Bullion
Education, premium summaries, and melt calculators.
Bullion basics
Physical bullion is the metal itself—gold, silver, platinum, or palladium—in bar or coin form. The spot price you see on BullionData reflects the wholesale close for raw metal. Retail investors almost never buy at spot; they pay spot plus a premium that covers minting, logistics, dealer margin, and collectibility. Understanding premiums is the single most important practical skill in bullion investing.
Coins vs bars
Government coins (American Eagle, Maple Leaf, Britannia, Philharmonic) are legal tender with guaranteed weight and purity from a sovereign mint. They are recognizable worldwide, often easier to resell in small sizes, and carry slightly higher premiums than generic bars. Privately minted bars and rounds from refiners such as PAMP, Valcambi, or Johnson Matthey typically have lower premiums per ounce, especially in larger sizes (10 oz, kilo). The trade-off is resale liquidity: a famous sovereign coin may find more buyers than an obscure round.
How premiums work
Premium = (purchase price − melt value) ÷ melt value. Melt value is weight × purity × spot per ounce. Premiums compress in strong bull markets when demand surges and expand in calm markets. Product size matters: 1 oz coins are convenient but carry higher percentage premiums than 10 oz or 100 oz silver bars. Compare premiums across product types on our compare page.
Buying bullion
Buy from reputable dealers with transparent pricing and clear shipping policies. Compare total landed cost (price + shipping + insurance), not headline price alone. Confirm the exact product, year, and condition for coins where numismatic premiums apply. Payment method affects price: card payments often carry surcharges; bank wire or check may discount. Record your cost basis and receipt for tax reporting.
Selling bullion
Dealers buy at spot minus a spread. Expect to receive less than retail premium on the way out—bullion is not a zero-cost round trip. Coins with strong secondary demand may retain more premium than generic bars. Local coin shops offer immediacy; online dealers may pay better on standard products if you ship insured. Use our gold and silver melt calculators to know the metal value floor before negotiating.
Storage options
Home storage avoids ongoing fees but requires a thoughtful security plan (safe anchoring, discretion, insurance rider on homeowner policy). Bank safe deposit boxes are convenient though not FDIC-insured for metals and access hours are limited. Allocated vault storage through dealers or third-party vaults provides institutional security and audit trails; fees run a few tenths of a percent annually. Never store uninsured metal without understanding your exposure.
Transport and receipt
Insure shipments at full replacement value. Require signature delivery. Inspect packaging immediately—tamper-evident seals should be intact. For large orders, consider pick-up or segmented shipments to reduce single-package risk. Keep original mint packaging when possible; some buyers prefer sealed products.
Tax considerations (general education)
Tax treatment varies by country, state, and holding period. In the United States many bullion products are subject to collectibles capital-gains rates rather than ordinary equity rates, but exceptions and state sales tax rules exist. Some states exempt legal-tender coins or small transactions. This is not tax advice—consult a qualified professional for your situation. Record purchases with date, dealer, product, weight, purity, and all-in cost.
Using spot data on BullionData
Spot prices on BullionData refresh from local tables fed by scheduled ingestion. Use live spot when evaluating whether a quoted premium is fair. A 5% premium on gold when spot is $2,000 implies roughly $100 above melt on a one-ounce coin. When premiums spike during crises, waiting or choosing bars over coins can improve economics.
Explore category pages for gold coins, silver bars, and more, or jump to the product directory.
Frequently asked questions
Why is bullion more expensive than spot price?
Retail bullion includes minting, packaging, shipping, insurance, and dealer margin. Premiums compensate every hand the metal passes through before it reaches you.
Are coins or bars better for new buyers?
Coins from major mints are familiar and easy to resell in small amounts but cost more per ounce. Bars offer lower premiums in larger sizes. Many investors hold both.
What is a good premium on silver?
Premiums change with demand. Compare multiple products relative to melt using live spot. In calm markets single-digit percentage premiums on standard 1 oz rounds are common; crisis demand can push much higher.
How do I check melt value before buying?
Use our gold and silver melt calculators: enter weight, unit, and purity to see metal value at current spot. Subtract melt from the dealer ask to estimate premium dollars and percent.
Is home storage safe?
It can be with a quality safe, discretion, and insurance. Understand that homeowner policies often cap precious metals coverage unless you add a rider.
Do I pay sales tax on bullion?
Depends on jurisdiction. Some U.S. states exempt investment bullion or legal-tender coins; others tax all retail sales. Verify rules where you take delivery.
How do I compare bullion premiums?
Use our compare page for premium summaries across product types, and the gold and silver melt calculators to estimate metal value at current spot before you negotiate with a dealer.
Can premiums go negative?
Rarely on standard retail products, but secondary-market deals occasionally trade near or below melt when sellers need liquidity. Verify authenticity carefully in those situations.