Calculator / Making charges guide
How to Calculate Gold Making Charges in India
Making charges are what a jeweller adds to the value of the gold for crafting the piece. They are one of the most negotiable parts of a quotation, and also the part that is hardest to compare, because shops quote them in different ways.
The three common ways to quote
Percentage of gold value. A 12% charge on ₹50,000 of gold is ₹6,000. It rises and falls with the gold rate.
Rate per gram. ₹600 per gram on 8 g of gold is ₹4,800, whatever the gold rate does that day.
Fixed amount per item. A flat ₹3,500 for the piece, often seen with coins, bars or simple items.
To compare two quotes in different forms, convert both to a rupee total for the same weight. The calculator does this when you pick the making charge type.
Worked example (assumed numbers)
| Item | Amount |
|---|---|
| 10 g at ₹10,000 per gram | ₹1,00,000 |
| Making at 15% | ₹15,000 |
| Subtotal | ₹1,15,000 |
| GST at 3% | ₹3,450 |
| Total | ₹1,18,450 |
At a negotiated 10% the making charge is ₹10,000, GST is ₹3,300 and the total is ₹1,13,300. The saving is ₹5,150, which includes ₹150 less GST. The ₹10,000 rate is only an illustration, not a live price.
Making charges versus wastage
Wastage is the gold lost while crafting, and some jewellers charge it as a percentage on top. Others fold it into the making charge. Ask which applies so you do not pay for it twice. In the calculator, leave wastage blank if the making charge already covers it.
Why a lower percentage is not always cheaper
A 9% charge on a heavy plain bangle can cost less in rupees than 14% on a light piece, and an intricate design may cost more in labour whatever the percentage. Compare rupee totals for the same weight and purity, not percentages alone. The calculator's compare section shows which charges cause the difference.
Questions to ask before buying
- Is the making charge a percentage, a per-gram rate or a fixed amount?
- Is wastage charged separately?
- Is the weight shown net gold weight, or does it include stones?
- What is the rate per gram for this exact purity today?
- Are stones, hallmarking and other charges listed separately?
- What is the buyback or exchange policy, and what is deducted?
Official sources
For hallmarking and purity, see Bureau of Indian Standards. For tax, see CBIC GST. Our GST and bill guide explains how tax appears on the invoice.
Try the gold jewellery price calculator with your own numbers.