The market price of gold is listed as price per ounce of Pure Gold (24 Karat). Most jewelry is not pure gold but rather a certain percentage of gold mixed with other alloys. Gold is soft. By mixing it with other alloys it becomes durable and therefore suitable for use in jewelry. Gold purity is identified by a stamp on the jewelry itself.
*KP Refers to Plum Gold. Most gold is within 1-2 carats of the purity its stamp signifies. If a jewelry item is 9 karat gold the manufacturer is legally permitted to stamp it as 10kt. KP signifies that the gold percentage matches its stamp exactly.
To calculate value, you will need to know your gold jewelry’s approximate weight in grams and its purity.
Step 1: Multiply your gold jewelry’s weight in grams by its purity in decimal form (10kt=.417, 14kt=.583, 18kt=.916 etc…) to get its true gold weight.
Step 2: Look up the Gold Spot Price online (Per Ounce) and convert it to Grams by multiplying it by 0.035724
Step 3: Multiply the spot price in grams by your jewelry’s true gold weight to gets its value.
Ex: Gold ring weighing 6.5 grams that is stamped 14kt.
Step 1: 6.5 x .583 = 3.79 grams
Step 2: $1297.23 (Gold Spot Price) x 0.035274 = $45.76
Step 3: $45.76 x 3.79 = $173.43 (Gold ring’s spot value)
Non-gold & gold plated Jewelry pieces also receive stamps. These stamps are often mistaken for their gold equivalent. Jewelry which possesses these stamps have no real gold value.
GF = Gold Filled
RGP = Rolled Gold Plated, or Gold Overlay
GP = Gold Plated
GEP = Gold Electroplate
Ex: A ring stamped 14KT GP is plated with a very thin layer of 14kt gold with insignificant gold value.
Gold buyers usually pay anywhere from 45-75% of your gold jewelry’s spot value. Calculating this value before meeting with a buyer helps you to determine the competitiveness of their offer. If your jewelry contains gemstones, has antique qualities or is a designer piece, these factors should also be taken into consideration when determining value.