Making Charges Explained: What They Are and How to Compare Fairly
When you buy gold jewellery, you pay for more than the gold. Making charges are often the biggest difference between one jeweller's price and another's, and also the most confusing. This guide explains what making charges cover, how they are calculated, and how to compare quotes fairly.
What making charges cover
Making charges pay for turning raw gold into a finished piece of jewellery. They cover:
- design, whether traditional or original,
- craftsmanship, from casting and shaping to engraving, setting and polishing,
- labour, which can range from a few hours to many weeks for intricate pieces,
- the jeweller's overheads, such as the workshop, tools and quality control.
Making charges do not include the value of the gold, stones or GST, which are listed separately on your bill.
Percentage vs per-gram
Jewellers usually calculate making charges in one of three ways:
- Percentage of gold value: for example, a set percentage of the gold value of the piece. The charge rises and falls with the gold rate.
- Per gram: a fixed amount for each gram of gold. The charge depends on weight, not on the gold rate.
- Flat fee: a single amount for the piece, sometimes used for lightweight or special items.
None of these is automatically better. What matters is the total making charge for the piece you are buying.
Wastage
In some parts of India, particularly in the South, you may see a charge called wastage or value addition (VA). Traditionally, it accounted for the small amount of gold lost during making, such as filings and polishing dust.
Today, wastage is often combined with or used instead of making charges. If a quote includes wastage, ask:
- how it is calculated,
- whether it is in addition to making charges or instead of them,
- and what the total cost is once both are included.
Why handwork costs more
Two pieces of the same weight can have very different making charges. Here is why:
- Handwork takes time. Nakshi engraving, filigree, jadau setting and meenakari can take many hours of skilled labour. Read Meenakari and Nakshi Work.
- Complexity matters. Pieces with many parts, moving elements or stone settings take longer to make.
- Machine-made pieces are usually less expensive to make than handmade ones.
A higher making charge is not always a bad sign. For intricate, handcrafted pieces, it reflects genuine skill.
Comparing two quotes
To compare two jewellers fairly:
- Check the purity. Make sure both quotes are for the same karat.
- Compare net gold weight, separate from stones.
- Check the gold rate each jeweller used.
- Compare the total making charge, including any wastage.
- Compare stone charges separately, with stone weights.
- Look at the final total, including GST.
- Compare the design and craftsmanship, not just the price.
For a line-by-line guide, read How to Read a Jewellery Invoice in India and Weight-Based vs Design-Based Pricing.
At Tibarumal & Sons Jewellers, Shaikpet, we explain making charges clearly for every piece, so you know exactly what you are paying for.
Visit Tibarumal & Sons Jewellers, Shaikpet
Tibarumal & Sons Jewellers
Shop No. 102, 8-1-299/121, RP Business Park, Al Hamra Colony, Shaikpet, Hyderabad 500008
Hours: Monday to Saturday, 11am to 8:30pm
Phone: +91 88855 00805
WhatsApp: Message us on WhatsApp
Instagram: @tibarumalandsons
