Step 1: Enter Your Gold Item’s Weight

Input the total weight of your gold item in the weight field. You can measure this using a precision scale, and the calculator accepts various weight units including grams, ounces, troy ounces, pennyweight, and kilograms. Choose the unit that matches your measurement method from the dropdown menu.

Step 2: Select Gold Purity Level

Choose your gold’s purity from the dropdown menu. Common options include 24K (99.9% pure), 18K (75% pure), and 14K (58.33% pure). If your gold has a different purity level, select “Custom Purity” and enter the exact percentage. Look for hallmarks or stamps on your jewelry that indicate karat rating.

Step 3: Update Current Gold Price

Enter the current market price of gold per troy ounce in USD. Gold prices fluctuate throughout trading hours, so check a reliable financial source for the most recent spot price. The calculator comes pre-filled with a default price, but updating it ensures accurate calculations.

Step 4: Set Dealer Spread Percentages

Adjust the bid and ask spread percentages to reflect realistic dealer margins. The bid spread represents how much below melt value dealers typically pay when buying gold, while the ask spread shows their selling premium. These spreads usually range from 2-10% depending on the dealer and market conditions.

Step 5: Calculate and Review Results

Click the calculate button to generate your gold’s melt value along with realistic bid and ask prices. The results section displays the pure gold weight, theoretical melt value, and practical buying/selling prices. Review the calculation explanation to understand how the final value was determined using the standard melt value formula.