How much are Olympic medals actually worth?

U.S. gymnasts McKayla Maroney, Kyla Ross, Alexandra Raisman, Gabrielle Douglas and Jordyn Wieber bite their gold medals at the artistic gymnastics women's team final at the 2012 Summer Olympics July 31, 2012, in London. / AP Photo

(CBS News) The medals handed out at the London 2012 Summer Olympics are largest ever in both size and weight. They are more than twice the size of the medals that were awarded in Beijing in 2008 and are the biggest ever designed. But how much are they actually worth?

To the athletes, the medals are priceless, but some of the medals are worth less than $5, CBS Detroit station WOMC-FM reports.

By their worth, that's strictly their raw material cost, not the fact that these are Olympic medals.

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The gold medal consists of just over 1 percent actual gold. The rest is made up of 92.5 percent silver and 6.16 percent copper - and is only worth about $644.

The silver medal is a modification of the gold medal. The gold is replaced with more copper, making the medal worth around $330.

The bronze medal is made of 97 percent copper, 2.5 percent zinc and 0.5 percent tin - and is only worth about $4.70.

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[RHOACO]

TAXXX RATEs!!!

At today's commodity prices, the value of a gold medal is about $675. A silver medal is worth about $385 while a bronze medal is worth under $5.
There are also prizes that accompany each medal: $25,000 for gold, $15,000 for silver, and $10,000 for bronze.

So how much will U.S. Olympic medal winners have to pay in taxes to the IRS?

Gold
Medal Tax...$236
Prize Tax...$8,750
Total Tax...$8,986

Silver
Medal Tax...$135
Prize Tax...$5,250
Total Tax...$5,385

Bronze
Medal Tax...$2
Prize Tax...$3,500
Total Tax...$3,502

American gold medal winners will pay the IRS up to $8,986. Silver medal winners will pay up to $5,385. Bronze medal winners will pay up to $3,502.
It gets even worse. Not only do our Olympic athletes have to pay taxes on their medals and prizes - chances are their competitors on the field will face no such taxation when they get home. Because the U.S. is virtually the only developed nation that taxes "worldwide" income earned overseas by its taxpayers, our Olympic athletes face a competitive disadvantage that has nothing to do with sports.

[endrepubs]

So how much money are Olympic athletes given in prize money to get taxed at that rate? I didn't know athletes were given money.

[linfinster]

Hence the word "income tax." What is there not to understand?! We have taxes to pay for government services. You want to be disgusted about a raw deal, look into out political representation and how they vote themselves raises, better health insurance and retirements, profit from behind the door schemes ... what are the costs to the middle class? To the disabled and elderly on fixed incomes and how could obamacare get passed when the speaker of the house said to pass the legislation and THEN we'll find out what's in it. THAT is criminal and by far more offensive then these athletes -who sacrificed so very much, have to pay an income tax on earnings and profits. Don't even get me started on our military disgraces ...

[varigdc10]

Wow, I had no idea how worthless the gold medals are ( money wise ). I thought they were real all gold. I have some Russian Czar Nicholas 1903 gold 5 Rubles pieces about the size of our Dimes that are worth around $800 each now, very surprised.

[SummersideKate]

Take it from a former numismatist: old U.S. eagle coins, minted in an alloy of 90% gold/10% copper in denominations of $10 and $20, are about the size of a dime. They sure would be hard to see on the TV screen. On the other hand, if a medal the size of the ones we're seeing this year were made from that sort of alloy, they'd make the athletes collapse from the weight. That probably wouldn't look good on TV, either. Michael Phelps won't be melting down his 19 gold medals to support him in his old age.

[credibility2]

Why don't you include in your story the fact the U.S. is probably the only country that taxes its Olympians for the modest prizes given along with each medals...the IRS is right there with their grubby government hand waiting to tax these athletes. It's shameful.

[netjunkie1]

I didn't know that.....If true, I agree, taxing Olympians is cruel.

[bobnjersey]

[Why don't you include in your story the fact the U.S. is probably the only country that taxes its Olympians ...]
------------------------------------
it's a fact that the us is 'probably' the only country?

[gilliamjf]

All of the information in this article is detailed in the Wikipedia article "Olympic medal".

[matt6052]

But you can get the financing to open any type of small business with just one of them. Car dealership, fitness center, athletic coaching center, even just a restaurant.

[RichZubaty]

Cheapskates. They build entire cities and arenas to shower hundreds of millions on building contractors and give the winning athletes the equivalent of crackerbox toys. It's just another commercial extravaganza rip off. They should hold the events on high school tracks and give the winning athletes new Mercedes.

[Yirmin]

Pathetic... they If it is a gold medal is should be made of gold otherwise it really is false advertising. If they can't afford that much gold they need to downsize the medal and stop trying to make it so insanely large that it looks like some ghetto bling.

[68droptop]

Really? Do you have any idea how small a medal with even $2,000 worth of gold would be? I don't think the athletes would be happy with one the size of a quarter.

[Rafterman11]

68droptop, good point. Besides, whiel the Bronze is pretty much worthless, $600 and $300 for gold/silver isn't half bad.

[stupa5]

Made in China no doubt!

[netjunkie1]

That's cheap for what the athletes go through just for a chance to win one.