Compare a metal dealer's offer with the purity-adjusted reference value of your lot. Enter the weight, purity, reference price, offer, and separate costs to calculate gross payout percentage, net payout percentage, dealer spread, fine-metal weight, and the offer required for your target payout.
Last Updated: July 21, 2026
Metal Dealer Payout Percentage Calculator
Measure a dealer offer against theoretical metal value using consistent weight and price units.
Reference Value and Dealer Offer
Use one currency and a reference price from the same time window as the dealer quote.
Dealer Offer Comparison
Enter a complete lot, reference price, and dealer offer to compare payout percentages.
| Net payout target | Target net cash | Gross dealer offer required | Required offer per gross unit | Change from entered offer |
|---|---|---|---|---|
| Calculate an offer to view payout scenarios. | ||||
Scenario percentages are arithmetic reference points, not market standards or recommendations. Product type, assay, resale demand, and dealer costs affect real bids.
What Is a Metal Dealer Payout Percentage Calculator?
A metal dealer payout percentage calculator shows how much of a lot's theoretical metal value you would receive from an entered offer. It first adjusts gross weight for purity, values the resulting fine-metal weight at your reference price, and compares the dealer's offer with that value.
The tool reports both gross and net payout percentages. Gross payout uses the quoted offer before separate deductions. Net payout uses the amount left after the dealer fees and seller costs you enter. This distinction matters because two dealers may quote the same headline offer while using different assay, refining, shipping, handling, or payment charges.
You can use the calculator for gold, silver, platinum, palladium, copper, aluminum, or another metal when you know the relevant weight, purity, reference price, and offer basis. It is designed for bullion, jewelry lots, coins valued for metal content, manufacturing remnants, and tested scrap. It does not estimate collectible, antique, gemstone, brand, artistic, or finished-jewelry value.
How to Use This Calculator
- Select one currency for every money input. The currency menu formats results but does not convert exchange rates.
- Describe the metal or lot so you can identify the quote later.
- Enter gross weight and select its unit. Do not include stones, packaging, or non-metal parts unless the dealer includes them in accepted weight.
- Enter purity as a percentage. Choose a preset for convenience, or use a documented assay result.
- Enter a reference metal price and its price unit. For precious metals, this is often a price per troy ounce. Base-metal quotes may use pounds, kilograms, or metric tonnes.
- Enter the dealer offer as either a total lot amount or an amount per gross weight unit.
- Add only deductions that are separate from the headline offer. Avoid entering a refining charge twice if the quoted bid already includes it.
- Add your own transaction costs, such as insured shipping or travel, when you want a seller-level net result.
- Enter a target net payout percentage to calculate the gross offer needed after fixed costs.
- Select Calculate Payout Percentage and compare the result with the dealer's written settlement terms.
Keep every value on the same basis. If the reference price is for pure gold but your lot is 22K, purity adjustment is required. If a dealer quotes per gross gram, do not treat that amount as a price per fine gram. If the offer was made yesterday and the reference price is from today, market movement may distort the comparison.
Metal Dealer Payout Percentage Formula
Theoretical melt value = fine-metal weight in reference units × reference price per unit
Gross payout percentage = gross dealer offer ÷ theoretical melt value × 100
Net cash = max(0, gross dealer offer − dealer deductions − seller costs)
Net payout percentage = net cash ÷ theoretical melt value × 100
Dealer spread percentage = (theoretical melt value − gross dealer offer) ÷ theoretical melt value × 100
Gross offer needed for target = theoretical melt value × target percentage + entered deductions
The calculation uses kilograms as an internal bridge between weight units. For example, it converts a gross weight in grams to kilograms, applies purity, and then divides fine kilograms by 0.0311034768 kg when the reference price is per troy ounce.
Worked Dealer Payout Example
Assume you have 100 grams of 22K gold jewelry. You enter 91.67% purity and a reference gold price of $3,300 per troy ounce. Fine-gold weight is 91.67 grams, or about 2.9473 troy ounces. The theoretical metal value is $9,725.95.
A dealer offers $9,000 for the lot. The gross payout percentage is $9,000 divided by $9,725.95, or 92.54%. The dealer spread against theoretical melt value is $725.95, equal to 7.46%.
If separate dealer deductions are $35 and your shipping cost is $15, net cash is $8,950. The net payout percentage is 92.02%. To net 95% of melt value, you would need $9,239.66 after costs. With $50 of entered costs, the required gross offer is $9,289.66, which is $289.66 above the entered offer. Select Load Sample to reproduce these results.
