Melt Values and Melt Value Price
An experienced Precious Metals investor is likely to minutely understand coin melt values, but numismatists may feel melt values are outside the realm of their interest. Coin enthusiasts are generally more concerned with the collectibility of a piece—its value as art and history—rather than its Precious Metal content. However, the best way to understand the value of the art, history and scarcity of a coin is to know the value of the metal content. Fortunately, that is easy to learn. Melt value simply refers to the spot price of the actual Precious Metal content of a given coin. For example, if you buy a 1 oz Gold Mexican Libertad for a competitive $1,397and you know the melt value of that ounce of Gold is $1,245, you can calculate the exact premium you’re paying. This helps you determine not only the dollar value placed on the Libertad’s beauty, mintage and place in history, but you can see your coin retailer does not engage in price-gouging. This allows numismatists to make informed, reasoned decisions about how to spend their collecting dollar. Knowledge and understanding of coin melt values give a collector an edge in coin buying.
Silver Coin Melt Value
Silver coin melt values and Gold coin melt values are naturally different due to the vast discrepancy in their intrinsic value. However, understanding one easily transfers to understanding the other. Below is a table to show the face value versus the melt value of some of the most common and accessible United States Silver coins. For these pieces, you can see the melt value is far greater than the face value, which is the denomination stamped on the coin. Additionally, these coins do not often carry great numismatic value. Keep in mind, this list is merely a cursory example and is accurate to the time of this writing.
|Description||Face Value||Silver Value|
|Silver War Nickel||1942-1945 Nickel||$0.05||$.92|
|1916 Mercury Dime||1916-1945 Mercury Dime||$0.10||$1.18|
|1964 Roosevelt Dime||1946-1964 Roosevelt Dime||$0.10||$1.18|
|1963 Silver Quarter||1932-1964 Washington Quarter||$0.25||$2.96|
|1947 Walking Liberty Half||1916-1947 Walking Liberty Half Dollar||$0.50||$5.92|
|1962 Franklin Half||1948-1963 Franklin Half Dollar||$0.50||$5.92|
|1964 JFK Half||1964 Kennedy Half Dollar||$0.50||$5.92|
However, when calculating numismatic value, the sky is the limit. APMEX has in its inventory an almost uncirculated Roman Republic AR Denarius M Baebius Tamphilus (137 BC) listed at $995. The actual Silver content is 0.1238 of an ounce, for a melt value of about $0.20. This is an excellent example of how numismatic value can trump melt value for exceptional coins.
Silver Coins, Silver Collectibles and Melt Value
Numismatic Silver coins are highly collectible, like works of art. Silver collectibles are generally looked at in the same way, valued more for their form than their content. The price of Silver collectibles reflects their beauty and desirability far more than their Silver weight. But they also have melt value that is often overlooked. Your great-grandmother’s coffee server, your father’s heirloom money clip and the bracelet you received for your last anniversary are all Precious Metals investments, even if we don’t think of them as such. A coin enthusiast has an advantage in valuing their collectibles due to understanding the melt values of Silver coins.
With an understanding of Gold coin melt values and Silver coin melt values, a numismatist is empowered to make great buying decisions and build a beautiful, valuable collection.