How to Use This Gold Calculator
Select your city from the dropdown — live rates for Mumbai, Delhi, Chennai, Kolkata, Ahmedabad, Bangalore, and 8 other Indian cities load automatically. Choose your gold purity (22K, 24K, or 18K), enter the jewellery weight, set your Making Charges percentage, and the total cost including 3% GST is calculated instantly.
By Budget mode works in reverse — enter your total budget and it shows exactly how many grams you can buy after making charges and GST. Gold Loan mode uses RBI-regulated LTV ratios (65%–90%) to estimate the loan amount a lender will offer against your gold.
Making Charges on Gold Jewellery in India
Making Charges are the labour and craftsmanship fee charged on top of the raw gold value. In India they typically range from 6% to 25% depending on the jeweller, design complexity, and city. Plain chains attract 6–10%; intricate temple or bridal jewellery can reach 25% or more.
Some jewellers charge a flat per-gram rate (₹200–₹800/g) instead of a percentage. Enter the equivalent percentage into the Making Charges field for an accurate total.
| Jewellery Type | Typical Making Charge |
|---|---|
| Plain chains, simple bangles | 6% – 10% |
| Standard rings & earrings | 10% – 14% |
| Necklaces & sets | 12% – 18% |
| Bridal jewellery, antique, kundan | 18% – 25%+ |
| Machine-made / mass-produced | 3% – 6% |
22K vs 24K vs 18K Gold — Which Should You Buy?
24K gold is 99.9% pure. Too soft for everyday jewellery, it is used for coins, bars, and Digital Gold investments. Price per gram is the highest of all karats.
22K gold is 91.6% pure alloyed with copper, silver, or zinc for durability. This is the standard for Indian jewellery — wedding sets, chains, bangles, and earrings. The BIS Hallmarking mark 916 certifies 22K purity.
18K gold is 75% pure and used almost exclusively for diamond and gemstone jewellery. The harder alloy holds stone settings securely. Priced lower per gram than 22K but Making Charges on diamond pieces are significantly higher.
GST on Gold Jewellery in India (2025)
GST on gold jewellery is 3% on the combined value of gold and making charges — applied uniformly across all states. For example, if the gold value is ₹1,40,000 and making charges are ₹11,200 (8%), GST is 3% of ₹1,51,200 = ₹4,536. The calculator applies this automatically when the GST toggle is on.
Note: Import duty on gold in India is currently 6% (reduced from 15% in the July 2024 Union Budget), which has had a direct impact on domestic retail prices. GST at 3% is charged separately on top of the jeweller's price.
How Is a Gold Loan Amount Calculated?
Gold loans in India are governed by RBI guidelines that cap the loan-to-value (LTV) ratio at 75% for banks. NBFCs such as Muthoot and Manappuram offer up to 80–90% LTV on select schemes. The loan is calculated on the purity value of your gold — making charges and stones are excluded from the valuation.
For example, 20g of 22K gold at ₹7,000/g = ₹1,40,000 purity value. At 75% LTV the lender offers ₹1,05,000.
LTV Quick Reference
Frequently Asked Questions (FAQs)
1. How accurate are the gold rates used in this calculator?
Rates are sourced from live commodity market feeds and updated multiple times per day. City-specific rates reflect local demand premiums — Mumbai and Ahmedabad typically carry a slight premium over the national average. Rates are indicative; your jeweller's final price may vary slightly based on their procurement costs.
2. Does this calculator include wastage charges?
No. Some jewellers charge wastage (typically 2–8% of gold weight) in addition to making charges. If your jeweller quotes wastage separately, add it to the making charge percentage before entering it into the calculator to get a more accurate total.
3. How is the retail gold price calculated by jewellers?
The formula is: Final Price = (Price of Gold per Gram × Weight) + Making Charges + GST (3%) + Hallmarking Charges. This calculator covers all of these except hallmarking, which is typically ₹35–₹45 per piece.
4. How many grams of gold can I buy for ₹1 lakh?
Use the By Budget mode — enter ₹1,00,000 as your budget, set purity and making charge, and the calculator shows the exact grams purchasable after all charges. At current rates with 8% making and 3% GST, ₹1 lakh typically buys approximately 5.5–6.5g of 22K gold depending on your city.
5. Is BIS hallmarking mandatory for gold jewellery in India?
Yes. As of April 2023, BIS hallmarking is mandatory for 14K, 18K, and 22K gold jewellery sold in India. The hallmark includes a BIS logo, purity mark (916 for 22K, 750 for 18K), and a unique 6-digit HUID traceable on the BIS Care app. Always verify the HUID before purchase.
6. What is the difference between 916 and 22K gold?
They are the same thing. 916 is the BIS hallmark code for 22K gold, indicating 91.6% purity. When you see "916 hallmark" stamped on jewellery, it certifies the piece is 22 karat gold.