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  • Buying & Pricing - Gold Jewellery
  • Purity in Gold Jewellery
  • Caring for Gold
  • Gold Jewellery Articles
  • FAQs - Gold Jewellery
  • Things to know about Making and Wastage Charges of Gold Jewellery

    While buying any gold jewellery you look at the beautiful designs, and how wonderful it would look on you when you wear it. You end up purchasing the ones that win your heart with their intricate motifs or subtle style and also that fits your budget with their prices. However, most of us are unaware of the journey that pure gold goes through to become that particular piece of our favourite design. It is a long process of various efforts made by the jewellers to present that fine astonishing piece of gold in front of us. And before buying any piece of gold jewellery, you must know about the various factors that influence the prices that you pay finally.

    The Process:

    Whenever you buy gold in any form of jewellery, you don’t just pay for the design crafted by the jeweller or the weight of your gold piece. The price that you invest also includes the gold purity as well as the effort and the artistry of the craftsmen that shaped, polished, cut and moulded that gold into the design you get. The final price is calculated through the following way:

    Price of jewellery = gold rate per gram of a particular purity of gold x weight of gold in jewellery + making charge per gram + GST. 

    All of these along with GST (on Jewellery plus making charge) determine the final price of a gold jewellery piece which may often vary from jeweller to jeweller. However, the gold rate per gram remains the same in a city and is often similar throughout the country. You can check the live gold rate in India online and check the current gold price whenever you want. 

    What are Making Charges?

    Making charge is the cost of the process involved in producing and designing any piece of gold jewellery that you buy. In simple words, it is the cost of changing raw gold into fine jewellery. Also gold purity plays an important part in the making charges. If the gold is stronger and durable, it can be moulded into fine designer jewellery by craftsmen. Certainly, if the design is more intricate, there will be more time and artistry invested into its making, and so, the making charge for it may also vary accordingly. It is always recommended to buy gold that has BIS hallmark on it which certifies its purity. Making charge is usually expressed in Rupees per gram of gold.

    Making charge can make the whole difference in the price of your gold jewellery no matter from where you buy it. It may vary from one piece of jewellery to other and from one jeweller to another. Jewellers use different ways of computing these charges. Some jewellers include making charge at a fixed rate per gram of gold, while others charge is based on a percentage of the total jewellery weight. For mass-market machine-made jewellery like simple gold chains, the making charges usually range from 3% to 25%. For items like pure gold coins, the making charges are negligible or very less compared to gold jewellery.

    While, in case of very intricate designs that require skilled craftsmanship, like wedding jewellery, these charges could go up to almost 25%. Studded jewellery pieces usually involve very intricate work and thus they incur higher making charges than plain gold jewellery. However, you can find various online platforms that give you discount on making charges.

    What are Wastage Charges?

    Crafting gold jewellery pieces requires melting, cutting, and shaping it that leads to some possible amount of wastage as the perfect pieces are joined together to form a single piece of well-designed jewellery. Traditional jewellers always keep a margin for the amount of gold wastage usually charged to customers at a percentage included in the final price. This concept originated because jewellers used their hands at the old times resulting in a certain amount of gold wastage, and even modern machine-made jewellery has a wastage charge component. 

    Pieces that are embellished with stones cause a little more wastage than plainer gold jewellery. Hence, the charges will differ accordingly and can range anywhere between 5-7%. However, modern methods and technology used are generally more efficient in using the gold in jewellery production, minimising the wastage that occurs while crafting the designer pieces.

    So whether you buy gold jewellery online or offline, it is important to keep in mind these things mentioned above to make your purchase safe and reliable.