Choosing the right jeweler this Diwali: Here’s a guide to calculating the right jewelery prices for 18 carat and 22 carat gold

Diwali 2024: Calculating the price of 18K and 22K gold jewelery may seem daunting, but with the right information, you can easily understand pricing. Here’s a guide to help you understand the key factors that contribute to gold jewelry prices, from carat purity to duty and tax payments.

“Karat” indicates the purity of the gold; It is 24 carat pure gold. 24K gold is not generally used in jewelry because it is very soft. Instead, jewelers use 18K or 22K gold to offer a high level of purity while maintaining durability:

22 Carat Gold: Contains 92% gold and 8% alloy metals. This is often used in intricate gold jewelry.
18K Gold: Contains 75% gold and 25% alloy metals. It is generally used in jewelery with stones where durability is required.

Gold prices fluctuate daily according to international and local market trends. To calculate the jewelery price, first check the current market rate for 18K and 22K gold per gram. Reputable jewelery stores, banks and online portals provide real-time updates on gold prices.

For example, if you want to buy a 20 gram, 18 carat ring. First of all, you can convert it to 24K gold. 20 grams of 18K ring = 15 grams of pure 24K or 100% gold. So if today’s market price of 24K = Rs 8000; then 8000×75%=6000; 6000x20gms = Rs 120,000 is the cost of the ring.

Additionally, some costs include the labor and labor involved in creating the piece. They vary depending on the complexity of the design. This cost may be a certain percentage of the gold price or a fixed fee. Some stores may offer discounts on pricing during sales.

GST=3%×(Base price+making costs), which is the final price of gold jewellery.

Points to consider:

Compare prices: Prices can vary between jewellers, so it’s always good to compare making costs and check if seasonal offers are available.
Special hallmark certification: Make sure your jewelry is specially marked, indicating purity verified according to legal standards.
Consider resale value: 22K gold generally has a better resale value than 18K due to its higher gold content.