18K vs 22K vs 24K Gold: Purity, Price & Best Use
Understand how purity affects durability and price, and choose what’s best for jewellery vs investment.
Understanding Gold Purity: Karats vs. Fineness
In India, gold purity is commonly discussed in Karats (K), but jewelers also use the Fineness scale. Karat measures purity on a scale of 24 parts, while Fineness measures parts per 1,000. For instance, "916 gold" is simply 22K gold (91.6% pure).
| Karat | Fineness | Gold Percentage | Best Used For |
|---|---|---|---|
| 24K | 999 | 99.9% | Investment (Bars & Coins) |
| 23K | 958 | 95.8% | High-purity plain jewelry |
| 22K | 916 | 91.6% | Standard Indian Jewelry |
| 18K | 750 | 75.0% | Diamond & Stone Jewelry |
| 14K | 585 | 58.5% | Affordable Daily-wear |
24K vs 22K vs 18K: Which Should You Buy?
Choosing the right purity depends on whether you are looking for an investment or a wearable ornament.
- 24K Gold (99.9% Pure): This is the purest form of gold. Because it is extremely soft and malleable, it cannot be used for intricate jewelry as it would bend or lose shape easily. It is ideal for investment in the form of gold biscuits, bars, or coins.
- 22K Gold (91.6% Pure): Often referred to as "916 Hallmark Gold," this is the gold standard for traditional Indian jewelry. It contains 8.4% alloys (like copper or silver) to make the jewelry durable enough for wedding sets and heavy necklaces.
- 18K Gold (75% Pure): If you are buying diamond or gemstone-studded jewelry, 18K is the best choice. The 25% alloy content makes the gold much harder, providing the strength needed to hold precious stones securely in place.
How to Check Gold Purity: The BIS Hallmark Guide
To protect consumers, the Bureau of Indian Standards (BIS) mandates hallmarking. Since April 2023, every piece of hallmarked jewelry must have a 6-digit HUID (Hallmark Unique Identification) code.
What to look for on your jewelry:
- BIS Logo: The triangular mark.
- Purity Mark: e.g., 22K916 or 18K750.
- HUID Number: A unique alphanumeric code you can verify on the BIS Care App.
How Purity Affects the Price of Jewelry
The price of gold jewelry isn't just the daily gold rate. You must account for the following:
- Gold Value: (Gold Rate per gram × Weight).
- Making Charges: This covers the labor and design. For 24K coins, this is low (1-3%). For 22K/18K jewelry, it can range from 5% to 25%.
- GST: A flat 3% GST is applied to the total (Gold + Making Charges).
Frequently Asked Questions
What is the difference between 24K and 22K gold?
24K gold is 99.9% pure gold and is very soft, making it ideal for investment bars. 22K gold contains 91.6% gold mixed with 8.4% other metals like copper or zinc, making it durable for jewelry.
What does 916 mean on gold jewelry?
The 916 mark signifies 22 Karat gold. It means that there are 91.6 grams of pure gold in every 100 grams of the alloy.
Is 18K gold real gold?
Yes, 18K gold is real gold consisting of 75% pure gold. It is commonly used for diamond and gemstone-studded jewelry because of its strength.
How do I check for HUID Hallmark?
Look for three signs: The BIS Logo, the Purity/Fineness (e.g., 22K916), and a 6-digit alphanumeric HUID code. You can verify this code on the BIS CARE App.