g gold bar (random brand)31.6%1/10 oz Krugerrand23.4%1/10 oz American Gold Eagle23.4%1 oz American Gold Eagle4.0%1 oz gold bar (random brand)2.7%1 oz Krugerrand2.3%1 oz American Silver Eagle19.2%1 oz silver round (random brand)12.7%Median premium over the Ask, check/wire prices
Bullion Trading LLC price records (check/wire prices, recorded about four times a day since 27 October 2024) against LBMA prices and, after 28 September 2026, 5 pm New York spot closes.

Put another way, $100 at the median premium bought about $76 of gold as a 1 gram bar, $81 as a 1/10 oz American Eagle and $97 as a 1 oz bar. With the gold Ask at $3,979, a 1 gram bar costs about $165 at check/wire prices, or $175 by card or PayPal (check and wire start at $1,000), so $100 a month no longer buys even one gram bar a month.

A small budget has three options: save for a few months and buy a bigger piece, buy silver (a random-brand 1 oz round’s median premium was 12.7%), or accept a gram bar’s premium as the price of starting.

Small first purchases

The large price is the check/wire price; the card/PayPal price is listed under it. Prices follow the live spot price.

How much gold should a 25-year-old own?

There’s no official number: published frameworks range from about 2.5% to 25% (compared in our guide to how much gold and silver to own). For a young saver the better question is what comes first.

Where gold fits for a young saver: after emergency cash, debt and retirement accountsFour-step flow: 1. emergency cash, about three months of expenses; 2. pay off credit card debt; 3. retirement accounts, taking any employer 401(k) match and then an IRA (limit $7,500 in 2026); 4. a metals slice bought in small, regular, low-premium purchases.1. Emergency cashAbout three months ofexpenses in a bankaccount, so you neversell metal in a hurry.2. Expensive debtClear credit cardbalances first: fewinvestments beat acard's interest rate.3. RetirementaccountsTake any 401(k)employer match, thenan IRA (up to $7,500in 2026).4. A metals sliceSmall, regular buys oflow-premium coins andbars, sized to yourplan.Where gold fits for a young saver: after emergency cash, debt and retirement accountsFour-step flow: 1. emergency cash, about three months of expenses; 2. pay off credit card debt; 3. retirement accounts, taking any employer 401(k) match and then an IRA (limit $7,500 in 2026); 4. a metals slice bought in small, regular, low-premium purchases.1. Emergency cashAbout three months of expenses in a bankaccount, so you never sell metal in a hurry.2. Expensive debtClear credit card balances first: fewinvestments beat a card's interest rate.3. Retirement accountsTake any 401(k) employer match, then an IRA(up to $7,500 in 2026).4. A metals sliceSmall, regular buys of low-premium coins andbars, sized to your plan.
Steps 2 and 3 follow the SEC’s Saving and Investing roadmap; IRA limit from the IRS.

Tax breaks and employer matches are returns gold can’t offer. The SEC’s Saving and Investing guide calls an employer match “free money” and says you’re better off clearing credit card debt before investing. In 2026 you can put up to $24,500 into a 401(k) and $7,500 into an IRA (IRS), yet only 38% of non-retired adults aged 18 to 29 had such an account in the Fed’s survey.

Gold can sit inside a retirement account through a self-directed IRA if the coins or bars are IRA-eligible (meet IRS fineness rules) and held through an IRS-approved custodian; Bullion Trading LLC is not a custodian. See gold and silver in an IRA.

Is buying gold on TikTok or at Costco a good idea?

Learning on social media is normal; buying there is the risk. The CFTC is blunt: “Don’t buy from individuals selling metal on social media sites or discussion boards.” Fear of missing out is the pressure scam pitches use (see gold bullion scams).

Costco sells 1 oz gold bars to members; in April 2024 Wells Fargo estimated those sales at $100 million to $200 million a month, at roughly 2% over spot (CNBC). Low premiums on 1 oz bars are real, as the chart above shows; the catch for a young buyer is the price of a full ounce, about $4,000 at the Ask.

  • I know today’s spot price and the premium I’m paying.
  • The seller has a street address and a license I can look up.
  • The price isn’t below spot, and nobody is rushing me.
  • It’s a standard bullion coin or bar, not a “rare” coin sold as an investment.
  • I know where I’ll store it and how I’d sell it.

Check us the same way: Bullion Trading LLC holds NYC DCWP license #1304378-DCA, is rated A+ by the BBB and has a store at 20 West 47th Street, New York.

What would make gold a poor choice for you?

  • It pays nothing. No interest or dividends, one reason stocks led in 32 of 46 ten-year periods.
  • Premiums and spreads. Buying a gram at a time spends a quarter of the money on costs, and any dealer buys back below its selling price.
  • Storage. A safe or safe-deposit box costs money; metal at home needs insurance.
  • Your own behavior. The 2011 plan needed years of patience; selling in a slump locks in the loss.
  • Tax. Long-term gains on bullion are taxed as collectibles, at up to 28% federally (IRS Topic 409).

Where gold and silver stand now

The Ask was $3,978.97 for gold and $50.43 for silver on 3 November 2026, 27% and 58% below their 29 January records. A $100-a-month plan begun in January 2026 had $1,100 paid in and was worth $993 in gold or $819 in silver: the same habit, started near a peak.

How we did the research

The plans buy $100 of metal at the first LBMA price of each month (5 pm New York spot closes after 28 September 2026), without premiums, and value the holding at the store’s spot price today. Savings compound monthly at 2% a year, close to the 2.2% a year 3-month Treasury bills returned from 2016 to 2025; inflation uses CPI-U (FRED). Limits: one dealer’s prices, fractional ounces assumed, taxes and selling costs left out, and past returns don’t predict future ones.

Year endPaid inGold ownedGold valueSilver valueSavings at 2%
2016$1,2000.97 oz$1,126$1,166$1,211
2018$3,6002.88 oz$3,540$3,142$3,707
2020$6,0004.44 oz$8,041$8,367$6,305
2022$8,4005.77 oz$10,412$10,156$9,008
2024$10,8006.91 oz$18,248$16,867$11,822
3 Nov 2026$13,1007.52 oz$29,920$30,398$14,627
$100 a month from January 2016, valued at each December's purchase price. Bullion Trading LLC research; data: LBMA.

Should young people buy gold? The bottom line

Gold works best for a young saver as a small, steady habit once emergency cash, expensive debt and retirement accounts are covered. The past decade rewarded that habit, but the 2011 start shows it can take years to pay off, stocks usually won over ten years, and small pieces cost a quarter or more over the Ask. Buy low-premium sizes from sellers you can verify, and expect to hold.

Frequently asked questions

Is silver better than gold for beginners?

Silver is cheaper per piece and 1 oz rounds carry lower premiums than gram gold bars, but it swings more: the 2011 silver plan fell 35% below cost and recovered only in 2022.

Can I buy gold in a Roth IRA?

Yes, through a self-directed IRA, if the metal is IRA-eligible (meets IRS fineness rules) and held by an IRS-approved custodian rather than at home.

Sources

Compare gram gold bars
Compare silver coins
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