Gold Rate Today in Chennai Calculator
Calculate the final price of gold including GST, Wastage, and Making Charges
Base Gold Price:
₹0.00
Wastage Charges:
₹0.00
Making Charges:
₹0.00
GST (3%):
₹0.00
Total Payable Amount:
₹0.00
Understanding Gold Price Calculation in Chennai
Purchasing gold in Chennai involves more than just looking at the daily market rate. Whether you are buying from T. Nagar or Cathedral Road, the final price is determined by several factors including purity, wastage, making charges, and government taxes.
How the Final Price is Calculated
In Chennai, the standard formula used by most jewelers is:
Final Price = [Gold Rate x Weight + Wastage + Making Charges] + GST (3%)
- Daily Gold Rate: This changes every morning based on international market trends and local bullion association updates in Chennai.
- Wastage (VA): Also known as Value Addition. Gold is melted and shaped, leading to some "loss," which jewelers charge as a percentage (usually 8% to 18%).
- Making Charges: The labor cost for designing the jewelry. It can be a flat fee per gram or a percentage.
- GST: A flat 3% Goods and Services Tax is applicable on the total value of the jewelry in India.
22K vs 24K Gold in Chennai
24K gold is 99.9% pure and is typically used for coins and bars. Most jewelry in Chennai is made in 22K gold (91.6% purity), also known as KDM or Hallmarked gold, as it is durable enough to hold gemstones and withstand daily wear.
Example Calculation
Suppose the gold rate in Chennai is ₹6,500 per gram for 22K gold. If you buy an 8-gram gold chain with 10% wastage and ₹150 per gram making charges:
- Base Price: 8g x ₹6,500 = ₹52,000
- Wastage (10%): ₹5,200
- Making Charges: 8g x ₹150 = ₹1,200
- Sub-total: ₹58,400
- GST (3%): ₹1,752
- Total: ₹60,152