Melt Value: $0.00
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Understanding Gold Melt Value
The Gold Melt Value Calculator helps you estimate the intrinsic worth of gold based on its weight, purity, and the current market price of pure gold. This calculation is crucial for anyone looking to sell scrap gold, old jewelry, or any other gold items that might be melted down and refined. It provides a baseline value, excluding any labor, refining costs, or profit margins that a refiner or buyer might add.
How is Melt Value Calculated?
The melt value of gold is determined by a straightforward formula that considers three primary factors:
Weight of the Gold: The total mass of the gold item, usually measured in grams.
Purity of the Gold: This indicates the proportion of pure gold within the alloy. Gold purity is commonly expressed in Karats (K), where 24K represents pure gold (99.9% pure). Other common purities include 22K, 18K, 14K, etc. The calculator converts Karats into a decimal percentage.
Current Market Price of Gold: The prevailing price of one gram of pure (24K) gold on the open market. This price fluctuates daily based on global economic factors, demand, and supply.
The Formula
The melt value is calculated using the following steps:
Determine the Actual Gold Content: First, we find out how much pure gold is actually present in your item. This is done by multiplying the total weight of the item by the decimal equivalent of its purity.
For example, if you have 50 grams of 18K gold:
18 Karats means 18 parts pure gold out of 24 total parts.
Purity percentage = (18 / 24) = 0.75 or 75%
Actual gold content = Total Weight × Purity Percentage
Actual gold content = 50 grams × 0.75 = 37.5 grams of pure gold.
Calculate the Melt Value: Once you know the weight of pure gold, you multiply it by the current market price of gold per gram.
Melt Value = Actual Gold Content (in grams) × Current Market Price per Gram ($)
Using the example above, if the market price is $65.50 per gram:
Melt Value = 37.5 grams × $65.50/gram = $2,456.25
Understanding Purity (Karat) Equivalents:
24K: 24/24 = 1.000 (99.9% pure)
22K: 22/24 ≈ 0.917 (91.7% pure)
18K: 18/24 = 0.750 (75.0% pure)
14K: 14/24 ≈ 0.583 (58.3% pure)
10K: 10/24 ≈ 0.417 (41.7% pure)
9K: 9/24 = 0.375 (37.5% pure)
8K: 8/24 ≈ 0.333 (33.3% pure)
Use Cases for the Calculator:
Selling Scrap Gold: Get an estimated value before taking your old jewelry, broken chains, or dental gold to a buyer.
Estate Planning: Assess the value of gold assets.
Investment Decisions: Understand the base value of physical gold holdings.
Comparison Shopping: Compare offers from different gold buyers based on their offered melt value.
Remember, this calculator provides the raw melt value. Buyers will typically offer less than this amount to cover their operational costs, refining fees, and to make a profit. Always confirm the purity and weight with reliable scales and testing methods for the most accurate valuation.
function getPurityPercentage(karat) {
var purityMap = {
24: 1.000,
22: 22 / 24,
18: 18 / 24,
14: 14 / 24,
10: 10 / 24,
9: 9 / 24,
8: 8 / 24
};
return purityMap[karat] || 0;
}
function calculateMeltValue() {
var weightInput = document.getElementById("goldWeight");
var puritySelect = document.getElementById("goldPurity");
var priceInput = document.getElementById("currentGoldPrice");
var resultDiv = document.getElementById("result");
var weight = parseFloat(weightInput.value);
var purityKarat = parseInt(puritySelect.value);
var pricePerGram = parseFloat(priceInput.value);
if (isNaN(weight) || weight <= 0) {
resultDiv.innerHTML = "Invalid Weight Please enter a valid weight in grams.";
resultDiv.style.backgroundColor = "#dc3545"; // Red for error
return;
}
if (isNaN(pricePerGram) || pricePerGram <= 0) {
resultDiv.innerHTML = "Invalid Price Please enter a valid market price per gram.";
resultDiv.style.backgroundColor = "#dc3545"; // Red for error
return;
}
var purityPercentage = getPurityPercentage(purityKarat);
var pureGoldWeight = weight * purityPercentage;
var meltValue = pureGoldWeight * pricePerGram;
// Format the result to two decimal places
var formattedMeltValue = meltValue.toFixed(2);
resultDiv.innerHTML = "$" + formattedMeltValue + "Estimated Melt Value";
resultDiv.style.backgroundColor = "var(–success-green)"; // Reset to success color
}