Setting the Budget for Custom Engagement Rings
“Wedding budget”—Chills run down your spine when you hear this phrase. Don’t worry. You’re not alone. It is a bit difficult to know for sure how much you’re going to spend not only for the wedding but also in finding the right custom engagement rings.
Like any other life-changing expenses, a great idea would be to first sit down and evaluate what actually makes financial sense rather than spending 3 months’ worth of salary on something you might regret in the long run.
This may sound challenging, but it’s actually easier than you imagine. Plus, the end result would be satisfying when you finally purchase the right engagement ring for her sweet “Yes”.
There’s one thing to remember—Buy the right that you can actually afford.
So how much should you spend on an engagement ring?
More often than not, the decision leans toward the emotional than the rational. But there are 2 major factors that you need to consider:
- Her expectations
- Your current financial situation
The goal here is finding a balance between these two factors.
Although every situation is different, it’s really important to know where you actually stand. Remember the “2-month salary rule”? Well, don’t rely on that since it’s invented by a marketer.
Well, the engagement ring does, in fact, matter. And there is no getting around this.
- Custom engagement rings are a symbol of your commitment and love for each other, showing how you’re invested in the future as a couple.
- Most women have dreamt the perfect engagement ring, to the point that they know the diamond shape, style, colour, etc. Imagine her disappointment when the ring is not exactly what she wanted.
- Women will be the ones who will be wearing the ring every single day, becoming her most important jewellery piece. Naturally, women want something they’ll be more than happy and inspired to look at and also show off to their closest relatives and friends.
That being said, most women are indeed reasonable beings. They will still appreciate the time and resources you have invested in finding the perfect ring. And remember that most women are not looking to spend all your hard-earned money with unrealistic requirements.
Your Current Financial Situation
Another equally important factor to consider is what you can afford. After all, both your finances will be combined once you get married, so you have your future to also think about.
However, there’s no right or wrong answer here. Rather, here’s a good way to view this:
Don’t put yourself in an incredible amount of debt for the ring. Plus, you still have the rest of your life to think or worry, about. In fact, most professionals are up to their necks with student loan and are still paying for it.
The following are some points to help you figure out your current financial ability.
- Current income
- Expenses (This includes bills, food budget and existing debts you are still paying)
- Savings (How you can spend for monthly savings or how much you already have saved up)
- Potential income (Are you employed with a potential for growth in the coming years?)
You should be able to come up with an estimate as to how much you can reasonably spend by using the abovementioned factors. The point here is you would want to purchase the ring without having to incur any more debt.
Why the “2-Month Salary” Rule Is a Bad Idea
Ever heard of the “2-month salary” rule? Well, if you have, you should know that this was a marketing tactic employed by the De Beers, who also happens to be the same company who convinced the entire world “a diamond is forever” and that men should propose to their soon-to-be fiancée with a diamond ring.
So if you follow this rule, you’d be set back by roughly £6000 on a ring if you are making £3000 a month.
This is where this simple rule is seriously flawed. After all, this was spread to only get more money out of your pockets.
Firstly, most couples tie the knot in their late twenties when they are still planting their seeds in their careers. Not all have actually reached their full earning potential.
Secondly, you have to compute how much your net pay is as opposed to computing your gross salary. Well, these are a bit different.
Create Your Rules
The best around this is to make sure you and your significant other have a sit-down and both discuss your expectations and your finances. This way, you’re both happy.
And if you’re going to really share your life together as husband and wife, you both need to be on the same page this early. Simply be honest where you are financially and the future goals.
Although discussing the cost of your engagement ring might not be so romantic, it is in fact important. You might be surprised that she is one of the women who doesn’t prefer a diamond. Perhaps she is frugal. The only way to know for sure is to have an honest discussion.
The Bottom Line
How much you spend for custom engagement rings is more of a personal choice. Get your expectations lined up to ensure everyone is happy, and the only way to go about this is to have an honest discussion.
Ask her what she wants and how this works with your current financial situation. Then, both of you could come up with an estimate as to how much you’re willing to shell out for that perfect engagement ring.