To find the scrap gold price per pennyweight of gold jewelry or dental gold scrap one intends to sell to a pawn shop, jeweller, or other scrap gold buyer, and to determine the value of the scrap gold based on gold’s current spot price, follow these easy steps. The calculation method described here is for one piece or lot of scrap gold of the same karat measurement. Note that the abbreviation dwt stands for pennyweight in the instructions below.
Find Today’s Gold Price
Check the metal markets online or in the newspaper to find the current price of gold, which is measured in troy ounces. Depending on when you check, the gold price may be just a few hundred dollars or may be over $1,000 U.S.
Convert the Gold Price to DWT (Pennyweight) Units
A single troy ounce is equal to 20 dwt of gold. If today’s gold price is $1,000, then a pennyweight of gold equals 1/20 of $1,000, which is $50.
$50 is the scrap gold price per pennyweight – if the scrap were pure 24k gold bullion, that is. Scrap gold needs additional calculations, because it is not 100 percent pure gold, but made up of base metals, too.
Find How Much the Scrap Gold Weighs in Pennyweight
Sort the scrap gold jewelry and other gold into karat units. Pennyweight scales measure in dwt units. If a pennyweight scale is available, weigh all 10k gold together, 12k gold together, 14k gold together, and 18k gold together to find the pennyweight in dwt units. Or if there is the less common 9K gold or 22k gold scrap or other units, place those together, too. If a gram scale is all there is, weigh the scrap gold in grams and then convert grams to pennyweight – 1 gram equals .643 dwt.
As an example, say the scrap gold is 14k, and weighs exactly 1 pennyweight.
Factor in the Karat Purity to Get the Value of the Pennyweight of Gold
To get the purity of the scrap gold, divide the karat number by 24. With the example of 14k gold, divide 14 by 24 to get .583. This number is the percentage of the gold alloy that is pure gold. (As another example, if the gold were 9k, then one would calculate the gold purity as 9 divided by 24, or .375.)
Multiply the 1 pennyweight gold (14k) by .583. The answer is easy in this example – .583. The pretend sample of scrap gold is 58.3 percent pure gold.
Multiply .583 times the scrap gold price per pennyweight in the example, which is $50. The answer is $29.15.
Thus, $29.15 U.S. would be the actual scrap gold price for one pennyweight of 14k gold when the price of gold is $1,000 US per troy ounce (or $50 per pennyweight).
For people in Canada, the UK, Australia, and other countries, convert the dollars to the respective country’s currency.
Scrap Gold Price Per Pennyweight Reveals the Spot Price of Scrap Gold on the Open Market
Troy ounces, grams, and pennyweight are common measurement units for weighing gold. “Dwt price” refers to the price of gold when weighed in pennyweight units. The scrap gold price per pennyweight is based on the current price of gold, the percentage of gold in the alloy, and the weight of the gold.