What is a gold calculator and how is it working?

A gold calculator is a helpful tool for collectors!

Sell-Collectibles.com provides buying services for any kind of collectibles but also helpful information for our readers. Collectors are regularly faced with one big issue – do I buy for a fair price or is the seller who is interested in selling me an item looking for a unaware layman paying a much too high price? Thanks to the internet with thousands of archives and tools gathering price information is easier than ever before. While many recently sold collectibles can be found on ebay or on other auction archives, items made of gold or silver can be evaluated using a gold and silver calculator. Those calculators offer a fast and easy to understand the value in an item made of gold or silver. Redollar.com offers a great gold calculator tool for coins, jewelry and silverware. With just a few clicks, a user is able to receive a basic evaluation for a desired item. And the best thing about a gold calculator is that not much information is needed to operate those tools: knowing weight and purity is all needed.

Where does the market data come from?

All good working gold calculators need a source where they get their market data from. Websites like Kitco.com or Yahoo.com offer possibilities to get the latest bid and asking prices for gold, silver, precious metals and metals at all. Basically, a gold calculator is collecting this data and recalculating this information for different alloys and weight units. Individuals are then ready to calculate the value for coins, jewelry, medals, bullion, bars and ingots. Gold for examples is traded at the Comex updating market data literally every second. Gold is a commodity and according to market rules, prices are changing constantly depending on supply, demand and the economic situation. Global debt and economic growth are impacting the current gold price as well.

How is a gold calculator working

As still described, a gold calculator collects market date for recalculating the information into different gold alloys and weight units. Users are usually able to calculate values in grams, pennyweight, troy ounces and sometimes even in pounds. Gold, silver and other precious metals are traded in troy ounces. A troy ounce weighs approx. 31.1 grams and let buyers as sellers trade metals worldwide while understanding the amount they are negotiating.

Even within the United States, gold and silver sometimes is evaluated based on grams and sometimes based on pennyweight. While Florida or Pennsylvania is more used to pennyweight, Colorado or California speak about grams. A good gold calculator will let users calculate different alloys in different weight units.


Why collectors should use a gold calculator

Even when sellers want you to make believe that the gold price or the silver price are not very important when it comes to determine the value of an item you are about to but – though it is important. Most coins, with an exception for very rare or ancient coins, are selling for the current market price plus premium. Even silverware is evaluated by the weight except for very special items. When you brows auction results on ebay or invaluable, you’ll find out that most sterling silver is changing ownerships for the silver price plus 5 to 20 percent depending on the item. Using a gold or silver calculator let a buyer understand how much material value is in an item he or she is about to buy. If the difference between the market value and the dealers asking price is exorbitant different, something might be not ok as long as you don’t buy a VERY rare or extremely important merchandise.