Don’t Be Fooled: Calculate Gold Prices in 2023 Correctly

When we buy gold the most important thing we need to know is the price per gram and the price of workmanship so that we don’t end up being fooled and paying more than what it is actually worth. The same concept is applicable for when we sell a piece of gold jewelry as well. 

If you are in the market for gold or a wedding band for example, you must pay attention to a few things in addition to the price of gold itself, but don’t fret Faydety is here to give you some tips for when youre both buying or selling gold.

Learn more about investing in gold here: everything you need to know about investing in gold

Fluctuations in price

The price of gold differs from one day to the next and even if the difference is very small it does matter when it comes to the total price. You can track the price of gold here where the price of gold is constantly being updated.

The price of gold varies daily with the different dollar prices, and in case you don’t know the most popular and widely traded in Egypt is 21 karat  followed by 18k then 24k.

What is gold workmanship?

"Workmanship" is one of the factors that affects the price of gold per gram. The workmanship fee is added on top of the official declared price of gold and varies from one jeweler to another.  The workmanship fee of gold is determined according to the design and the amount of work spent on each piece.

Competition between workshops in prices

Workshops are always competing when it comes to prices, but keep in mind that because all the tools used in production are imported from abroad and paid for in dollars the workshops’ cost margin has increased recently. Another factor that led to the increase of workmanship prices recently are high electricity bills, that is in addition to the increase in the price of gold itself all of which are borne by the client.

More about investing in gold: Why does Naguib Sawiris prefer to invest in gold?

What are “leftover” or “perishable” bits of gold?

When a kilo of gold enters production, its weight decreases, and the so-called "perishable" or “leftover” is calculated and distributed on the product, and the greater the workmanship in each piece, the higher the price.

One of the advantages of L’azurde gold is its very high value in all its components

How is the gold workmanship calculated in 2023?

Workmanship fee starts from 7% to 10% of the price of a gram of gold for most pieces.

For example:

If you want to buy a 21k ring that weighs 8 grams, you will first need to check the price of 21k gold that day then the price of the ring will be calculated by multiplying its weight by the price per gram. Add to that the workmanship fee as previously mentioned plus the tax fees and you get the total amount that you will pay.

Gold workmanship fee if you are selling

When you sell a piece a gold the jeweler cleans it first (cleaning here means cleaning it from dust, dirt, soap, etc. so that it does not affect the weight on the sensitive scale) and after that any gems are removed from the piece.

Be careful!

In some cases, the gems or diamonds are not removed because brands such as Gold Egypt and L’azurde use valuable gemstones, and they are weighed along with the gold.

Once the weighing is done, the workmanship is calculated, and we recommend that you keep the invoice to compare the value of what was deducted with what you paid when you purchased the item.

What is L’azurde gold?

L’azurde gold is a brand of gold by L'azurde company for the manufacture of jewelry and gold jewelry based in Saudi Arabia.

One of the advantages of L’azurde gold is the high value of all its components to the extent that the gemstones have a high resale value as opposed to regular gold. The price of workmanship of L’azurde gold in Egypt is about 200 EGP per gram.