Enter the market rate for the purity you are buying (e.g., 22K rate).
Usually between 8% to 25% depending on intricacy.
Standard GST on gold jewelry in India is 3%.
Base Gold Cost:₹0
Making Charges:₹0
Subtotal (Before GST):₹0
GST (3%):₹0
Final Price to Pay:₹0
How to Calculate Gold Rate Per Gram in India
Buying gold in India is not just about fashion; it is a traditional investment deeply rooted in the culture. However, the final price you pay at a jewelry showroom often differs significantly from the "Today's Gold Rate" you see on news tickers. This is because the retail price involves several components including making charges and government taxes.
The Formula Breakdown
To calculate the final price of a piece of gold jewelry in India, you need to understand the following components:
Gold Rate (per 10g): In India, gold rates are typically quoted per 10 grams. If you are buying 22 Karat jewelry, ensure you look at the 22K rate, not the 24K rate.
Weight: The actual weight of the gold item in grams.
Making Charges (VA): Also known as Value Addition or Wastage Charges. This is the fee for the labor involved in designing the jewelry. It typically ranges from 8% to 25% of the gold value.
GST: The Goods and Services Tax (GST) on gold jewelry is fixed at 3% applied to the sum of the gold cost and making charges.
The calculation formula used by jewelers is:
Price = [(Rate per 10g / 10) × Weight] + Making Charges + GST
Detailed Calculation Example
Let's assume you want to buy a gold chain weighing 10 grams.
Current 22K Gold Rate: ₹60,000 per 10g
Making Charges: 12%
GST: 3%
Step 1: Calculate Base Gold Cost
Since the rate is already for 10g, the cost for 10g is ₹60,000.
Step 2: Calculate Making Charges
12% of ₹60,000 = ₹7,200.
Step 3: Subtotal
₹60,000 + ₹7,200 = ₹67,200.
Step 4: Calculate GST
3% of ₹67,200 = ₹2,016.
Final Price:
₹67,200 + ₹2,016 = ₹69,216.
Why 24K vs 22K Matters
Pure gold is 24 Karat, which is too soft for intricate jewelry. Most jewelry in India is made of 22 Karat gold, which is 91.6% pure (often hallmarked as 916). When using this calculator, ensure you enter the rate corresponding to the purity of the item you are purchasing. If you check the market rate for 24K gold but are buying a 22K chain, you must calculate the 22K rate first (24K Rate × 22/24).
function calculateGoldPrice() {
// Get input values
var rateInput = document.getElementById('goldRate');
var weightInput = document.getElementById('goldWeight');
var makingInput = document.getElementById('makingCharges');
var gstInput = document.getElementById('gstRate');
var ratePer10g = parseFloat(rateInput.value);
var weight = parseFloat(weightInput.value);
var makingChargesPercent = parseFloat(makingInput.value);
var gstPercent = parseFloat(gstInput.value);
// Validation
if (isNaN(ratePer10g) || ratePer10g <= 0) {
alert("Please enter a valid Gold Rate.");
return;
}
if (isNaN(weight) || weight <= 0) {
alert("Please enter a valid Weight.");
return;
}
if (isNaN(makingChargesPercent) || makingChargesPercent < 0) {
alert("Please enter valid Making Charges.");
return;
}
// 1. Calculate Rate Per Gram
var ratePerGram = ratePer10g / 10;
// 2. Calculate Base Cost of Gold
var baseGoldCost = ratePerGram * weight;
// 3. Calculate Making Charges Amount
var makingChargesAmount = baseGoldCost * (makingChargesPercent / 100);
// 4. Subtotal (Gold + Making)
var subtotal = baseGoldCost + makingChargesAmount;
// 5. Calculate GST Amount
var gstAmount = subtotal * (gstPercent / 100);
// 6. Final Total
var finalPrice = subtotal + gstAmount;
// Display Results
var formatter = new Intl.NumberFormat('en-IN', {
style: 'currency',
currency: 'INR',
minimumFractionDigits: 2
});
document.getElementById('baseCostDisplay').innerHTML = formatter.format(baseGoldCost);
document.getElementById('makingChargesDisplay').innerHTML = formatter.format(makingChargesAmount);
document.getElementById('subtotalDisplay').innerHTML = formatter.format(subtotal);
document.getElementById('gstDisplay').innerHTML = formatter.format(gstAmount);
document.getElementById('finalPriceDisplay').innerHTML = formatter.format(finalPrice);
// Show result section
document.getElementById('result').style.display = 'block';
}