How Gold Jewellery Prices Are Calculated
Gold rate + metal weight + workmanship + stones + design and other product-specific factors.
It Is More Than Weight × Gold Price
Gold content is an important part of jewellery value, but a finished piece is not simply a small bullion bar. Jewellery has to be designed, manufactured, assembled, set, finished, checked and often hallmarked. Stones and specialist work also affect the price.
The Main Components
- Applicable live gold rate and gold purity
- Net/gross weight depending on the product description
- Manufacturing or making charge
- Diamond and gemstone cost
- Setting, engraving, enamel or specialist finishing
- Design complexity and wastage involved in manufacture
- VAT and other applicable charges where relevant
Our making charges
| Metal | Making charge | VAT |
|---|---|---|
| 9ct Gold | £10.00 per gram | 20% |
| 18ct Gold | £10.00 per gram | 20% |
| 22ct Gold | £7.00 per gram | 20% |
The making charge is what we charge for the work, on top of the metal. The figure above is our minimum for that metal: a piece with heavier or finer workmanship carries its own higher charge, and that charge is shown in the breakdown on the piece itself. Ask us and we will tell you the making charge on anything before you buy it.
Live Gold Rate
Gold Factory refreshes its website gold rate frequently, approximately every minute. That does not mean every product price changes identically because different products carry different labour, stone and design components.
Made-to-Order Weight
For made-to-order jewellery, final weight can vary because the piece is manufactured rather than pulled from fixed stock. Gold Factory uses a ±5% manufacturing weight tolerance for made-to-order items. If the completed item is lighter, the price is adjusted down; if heavier, the price is adjusted up according to the agreed pricing method.
Example A made-to-order item estimated at 10g may reasonably finish around 9.5g to 10.5g under the agreed ±5% tolerance. This tolerance relates to manufacturing weight, not metal purity. |
Gross Weight Can Include Non-Gold Components
Unless a product specifically states net gold weight, displayed gross weight can include diamonds, gemstones, pearls, enamel, kundan, beads or other components. Ask us if you need the weight basis explained for a particular item.
Frequently Asked Questions
Why is jewellery more expensive than the raw gold value?
Because a finished item includes design, manufacture, finishing, stones and other costs in addition to its metal content.
Does your gold rate update?
Yes. The website rate is refreshed frequently, approximately every minute.
Can a made-to-order price change?
Yes, where final manufactured weight differs within the agreed tolerance.
Does gross weight mean gold-only weight?
Not necessarily. Product descriptions should be checked for whether the weight is gross or net.
Ask Gold Factory If you would like help applying any of this information to a real piece of jewellery, visit us at 294 Farnham Road, Slough, SL1 4XL, call 01753 536800 or contact us through www.goldfactory.co.uk. Jewellery can vary, so our team can explain the options for the actual item you are considering. |
Visit Gold Factory
Monday to Saturday: 11:00 am to 6:30 pm. Sunday closed.