Why small gold bars cost more per gram

Why a 1 g bar carries a far higher premium than a 1 kg bar, and how to work out the point where buying bigger pays off.

Making cost does not shrink with the metal

A small bar takes nearly as much work to strike, package and certify as a larger one, but there is far less gold to spread that cost across. So the premium, as a percentage, climbs quickly as bars get smaller.

What that means when you sell

Buy-back prices usually track the metal value, not what you paid. Most of a small bar's premium is therefore gone the moment you buy it, and the gold price has to rise further before you break even.

When small still makes sense

Small bars suit gifts, regular small purchases, and holdings you may want to sell in parts. The premium by size chart on the bullion page shows what each size costs today, so you can weigh that against the flexibility.

See today's gold price and dealer comparison