Estimate Scrap Payout
Metal value adjusted for recovery and buyer discount.
Recovery and discount inputs are assumptions; actual scrap buyers may use different formulas.
What Is Scrap Gold Value?
Scrap value is aimed at material being sold primarily for its precious-metal content rather than its jewellery design or retail appeal.
Recovered Gold = Fine Gold × Recovery Rate
Scrap Payout = Recovered Gold × Gold Price × (1 − Discount)
Scrap Value vs Melt Value
| Value | Purpose |
|---|---|
| Melt Value | Theoretical recoverable metal value. |
| Scrap Value | Metal value after recovery and buyer adjustment. |
| Buyback Value | Dealer payout using a stated buyback rate. |
| Jewellery Value | Can include workmanship and retail components. |
Why Scrap Buyers Deduct From Metal Value
A commercial buyer may need to test, sort, melt, refine, transport and resell the material. The buyer may therefore apply a margin or discount.
The calculator exposes those assumptions instead of hiding them inside a single unexplained percentage.
Example
For 20 grams of 18K gold, with a 24K price of 100, 98% recovery and a 10% buyer discount:
Recovered = 15 × 0.98 = 14.7 g
Gross recovered value = 14.7 × 100 = 1,470
Scrap payout = 1,470 × 0.90 = 1,323
Important Limitations
The recovery rate and discount are user assumptions. They are not universal industry rates and should not be interpreted as a guaranteed buyer offer.
Frequently Asked Questions
What is scrap gold value?
It is an estimate of what gold material may be worth to a scrap buyer after recovery and buyer adjustments.
Is scrap value the same as melt value?
No. Melt value is a theoretical metal value; scrap value can include buyer-side adjustments.
Why is scrap gold worth less than theoretical gold value?
Testing, processing, refining, overhead, risk and buyer margin can reduce a payout.
Does this calculator use making charges?
No. Scrap calculations focus on recoverable metal rather than retail workmanship.
Can I use this for jewellery with gemstones?
Use the gold-alloy weight rather than gross jewellery weight wherever possible.