Scrap Gold Calculator

Category: Other Finance
- January 14, 2025
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Current Gold Market Price

Current market price for 24K gold

Gold Items

Enter the weight of your item
Select the gold purity
Item description for your reference

Dealer Settings

Typical dealer payout is 85-95% of melt value

What Is Scrap Gold?

Scrap gold refers to gold items such as old jewelry, coins, or industrial components that are sold or melted down for their raw material value. It is not restricted to unusable items; even functional gold pieces can be classified as scrap gold if they are sold for their gold content rather than their aesthetic or functional value.

Formula for Scrap Gold Valuation

Pure Gold Content = Weight × Purity (in decimal form)

Melt Value = (Pure Gold Content ÷ 31.1035) × Market Price

Estimated Payout = Melt Value × Dealer Payout Percentage

How to Use the Scrap Gold Calculator

  1. Enter the Current Gold Price: Provide the market price per troy ounce of gold in USD.
  2. Add Gold Items:
    • Input the weight of each item.
    • Select the weight unit (grams, troy ounces, or pennyweights).
    • Choose the purity (karat) of each item.
    • Optionally, provide a description for easy identification.
  3. Set Dealer Payout Percentage: Indicate the percentage payout offered by your dealer, typically 85-95% of the melt value.
  4. Calculate: Click the "Calculate Value" button to view the total weight, pure gold content, melt value, and estimated payout.

FAQs About Scrap Gold

1. What is the difference between karats and purity percentage?

Karat is a unit that indicates the purity of gold. For example, 24K represents pure gold (99.9%), while 14K is 58.3% pure gold.

2. How is gold weight measured?

Gold weight can be measured in grams, troy ounces, or pennyweights. 1 troy ounce equals 31.1035 grams or 20 pennyweights.

3. What is a dealer payout percentage?

Dealers often pay a percentage of the melt value to cover refining costs and profit. Typical payout rates range from 85% to 95% of the melt value.

4. Why is scrap gold valuable?

Scrap gold is valuable because it can be melted and refined into pure gold, which retains its market value regardless of the item's original form.

Why Use a Scrap Gold Calculator?

This calculator helps you estimate the value of your gold items quickly and accurately. It breaks down the pure gold content, melt value, and dealer payout, giving you a clear understanding of what your items are worth based on current market prices. This insight ensures you receive a fair deal when selling scrap gold.