Gross Payout Percentage Versus Net Payout Percentage
Gross payout percentage measures the offer before separately stated costs. It is useful for comparing headline bids when every dealer uses the same weight, purity, price timestamp, and offer basis.
Net payout percentage measures what remains after the deductions you enter. It usually gives the clearer seller comparison. A mail-in refiner may show a high payout rate but charge assay, lot, refining, wire, or return-shipping fees. A local dealer may quote a lower gross amount with no extra charge. Net percentage places both offers on a closer basis.
The calculator treats entered costs as fixed amounts. If a fee is a percentage, calculate its money amount from the dealer's terms before entering it. Do not subtract estimated income or capital-gains tax unless you are intentionally analyzing your own after-tax result. Tax treatment depends on country, asset, holding period, ownership, and transaction facts.
What Does a Dealer Spread Mean?
Dealer spread in this calculator is the difference between theoretical melt value and the gross buy offer. A positive spread means the offer is below the reference value. A zero spread means the offer equals the calculated reference value. A negative spread means the offer is above melt value.
An offer above melt value is not automatically an error. Recognized bullion products, scarce coins, collectible pieces, or items with resale demand may receive a premium. The calculator still reports a payout percentage above 100% because melt value is only the entered comparison base.
The CFTC explains that dealers set their own buy and sell prices, and the difference is known as the dealer spread. Its consumer guidance recommends comparing the metal's weight and current spot value with the price offered, then asking for all fees and costs in writing. No single payout percentage is suitable for every product or dealer.
Melt Value Is Not the Same as Retail or Resale Value
Theoretical melt value represents contained metal at the entered reference price. It does not include the cost or value of manufacturing, design, branding, certification, rarity, condition, stones, packaging, or retail service. It also does not subtract the dealer's real testing, financing, hedging, refining, compliance, inventory, or resale costs.
This means the result should support quote comparison, not declare what a dealer must pay. A common bullion coin may trade close to its metal value. A damaged jewelry lot may be bought primarily for refining. A rare coin may be worth far more than metal content. Get a specialist appraisal before selling an item with possible collectible or historical value.
Purity, Fineness, and Assay Risk
Purity states how much of the gross alloy is the target metal. A purity of 91.67% means 91.67 grams of target metal per 100 grams of alloy. Fineness expresses the same idea in parts per thousand, so 916.7 fineness equals 91.67%. Gold karat uses 24 parts: 22K is approximately 22 ÷ 24, or 91.67%.
Do not assume a stamp proves the entire item has the stated purity. Solder, clasps, springs, repairs, fillings, plating, stones, and mixed components can change payable content. A dealer may use X-ray fluorescence, acid testing, density testing, fire assay, or another method. Ask whether the quoted payout uses stamped purity, preliminary testing, or final assay.
LBMA explains that fineness represents parts per thousand by weight and that gold assay values are subject to defined expression and rounding practices in its Good Delivery system. The presets in this calculator are input shortcuts. They do not certify that an item meets an LBMA, hallmarking, or legal standard.
Weight and Price Units
| Unit | Mass used by the calculator | Common context | Important check |
|---|---|---|---|
| Gram | 0.001 kg | Jewelry and small lots | Confirm whether the bid is per gross or fine gram. |
| Kilogram | 1 kg | Large lots and bars | Keep price and weight currency consistent. |
| Troy ounce | 31.1034768 g | Gold, silver, platinum, and palladium | Do not substitute an ordinary ounce. |
| Avoirdupois ounce | 28.349523125 g | General goods and some scrap | It is about 8.86% lighter than a troy ounce. |
| Pound | 0.45359237 kg | Base-metal and scrap quotes | A standard pound contains 16 avoirdupois ounces. |
| Pennyweight | 1.55517384 g | Jewelry buying | Twenty pennyweight equal one troy ounce. |
| Grain | 0.06479891 g | Small precious-metal quantities | Use enough scale precision for tiny lots. |
A troy ounce and a standard ounce are not interchangeable. Entering a price per troy ounce while selecting ordinary ounce changes the theoretical value. Review both unit menus before comparing offers.
Factors That Change a Metal Dealer Offer
- Reference-price timing: metal prices move, and dealers may lock a quote at receipt, assay, confirmation, or settlement.
