How to Value Scrap Gold: A Detailed Guide

March 30, 2026

Valuing scrap gold involves understanding its weight, purity (carat), and the current market price of gold. Here’s a step-by-step guide to help you accurately determine the value of your scrap gold, broken down by the most common gold carats.

1. Determine the Purity (Carat)

A gold carat (ct or kt) is a measure of the purity of gold alloys. It indicates the proportion of gold in a piece relative to other metals. Pure gold is 24 carats (24k), meaning 24 out of 24 parts are gold, or 99.9% pure.

24 Carat (24k): Pure gold with 99.9% purity.
22 Carat (22k): Contains 91.6% gold.
18 Carat (18k): Contains 75% gold.
14 Carat (14k): Contains 58.3% gold.
10 Carat (10k): Contains 41.7% gold.
9 Carat (9k): Contains 37.5% gold.

The higher the carat number, the greater the gold content and value. Lower carat gold alloys are more durable due to the presence of other metals.

The most common carat in the UK is 9ct. 18ct Gold is usually common in Italian Gold items. 22ct gold is usually popular in Asian Gold.

2. Weigh Your Gold

Use a digital scale to measure the weight of your gold in grams. Ensure accuracy as even small differences can impact the value.

3. Calculate the Gold Content

Multiply the weight of your gold by the purity percentage to find the pure gold content.

Example:

If you have 10 grams of 18k gold:

10 grams×0.75=7.5 grams of pure gold

4. Check the Current Gold Price

Find the current market price of gold per gram. You can get this information from financial news websites or precious metal exchanges.

5. Calculate the Value of Your Scrap Gold

Multiply the pure gold content by the current gold price per gram.

Example:

If the current gold price is £40 per gram:

7.5 grams×£40=£307.5

6. Consider Dealer Margins

Be aware that dealers typically pay less than the market value to cover their costs and profit margins. This deduction can range from 10% to 30%. We usually pay the highest in Leicester for Gold.

Step-by-Step Example

Let’s value a 14k gold necklace weighing 20 grams with a current gold price of £40 per gram:

Determine Purity: 14k gold is 58.3% pure.
Weigh the Necklace: 20 grams.
Calculate Pure Gold Content: 20 grams×0.583=11.66 grams of pure gold
Check Gold Price: £40 per gram.
Calculate Value: 11.66 grams×£40=£466.40
Consider Dealer Margin: If the dealer’s margin is 20%, they might offer: £466.40×0.80=£373.12

Additional Tips

Use a Reliable Scale: Accuracy in weight is crucial.
Stay Updated on Gold Prices: Prices fluctuate daily.
Shop Around: Get quotes from multiple dealers to ensure a fair price, Although a recent survey showed we pay the highest for scrap gold.
Understand the Market: Be aware of the current economic factors affecting gold prices.

Conclusion

Valuing scrap gold involves a few key steps: determining purity, weighing accurately, calculating the pure gold content, checking current gold prices, and accounting for dealer margins. By following this guide, you can confidently assess the value of your scrap gold and get the best possible price.