Gold Coins vs Bars vs Bullion: What Should Buy in 2024?

Written By Colin Kuehn  |  Gold 

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If you want to buy gold, you have to decide what to buy - coins or bars. While bars are best for holding large amounts of gold, coins are a better choice for smaller amounts. Plus, coins can be used as money. If you're unsure which type to buy, check out our article on how to decide between gold coins and bars.

a large pile of premium gold coins

What Are Premium Gold Coins ?

Premium gold coins are different from ordinary gold coins. These coins are certified, and they are more valuable. These coins are minted in different locations, and the prices vary accordingly. If you're thinking of investing in premium gold coins, there are some things you should know. These coins cost more, but that doesn't mean they're less valuable.

First, they are more expensive than regular gold coins. This is because their manufacturing costs are higher than the actual gold content of the coin. Additionally, the rarity of the coin may raise the premium. Generally, highly collectable coins tend to command a higher premium. The process is similar to coinage, though, because designers create the patterns and layouts for the coins. The coins are then struck by using special dies. After the coins are struck, they are handled and packaged carefully.

Premium gold coins are not rare in themselves, but coin collectors look for rare coins. Their rarity comes not from the gold content, but from the design of the coins. In other words, a gold coin with a rare design is more valuable than a common coin. This premium is no different from the markup that a manufacturer adds to other products. As a result, the price of a gold coin will increase incrementally as it travels through the distribution process. The availability of a particular coin will also affect the premium.

a large stack of gold bars

What Are Gold Bars?

Many people buy gold bars to protect themselves against inflation. But before you invest in gold as an investment, there are a few things you should know. First of all, there are a number of different ways to buy gold bars. They range in size, weight, and purity. This makes them a versatile way to balance out your financial portfolio.

The first step in buying a gold bar is to look for one that is hallmarked and LBMA certified. This will help you make sure that the bar is a genuine piece of gold. Additionally, an LBMA-certified gold bar will be more valuable than a gold bar that has not been hallmarked. You should insist on this certification before purchasing your gold bar.

Next, you need to decide what size you need. Gold bars come in various sizes, from 0.5 grams to 1 kg. Generally, most people buy gold bars in the five-, eight-, or ten-gram size. However, you should consider your budget, as well as your liquidity goals before making a decision. Smaller bars cost less to produce and can be easier to liquidate.

a large stack of gold bullion

What is Gold Bullion?

Gold is a precious metal. It is a non-ferrous metal that is highly regarded for its intrinsic value. Its properties make it an ideal investment choice for those who seek to diversify their portfolios. As a result, many investors are choosing to buy gold or silver bullion.

Gold bullion is available for investors in two forms: government-minted gold coins and gold bars. Coins are easier to manage, but do not possess the same purity as gold bullion bars. Coins are crafted from special alloys, which help them hold their shape for a long time. But before you decide to purchase gold coins, weigh the pros and cons.

One of the benefits of buying gold bullion is its high purity. It is sold in bars, coins, and other forms. Coins were initially the preferred method of holding gold and are more easily sold than gold bars. However, some famous refiners developed gold bars for the investment market. These bars are typically sold in sealed containers and range in size from one gram to four kilograms. Kilobars are the largest size in the retail market.

The advantages of buying gold bullion include the convenience of holding it in your home or a bank safe deposit box. But gold bullion bars aren't very easy to sell and are best suited for long-term investments. On the other hand, gold coins are highly portable and can be easily converted to cash when the time comes. Furthermore, they come in small weights.

How to Decide Which Type of Gold You Should Buy

There are several factors to consider when deciding what kind of gold to buy. One of the most important is how much you're willing to spend. The form of gold is not the only factor, as the price you pay depends on the country you're in. The form also affects the price at the spot market.

You'll also need to decide whether you want to buy gold bars or coins. Gold bars are a great way to invest, and they can come in many different sizes and weights. They also allow you to get the maximum amount of gold for your money. Whether you're investing in gold for jewelry or as a portfolio, buying gold bars is the best way to get the most bang for your buck.

Another factor to consider is the season in which you're buying gold. There are certain seasons of the year when gold prices are lower, and those times will vary depending on the type of gold you're investing in. For example, if you're buying gold bars, it's better to buy them when the price is lowest.

Are Premium Gold Coins Worth More Than Melt Price?

If you have the money to spend on gold coins, it makes good sense to buy government-minted gold coins. They provide a world-class asset at a higher price per ounce. However, such coins can be a bit pricey, especially since they require more overhead to mint and deliver them. Some mints produce smaller mintages, which means they can deliver high-quality products for a lower price. However, there are some precautions you should take when buying gold coins.

To begin, you should know how to read a coin's melt value. This way, you can determine whether or not it is worth paying the premium for it. Additionally, knowing what melt value a coin has can help you determine the beauty and mintage of the coin. This knowledge will also help you decide how much to pay for it at the coin retailer.

The premiums on gold coins are set by the dealers. These premiums are higher than that of gold bars. This is because gold coins are more expensive to produce. Therefore, dealers can charge a higher price for these precious metals. However, this practice has been tolerated by the market for years.

Tax Implications for Gold Coins vs Bars vs Bullion

As an investor, you might be wondering about the tax implications of purchasing gold coins vs. gold bars. Both of these options have their advantages and disadvantages. One of the biggest advantages of gold coins is their intrinsic gold value. Another is that they are collectible and can increase their selling price over time. Furthermore, gold coins are legal tender in the country they were purchased in. Furthermore, they are not subject to capital gains taxes.

Gold bars offer a more flexible approach to investing in gold than gold coins. Since gold bullion bars are manufactured in larger quantities, they tend to have a lower premium compared to gold coins. Gold bars are also more flexible, since you can buy and sell them more easily. For this reason, they may be a better option for you if you want to protect your wealth.

Gold is an excellent investment option. However, it is important to note that you may have to pay taxes on the sale of your gold. In some cases, you may be required to pay capital gains tax on the sale of your investment. You may want to consider selling your gold in small pieces rather than a large chunk at once. This way, you can minimize your tax bill.


When you're looking for gold for investment purposes, you may be wondering what the differences are between gold coins and bars. Although the two types of gold coins have very similar features, the primary difference between them is their size. Gold bars are larger than gold coins and therefore have lower fabrication costs. Moreover, gold bars are guaranteed by government and private gold mints.

While coins are more discreet, gold bars are larger and cannot be hidden. Because of their size, bars must be stored in safe vaults. Bars are ideal for long-term investments. On the other hand, coins are easier to buy and sell. Therefore, they are often preferred for smaller amounts of money.

Gold coins offer more sentimental value than bars. They are also more collectible and have a greater historical value. Gold coins have been considered a better investment choice than paper-based currency for centuries. Additionally, they are less vulnerable to inflation. The decision between gold coins and bars depends on the objectives of the investor.

While gold coins are less expensive than gold bars, they come with a higher premium. This premium is made up of manufacturing costs, order processing, delivery fees, and insurance. For a 1kg gold bar, the premium is only a small percentage of the total cost. In addition, buying multiple smaller bars will lower the premium.

Last Updated: December 31, 2023