Cash for Gold Calculator
Estimate the scrap value of your gold jewelry or bullion
Estimated Cash Offer
How to Calculate Cash for Gold Values
Selling gold can be a daunting process if you don't know the math behind the offer. Professional gold buyers use a specific formula based on three primary factors: the current market "spot" price, the purity (karat) of the gold, and the weight of the item.
Understanding Gold Purity (Karats)
Pure gold is 24 karats. However, most jewelry is mixed with other metals for durability. To find the percentage of pure gold in your item, divide the karat by 24:
- 24k: 24/24 = 100% Gold
- 18k: 18/24 = 75% Gold
- 14k: 14/24 = 58.3% Gold
- 10k: 10/24 = 41.7% Gold
The Conversion Units
The global gold market trades in Troy Ounces. One troy ounce is equal to 31.1035 grams. Many jewelers also use Pennyweights (dwt), where 1 pennyweight equals 1.555 grams. When using our calculator, ensure you have selected the correct unit to get an accurate estimation.
Why Don't I Get the Full Spot Price?
When you sell "scrap gold," the buyer must account for the costs of refining the gold back to 24k purity, insurance, and their own profit margin. Most reputable "Cash for Gold" stores pay between 70% to 90% of the actual melt value. If you are offered less than 60%, it is advisable to seek a second opinion.
Example Calculation
If you have a 10-gram ring that is 14k gold, and the spot price is $2,000 per ounce:
- Convert spot price to grams: $2,000 / 31.1035 = $64.30 per gram of pure gold.
- Calculate purity: 14 / 24 = 0.583.
- Find value per gram of 14k: $64.30 × 0.583 = $37.48.
- Multiply by weight: $37.48 × 10g = $374.80 (Melt Value).
- Apply buyer payout (e.g., 80%): $374.80 × 0.80 = $299.84 Cash Offer.