How to Determine the Value of Your Scrap Gold Jewelry!

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How to Determine the Value of Your Scrap Gold Jewelry!
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The buying & selling market for scrap gold has become increasingly popular, and increasingly easy for people to take part in.

The valuation process is much easier to conduct than one may think.  Some essential pieces of equipment:
-Digital Jewelry Scale
-Purity Test Kit (acid test is easiest & fastest)
-(optional) Jeweler's File (used to find out if your piece is solid or plated)

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Because the value of gold is based on WEIGHT, it is important to use an electronic jewelry scale to estimate the market value of your scrap pieces.  Ideally your digital balance will measure in Pennyweight (dwt), but even a scale that weighs in Grams (g; gr; gm) will do.  (1 dwt = 1.56 g;  also 1 dwt = 24 grains).  We use Pennyweight because 1 dwt is equal to 1/20 troy ounce.  I recommend using DigiWeigh brand, as they have many models which offer both Pennyweight & Gram mode. 

The other factor which determines the value of your gold is PURITY.  Therefore, it's imperative that you get some sort of basic test kit.  Fortunately these are very inexpensive, and you can find proper acid test kits on eBay & other sites for less than 30 bucks.  If you have no idea whether your gold is 10k, 14k, 24k, etc,. I recommend getting each of the four gold testing acid solutions (10k, 14k, 18k, 22k).  **I recommend PuriTEST brand because I've used it many times with 100% reliability, and also because they sell a 5-pack that includes a bottle of Silver tester.***  Do not forget that you also need a test stone to carry out the procedure--included when you purchase a PuriTEST 5-pack or 6-pack (inc. Platinum test).  You can also get a test stone for a few bucks--or a large test stone for 10-15 bucks.

It is important to understand how the Karat (kt; k) system works.  24-karat indicates that the gold is 100% pure, because 24 out of 24 parts are pure gold.  Therefore, 12-karat is 50% pure because only 12 of 24 parts are pure.  Consult the chart below for value calculations.

10KT = 10/24 = 0.4167
12KT = 12/24 = 0.500
14KT = 14/24 = 0.5833
18KT = 18/24 = 0.750
20KT = 20/24 = 0.8333
22KT = 22/24 = 0.9167

Whether you've measured your gold in grams or penny-weights, the calculations to determine value are very easy. 



IF YOU MEASURE IN GRAMS:
Let's say you have 5 grams of 14k gold.
Let's also say the value of gold is at $900 per ounce (troy ounce).
FIRST--There are 31.1 grams in a troy ounce, so you would divide 900 by 31.1 to find the price per gram of 24kt gold.  Here, the cost per gram would equal $28.9389.
NEXT--Multiply the cost per gram of gold by the purity of 14k gold:   28.9389 x 0.5833 = $16.88 per gram of 14k gold.
NEXT--If you have 5 grams of 14k gold, multiply $16.88 by 5, which equals $84.40.



IF YOU MEASURE IN PENNYWEIGHT:
Let's say you have 5 pennyweights of 14k gold.
Let's also say the value of gold is at $900 per ounce (troy ounce).
FIRST--There are 20 pennyweights in a troy ounce, so you would divide 900 by 20 to find the price per pennyweight of pure gold.  Here, the cost per pennyweight is $45.
NEXT--Multiply the cost per pennyweight by the purity of 24k gold.  45 x 0.5833 = $26.25 per pennyweight of 14k gold.
NEXT--If you have 5 pennyweights of 14k gold, multiply $26.25 by 5, which equals $131.25.



This process can be replicated for any amount... any karat value of gold. 


If You Are UNSURE IF PLATED OR SOLID, and if you are testing a piece that you intend to melt or sell, use a filing piece or "needle file" to cut into the gold to see if it is solid or plated.


Test & Value rings, chains, bracelets, pendants, diamond & gemstone settings, engagement & wedding bands, bangles, earrings, ear stud settings, bars, ingots & other collection coins & bullion, vintage & antique figurines and collectibles, dental gold crowns, and much more.
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