- Assayed purity: actual fine-metal content may differ from a stamp or seller estimate.
- Non-metal weight: stones, dirt, moisture, solder, packaging, and attachments may be removed.
- Product liquidity: recognized bullion may be easier to resell than mixed or unverified material.
- Lot size: minimum charges have a larger percentage effect on small lots.
- Refining and recovery: treatment method, expected loss, and minimum refinery requirements affect bids.
- Payment method: cash, check, bank transfer, store credit, and delayed settlement may have different terms.
- Location and competition: local demand, shipping, insurance, and the number of active buyers affect offers.
- Collectible value: rarity, condition, provenance, and certification may add value above metal content.
How to Compare Dealer Quotes Fairly
- Record the same gross weight, purity assumption, reference price, currency, and timestamp for every quote.
- Ask whether the offer is based on gross weight, fine weight, estimated melt value, or final assay.
- Request every fee, deduction, minimum, return charge, and payment term in writing.
- Confirm when the price locks and who bears price movement while the lot is in transit or testing.
- Compare net cash, not only an advertised payout percentage.
- Ask what happens if you reject the final assay or settlement amount.
- Keep photographs, serial numbers, shipping records, scale readings, assay reports, and the final statement.
For higher-value lots, compare more than one established buyer. Check the business identity, physical address, complaints, insurance terms, and return policy before handing over metal. A calculator cannot verify a dealer, identify fraud, or recover property after a dispute.
Common Calculation Mistakes
- Using gross weight as pure-metal weight
- Entering 916 fineness as 916% instead of 91.6%
- Confusing troy ounces with ordinary ounces
- Mixing a per-gram offer with a per-troy-ounce reference price without conversion
- Counting the same assay or refining deduction twice
- Comparing quotes from different price-lock times
- Ignoring stones, clasps, solder, plating, or other non-payable components
- Treating melt value as a complete appraisal for a collectible item
- Assuming the highest stated percentage produces the highest net payment
Methodology and Sources
Weight conversions follow NIST precious-metals conversion information. Dealer spread, spot-price, fee-disclosure, and quote-comparison context follows the CFTC and FINRA physical-metals investor bulletin and the CFTC physical-metals risk advisory. Purity and fineness context follows LBMA purity guidance. U.S. product-description context is available in the FTC Jewelry Guides in 16 CFR Part 23. These sources support terminology, measurement, and consumer context. They do not supply the prices or dealer offers entered in this tool.
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Frequently Asked Questions
How do I calculate a metal dealer payout percentage?
Divide the dealer offer by the purity-adjusted theoretical metal value and multiply by 100. For a net percentage, first subtract the separate dealer deductions and seller costs from the offer.
What is the difference between gross and net payout percentage?
Gross payout percentage uses the headline dealer offer. Net payout percentage uses the cash left after the entered dealer fees and seller costs, so it provides a closer comparison of what the seller receives.
Does the calculator use live metal or spot prices?
No. You enter the reference price because market prices, currencies, quote providers, locations, and dealer lock times differ.
Can a dealer payout percentage exceed 100%?
Yes. An offer may exceed calculated melt value when an item has bullion premium, collectible value, resale demand, brand value, or when the entered purity, weight, price, or unit is inaccurate.
Should I use gross weight or fine-metal weight for a dealer offer?
Enter the physical lot as gross weight and its purity. The calculator derives fine-metal weight. If a dealer quotes per gross unit, select per-gross-unit offer mode; if the dealer gives one amount for the lot, select total offer.
What purity should I enter for 22K gold or sterling silver?
Twenty-two karat gold is approximately 91.67% pure, while sterling silver is commonly represented as 92.5% silver. Use the actual assay or documented standard for the specific item when available.
Why is a troy ounce different from a regular ounce?
A troy ounce equals 31.1034768 grams, while an avoirdupois ounce equals 28.349523125 grams. Precious-metal prices commonly use troy ounces, so selecting the wrong ounce changes calculated value.
Does melt value include gemstones or collectible value?
No. Melt value covers only the entered fine-metal content at the entered reference price. It excludes stones, craftsmanship, rarity, condition, certification, brand, and other resale value.
Does the calculated payout guarantee a dealer's final payment?
No. The result depends on your entries. Final payment depends on accepted weight, assay, product eligibility, price-lock timing, fees, recovery, market conditions, dealer policy, legal requirements, and settlement terms.