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Gold Karat & Purity Guide — 24K, 22K, 18K Explained

The Gold Price · · 5 min read

When buying gold — whether jewelry, coins, or bars — the karat (K) rating tells you how pure the gold is. Higher karat means more gold content and higher value per gram.

What is a Karat?

A karat is a measure of gold purity based on a scale of 24 parts. 24 karat (24K) gold is pure gold — 24 out of 24 parts are gold. Lower karat numbers mean the gold is alloyed (mixed) with other metals like silver, copper, or zinc.

The karat system has been used since medieval times and remains the global standard for expressing gold purity.

Karat Purity Chart

Karat Purity % Fineness Gold Content per Gram Common Use
24K 99.9% 999 0.999g Investment bars, SJC gold
22K 91.67% 916 0.9167g Indian jewelry, coins
21K 87.5% 875 0.875g Middle East jewelry
18K 75.0% 750 0.750g Fine jewelry worldwide
14K 58.33% 583 0.5833g US/European everyday jewelry
10K 41.67% 417 0.4167g Budget jewelry (US minimum)
9K 37.5% 375 0.375g UK/Australia minimum

How to Calculate Gold Value by Karat

The formula is straightforward:

Gold Value = Spot Price × (Karat ÷ 24) × Weight

For example, with gold at $4,500/oz and a 10-gram 18K necklace:

  • Gold content: 10g × (18 ÷ 24) = 7.5g of pure gold
  • Price per gram: $4,500 ÷ 31.1035 = $144.68/g
  • Gold value: 7.5g × $144.68 = $1,085.10

Note: This calculates the melt value (raw gold content). Jewelry retail prices include craftsmanship, brand premium, and dealer margins.

Fineness vs. Karat

While karat is the traditional system, fineness (parts per thousand) is used in bullion markets and hallmarking.

Fineness Karat Description
999.9 24K Four-nines fine (investment grade)
999 24K Three-nines fine
995 24K LBMA Good Delivery minimum
916 22K Common in Indian/Middle Eastern gold
750 18K Standard fine jewelry
585 14K Common in Western markets

Regional Purity Standards

Vietnam — SJC 999.9

Vietnam's national gold standard is SJC (Saigon Jewelry Company) gold bars, refined to 999.9 fineness (24K). SJC bars trade at a significant premium over international spot prices due to limited supply and government regulation.

India — 916 (22K)

India, the world's second-largest gold consumer, traditionally favors 22K (916) gold for jewelry. The hallmarking system (BIS) certifies purity. Investment-grade gold bars are 999 fineness.

China — Au999 and Au9999

The Shanghai Gold Exchange trades gold at 999 and 9999 fineness. Chinese gold jewelry commonly uses 999 (千足金, "thousand pure gold") or 9999 (万足金) standards.

United States — 14K Standard

In the US, 14K is the most popular karat for jewelry due to its balance of durability and gold content. By law, anything sold as "gold" must be at least 10K.

Thailand — 96.5% (23.16K)

Thailand uses a unique standard of 96.5% purity (approximately 23.16 karat), which is specific to Thai gold trading. This is neither 22K nor 24K, making direct comparison important.

Middle East — 21K and 22K

Gulf states (UAE, Saudi Arabia, Kuwait) favor 21K and 22K gold jewelry. Dubai's Gold Souk is one of the world's largest retail gold markets.

How Karat Affects Durability

Pure 24K gold is soft and malleable — not ideal for rings or bracelets that endure daily wear. Lower karat gold is harder and more durable because of the alloyed metals:

  • 24K: Very soft, bends easily. Best for bars and protected jewelry.
  • 22K: Slightly harder, popular for traditional jewelry.
  • 18K: Good balance of purity and durability. The standard for fine jewelry.
  • 14K: Very durable. Ideal for engagement rings and everyday pieces.
  • 10K: Hardest, most scratch-resistant. Most affordable gold option.

Color Variations by Alloy

The metals mixed with gold change its color:

  • Yellow gold: Gold + silver + copper (classic gold color)
  • White gold: Gold + palladium or nickel (silver appearance, often rhodium-plated)
  • Rose gold: Gold + copper (pinkish hue, trendy in modern jewelry)

The karat rating is the same regardless of color — 18K white gold has the same 75% gold content as 18K yellow gold.

Testing Gold Purity

Common methods to verify gold karat:

  1. Hallmark stamps: Look for "750" (18K), "916" (22K), or "999" (24K) stamped on the piece
  2. Acid test: A drop of acid on a scratch mark reveals purity by reaction color
  3. Electronic tester: Non-destructive device that measures conductivity
  4. XRF analyzer: Professional-grade X-ray fluorescence analysis (most accurate)

Summary

Understanding gold karat helps you make informed purchases and accurately value your gold holdings. Use our Gold Calculator to instantly convert prices across different karats and weight units.