As a professional coin dealer and lifelong collector, one of the most common questions I get is: "How much does it cost to get coins graded?" It‘s an important question for hobbyists to consider, as grading fees can add up quickly and eat into your coin buying budget if you‘re not careful.
In this in-depth guide, I‘ll break down everything you need to know about the costs of coin grading in 2023, including:
- A detailed comparison of grading fees across the top companies
- Factors that impact grading costs and how to mitigate them
- An expert analysis of when grading makes financial sense (and when it doesn‘t)
- Real world case studies and examples
- Insider tips for saving money on submissions
- A look at the future of coin grading
Whether you‘re a seasoned collector or just starting out, I hope this article gives you the knowledge and tools to make smart decisions about grading your coins. Let‘s dive in!
The State of Coin Grading Costs in 2023
First, let‘s set the stage with an overview of the current grading landscape. The U.S. coin grading market is dominated by four major third-party grading companies:
- Professional Coin Grading Service (PCGS) – Founded in 1985
- Numismatic Guaranty Company (NGC) – Founded in 1987
- American Numismatic Association Certification Service (ANACS) – Founded in 1972
- Independent Coin Graders (ICG) – Founded in 1998
These companies independently certify the authenticity and grade of coins using the industry standard 70-point Sheldon scale. Having your coin graded and encapsulated by one of these trusted companies can significantly increase its value and liquidity in the marketplace.
But this expertise comes at a cost, of course. Grading fees can range anywhere from $20 to $300+ per coin based on a variety of factors like declared value, coin type, service level, and add-ons.
Here‘s a detailed breakdown of the current grading fee schedules for PCGS and NGC, the two most widely used services:
PCGS Grading Fees (USD)
| Declared Value | Modern (1965-Date) | Economy (Pre-1965) | Standard (Pre-1965) |
|---|---|---|---|
| < $300 | $22 | $35 | N/A |
| $301 – $1,000 | $28 | N/A | $45 |
| $1,001 – $2,500 | $45 | N/A | $60 |
| $2,501 – $5,000 | $55 | N/A | $90 |
| $5,001 – $10,000 | $85 | N/A | $125 |
| $10,001 – $25,000 | $150 | N/A | $200 |
| > $25,000 | $300 | N/A | $300 |
NGC Grading Fees (USD)
| Declared Value | Modern (1965-Date) | Economy (Pre-1965) | Standard (Pre-1965) |
|---|---|---|---|
| < $2,500 | $20 | $27 | N/A |
| $2,501 – $5,000 | $30 | N/A | $45 |
| $5,001 – $10,000 | $45 | N/A | $70 |
| $10,001 – $25,000 | $75 | N/A | $100 |
| $25,001 – $50,000 | $150 | N/A | $200 |
| > $50,000 | $200 | N/A | $300 |
Note: Fees current as of June 2023. Consult PCGS/NGC websites for most up-to-date pricing. Economy tiers have limited value and year eligibility.
As you can see, grading costs can add up quickly, especially if you‘re submitting coins in higher declared value tiers or using faster service levels. For example, getting a $10,000 vintage coin graded under NGC‘s standard service would cost you $100 – about 1% of the coin‘s value.
And those are just the raw grading fees – there are other expenses to factor in to the total submission cost as well, such as:
- Membership fees ($100-300/year for PCGS/NGC premium tiers with submission privileges)
- Shipping and insurance costs ($20-100+ each way based on value)
- Add-on services like imaging, variety attribution, special labels ($5-15/coin)
- Sales tax (if applicable in your state)
When you add it all up, a typical 10-coin submission with imaging and shipping both ways might cost $400-600 all-in, or $40-60 per coin. Grading in bulk can help lower the per-coin cost thanks to discounts and minimum fees, but it‘s still a significant expense.
So the question becomes: Is it worth it? To answer that, we need to analyze the potential benefits and ROI of grading for different types of coins.
The Financial Impact of Coin Grading
The value of getting a coin graded ultimately comes down to the premium it can fetch in the marketplace versus selling it "raw" (i.e. ungraded). And that premium depends on a multitude of factors, including:
- The type and denomination of the coin
- The coin‘s condition (i.e. grade)
- The coin‘s relative scarcity and demand
- The reputation of the grading service
- Market timing and trends
Generally speaking, the coins that benefit most from grading are those that are scarce, high grade, and commercially significant. For example, let‘s look at some real world auction results for key date coins in different grades:
1909-S VDB Lincoln Wheat Cent
- MS63 Red PCGS: Sold for $2,880 in April 2023
- Ungraded, Raw: Sold for $1,800 in March 2023
- Grading premium: 60%
1916-D Mercury Dime
- MS66 Full Bands PCGS: Sold for $29,375 in April 2023
- Ungraded, Raw: Sold for $15,000 in January 2023
- Grading premium: 96%
1893-S Morgan Silver Dollar
- MS65 PCGS: Sold for $270,000 in December 2022
- Ungraded, Raw: Sold for $175,000 in October 2022
- Grading premium: 54%
In each of these cases, the professionally graded coin commanded a significant premium over its ungraded counterpart, well in excess of the ~$100-200 grading fee. Grading clearly added substantial value.
