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Gold Price Calculator

Calculate pure gold value or final jewelry bill amount.

Enter today's market rate for 24K or 22K
Rate usually differs by purity
Charges for crafting the jewelry
BIS Hallmark fee is approx ₹45 per piece

Price Breakdown

Enter gold details to see the complete price breakdown and taxes.

How Gold Price is Calculated in India?

The price of gold jewelry in India is not just the price of simple gold. It involves multiple factors that add up to the final bill. Here is the standard formula used by top jewelers across India:

Final Price = (Gold Price/g × Weight) + Making Charges + 3% GST + Hallmarking Charges

Gold Price & Weight

Daily gold rates are provided by Bullion Associations. Usually, 22K is used for jewelry, while 24K is for coins/bars. 1 Tola = 11.66 Grams (In India, many use 10g as a standard unit).

Making Charges

Labor charges for converting raw gold into jewelry. It can be a percentage of the gold value (usually 8% - 25%) or a flat rate per gram of gold used.

GST (3%)

A flat 3% GST is applicable on the total value of gold plus making charges. This is a central tax applicable across all states in India.

Hallmarking Fee

BIS (Bureau of Indian Standards) Hallmark is mandatory. Jewelers charge a small fee (currently ₹45 + GST per piece) for certifying purity.

Understanding Gold Purity: Karats Explained

Karat (K) Purity % Usage Type Durability
24K 99.9% Coins, Bars, Investment Soft (Easily Scratched)
22K 91.6% Plain Gold Jewelry Balanced (Durable for daily use)
18K 75.0% Diamond & Stone Jewelry Hard (Best for setting stones)
14K 58.5% Affordable Fashion Jewelry Very Hard

Tips for Buying Gold in India

  • Always Check Hallmark: Look for the BIS Logo, Purity (e.g., 22K916), and HUID (Hallmark Unique ID).
  • Verify Today's Rate: Gold rates change twice daily. Check the rate in your city (MCX index influenced).
  • Negotiate Making Charges: These charges are not fixed. You can often negotiate 5-10% off on making charges.
  • Buy-Back Policy: Ask about the refund/exchange value if you sell the jewelry back to the same jeweler.

FAQs About Gold Calculation

GST of 3% is calculated on the total value, which includes the cost of the gold plus the making charges. If you are buying jewelry with stones, GST is charged on the combined weight and value.

In modern metrics, 1 Tola is equal to 11.6638 grams. However, in most Indian retail jewelry markets, 1 Tola is often rounded to 10 grams or 11.66 grams for calculation simplicity.

No, a customer does not need to pay GST when selling old gold to a jeweler. However, if you are exchanging old gold for new jewelry, GST will be applicable on the value of the new item you purchase.

24K is 99.9% pure gold, whereas 22K is 91.6% pure. Hence, 22K gold is essentially 91.6% of the 24K price. Jewelers specify both rates separately to maintain transparency.

Hallmarking charges are standard and charged per jewelry piece by the BIS hallmarking center, regardless of the weight of the piece. Currently, it is around ₹45 per article.

While technically possible, 24K gold is extremely soft and bends easily. Jewelry made of 24K gold would not hold stones or maintain its shape well. That is why 22K or 18K is preferred for jewelry.
Quick Tips
  • ✓ Karat Marks: 916 (22K), 750 (18K), 585 (14K)
  • ✓ Making Charges: Usually 8-25% of gold value
  • ✓ GST: Flat 3% on gold + making charges
  • ✓ Hallmark: BIS certification adds ₹45/piece
Disclaimer

Gold prices fluctuate constantly. This calculator uses manually entered rates. Always verify live market rates before purchasing.

Learn More
Unit Converter
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1 Tola = 11.66g (Standard)
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Market Volatility

Gold prices update frequently. This calculator uses manually entered rates. The final price may vary depending on market fluctuations and jeweler-specific policies. Always verify the live rate before purchase.