What are the Tips for Calculating Gold Price in Vijayawada?

Buying gold is a tradition for many Indian families, especially during festivals such as Akshay Tritiya and Diwali. For others, it is a great investment option. And for some, it is both. With gold available at quite a high cost, it is crucial to ensure that you calculate the price correctly to optimise the value of your investments.

You can start with a simple Google search on the gold prices in your city. For instance, the gold price today in Vijayawada is INR 47,815 (10grams of 24KT gold). These rates fluctuate, and it is best to make your purchase when the cost is as low as possible. Apart from that, some other factors affect the value of gold, which can play a role in its price.

How to Calculate the Price

To calculate the price of gold yourself, there are a few simple steps. They will be explained using an example:

Let’s assume the price of 10g of 22KT gold is Rs. 25,750. Here are the steps you need to keep track of:

• Under this price, if you plan to purchase a piece of jewellery that is 9.6 grams, you divide 25,750 by 10.
• Once that is done, you get the per gram rate.
• To get the price of just the gold in the jewellery, you multiply the per gram rate by 9.6.
• Once you obtain the gold price, you add an approximate 10%, i.e. making charges, to the price.
• In addition to this, you will be paying 3% GST on the gold price + making charges total.
• Finally, add all three amounts, and you will have the total amount.

In summary, the final price of the gold jewellery = price of gold X (Weight in grams) + Making charges + GST at 3% on (Price of jewellery + making charges).

Gold Purity

The purity of gold is referred to using karat (KT). 24KT gold is the purest form; however, it is too soft to make jewellery with. The purest, usable form of gold is 22KT. Consumers must always verify what KT gold is used in the jewellery because it plays a significant role in determining its price. You can use a gold price calculator for an accurate understanding of prices based on Karats and other determinants.

Making Charges

as seen in the calculation for gold jewellery prices, making charges comprise 10% of it. While this is usually a standard estimation that is used to simplify calculations. However, different pieces of jewellery come with varying charges of making, which can impact the price to quite a large extent. Ones that are ornamental and have intricate details will require different styles of cutting. Therefore, a higher making charge.

Those mentioned above are the three main factors that impact the prices of gold. Although you can quickly do these calculations yourself, it is vital to have an expert opinion before investing. For this, you can take help from financial institutions that focus on gold exchange, selling gold for cash, and buying. Additionally, these institutions also provide you with reliable gold price calculators for an accurate valuation.