However, the relative premium varies quite a bit based on the coin type and grade level. Extremely rare coins like the 1893-S dollar in gem condition tend to have lower premiums because there are so few sales available for comparison. More common coins might see higher relative premiums, but on a lower absolute dollar amount.
The potential ROI of grading is highest for coins at the upper and lower ends of the grading spectrum. An 1880-S dollar graded MS67 by PCGS (essentially perfect) might be worth multiples more than an ungraded one. And a heavily circulated 1880-S graded G4 (the lowest collectible grade) would also sell for significantly more than a raw one simply by virtue of being authenticated.
But for the vast middle grades and dates, the grading premium may be much smaller, perhaps 10-20% or less. And for extremely common coins, like a 1964 Kennedy half dollar, grading might not add any value at all outside of the top grades.
In fact, in some cases, having a coin graded could actually reduce its value if it comes back at a lower grade than expected. If you submit a coin you think is MS65 and it grades MS63, you may be worse off than just selling it raw and letting the buyer assume the grading risk.
This is where knowledge and experience come into play. Collectors who can accurately assess a coin‘s grade before submitting it will have a big leg up in making wise grading decisions. Tools like ANA grading standards, coin forums, price guides, and slabbed coin databases are invaluable resources.
Strategies for Saving on Submission Costs
So what can budget-conscious collectors do to minimize grading costs and maximize value? Here are a few of my top tips:
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Be selective. Only submit coins that you are confident will achieve a grade high enough to make the cost worthwhile. Avoid "grading everything" if resale is a priority.
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Buy grading vouchers and take advantage of specials. Most major grading companies offer coupons and discounted vouchers at coin shows and to members. You can often save 10-20% off standard fees.
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Submit in bulk. Grading a large batch of coins at once can qualify you for volume discounts and lower your per-coin cost, as long as they are mostly lower value. PCGS offers 15-25% off for 100+ coin standard submissions.
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Get multiple opinions. Before spending money on grading, consider joining a local coin club or visiting reputable dealers to get in-person opinions on your coins. Learning from others‘ expertise can help you submit smarter.
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Consider the alternatives. For lower value coins, "self slabbing" in after-market holders with your own grade is exponentially cheaper than third-party grading. Just be aware that most buyers put little stock in self-graded coins.
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Factor in the total cost of ownership. Remember that with graded coins, you may need to pay higher shipping and insurance costs when selling or transporting due to the increased value. Make sure the grading premium exceeds all associated costs.
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Think long-term. While grading can offer immediate profit opportunities, in many cases, the real value is in preserving coins for the future. A properly graded coin can be a store of wealth that you can pass down to heirs with greater assurance and liquidity.
Like most things in the hobby, coin grading is both an art and a science. By staying educated on the market and making strategic submission choices, you can tap into the profit potential while avoiding costly pitfalls.
The Future of Coin Grading
As we look ahead, it‘s worth considering how evolving technology and market trends might impact the coin grading landscape.
One major development is the rise of artificial intelligence and high-resolution imaging in coin grading. Both PCGS and NGC now use sophisticated AI algorithms to assist human graders in detecting counterfeits and attributing varieties. Remote grading based on submitted images may allow collectors to get quicker opinions at lower cost.
Collectors today also have access to a wealth of pricing data and population reports that can inform grading decisions. Online marketplaces like PCGS CoinFacts, NGC Coin Explorer, and CAC CoinPrices allow users to study images of graded coins and track value and rarity over time. The more transparent data available, the easier it will be to determine if grading makes sense.
At the same time, changing collector demographics and economic conditions could impact the overall demand and profitability of graded coins. As older collectors exit the market and younger ones enter with different tastes and budgets, premiums for certain coins may rise or fall. Grading vintage U.S. coins may become less essential than, say, modern issues or world coins.
It‘s hard to predict exactly where the market will head, but one thing is certain: coin grading will continue to play a major role in the hobby for serious collectors. By staying nimble and adapting to new opportunities, you can make grading an indispensable tool in your numismatic journey.
Final Thoughts
I hope this guide has given you a comprehensive look at the complex topic of coin grading costs. While there‘s no one-size-fits-all approach, by carefully weighing the financial and personal benefits against the expenses, you can utilize grading to take your collection to the next level.
At the end of the day, coin collecting is about more than just dollars and cents. It‘s a hobby that combines history, art, science, and cultural value in a unique way. Getting your coins graded by a trusted authority can enhance the joy of ownership in ways that go beyond pure monetary worth.
But if you do choose to grade with investment in mind, just remember the cardinal rule: buy the coin, not the plastic. A nice slab is no substitute for a sharp eye and deep numismatic knowledge. Armed with the right tools and mindset, you can unlock the profit potential of the coin grading world. Happy hunting!
