Gold Melt Calculator
Calculate the melt value of your gold based on current spot price, weight, and purity. This calculator shows what your gold jewelry, coins, or bullion would be worth if melted down.
Gold Melt Value
Value Comparison
Gold Information
Purity: N/A
Gold Content: 0 oz
Market Status: N/A
Tip: Melt value is the baseline price
Understanding Gold Melt Value
Gold melt value represents what your gold would be worth if melted down and sold as bullion. This is the baseline value that jewelers and dealers use as a starting point for determining what they'll pay for your gold items.
Gold Purity Standards
| Karat | Purity | Gold Content | Common Uses |
|---|---|---|---|
| 24K | 99.9% | 100% | Bullion, coins |
| 22K | 91.7% | 91.7% | Indian jewelry |
| 18K | 75% | 75% | Fine jewelry |
| 14K | 58.3% | 58.3% | Fashion jewelry |
| 10K | 41.7% | 41.7% | Costume jewelry |
How Melt Value is Calculated
The calculation involves several steps:
- Convert weight to troy ounces (gold standard)
- Multiply by purity percentage to get pure gold weight
- Multiply by spot price to get pure gold value
- Apply dealer spread to get actual buy price
Weight Conversions
- 1 Troy Ounce = 31.1035 Grams
- 1 Gram = 0.03215 Troy Ounces
- 1 Pennyweight (dwt) = 1.5552 Grams = 0.05 Troy Ounces
- Gold is weighed in Troy ounces, not Avoirdupois ounces
Dealer Spread
The dealer spread is the percentage below spot price that dealers pay for gold. This accounts for refining costs, profit margins, and market risks.
- Typical Spread: 3-8% below spot price
- Factors: Gold purity, quantity, market conditions
- Refining Costs: 1-2% of value for processing
- Profit Margin: 2-5% for dealer profit
Gold Spot Price
The gold spot price is the current market price for one troy ounce of pure gold. It fluctuates based on supply and demand, economic conditions, and geopolitical events.
- Trading Hours: 24/5 (Sunday evening to Friday afternoon)
- Major Influences: US dollar, interest rates, inflation
- Historical Range: $300-$2,000+ per ounce
- Current Price: Check financial news for latest spot price
Factors Affecting Gold Value
- Purity: Higher karat = higher percentage of pure gold
- Weight: More gold = higher value
- Spot Price: Current market price per ounce
- Dealer Spread: Percentage below spot that dealers pay
- Condition: Well-maintained items may have additional value
- Market Demand: Supply and demand affect spot price
Jewelry vs. Bullion Value
Melt value is typically lower than retail jewelry value because it doesn't account for craftsmanship, brand value, or collectible premiums.
- Melt Value: Pure gold content value
- Retail Value: Includes craftsmanship, brand, and markup
- Collectible Value: Rare coins, vintage pieces
- Appraisal: Professional assessment for insurance
Selling Gold
- Jewelers: Convenient but lower prices
- Pawn Shops: Quick cash but lowest prices
- Gold Buyers: Specialize in gold, better prices
- Refiners: Highest prices for large quantities
- Online Buyers: Convenient with competitive pricing
Tip: Melt value is the baseline price for gold items. Actual selling prices may be higher for jewelry with collectible value or lower due to dealer spreads. Always get multiple quotes and understand what you're selling before making a decision.