Gold Making Charges Guide
What Are Making Charges?
Making charges are what you pay for the labour, craftsmanship, and design of gold jewelry — on top of the gold value itself. There are two calculation methods:
Percentage of gold value
Used by branded jewellers (Tanishq, Malabar). Scales with gold price — more expensive when gold is high.
Flat rate per gram
Used by local jewellers. More transparent — doesn't change with gold price.
GST on making charges is 5% (separate from the 3% GST on gold value). Both appear on your invoice.
Typical Ranges by Jewelry Type
Machine-Made vs Handmade
Machine-made: 3–8%
Uniform finish, fast production, lower cost. Best for daily-wear chains and simple bangles.
Handmade: 12–25%+
Artisan skill, unique designs, more gold wastage during crafting. Worth it for intricate traditional pieces.
What Is Wastage?
Wastage is the gold physically lost during cutting, filing, soldering, and polishing. It typically adds 5–7% to the cost, but can go up to 15% for complex designs with lots of detailing.
Some jewellers bundle wastage into making charges, while others show it as a separate line on the invoice. This makes comparison difficult if you don't ask.
Always ask: "Is wastage included in the making charge, or charged separately?" This one question can reveal a 5–10% hidden cost.
How Major Brands Compare
Tanishq — 8–33%
Non-negotiable. Festival offers and exchange discounts available.
Malabar Gold — 13–26%
Limited negotiation. Seasonal offers and loyalty program discounts.
GRT — 15–20% (called "VA")
Competitive rates. Often runs 20% off on VA for most pieces.
Kalyan — 28–37% base
Higher base but offers up to 50% off making charges during festivals.
Local jewellers — most negotiable
Can typically negotiate 2–5% off. Build a relationship for better rates.
How to Calculate Before You Visit
Example: 10g 22K necklace at ₹6,800/g
How to Reduce Making Charges
Buy during Akshaya Tritiya or Dhanteras
Brands offer 15–50% off making charges during these festivals
Choose simpler, machine-made designs
Machine-made pieces have 3–8% making charges vs 12–25% for handmade
Buy multiple pieces or a bridal set
Larger orders give you negotiating leverage
Compare 3+ jewellers
Making charges vary widely — even for similar designs
Ask for an itemized bill
Prevents hidden bundling of wastage, stone charges, and making fees
Shop June–August (lean season)
Fewer customers means jewellers are more willing to negotiate
What's fair: If you're paying more than 25% making charges for anything except ultra-intricate handcrafted work, you're likely overpaying. Plain gold jewelry (chains, simple bangles) above 12–15% deserves scrutiny — ask why it's that high.