How Much Should You Spend On An Engagement Ring?
And what does the average engagement ring cost in Australia?
Some say you should spend between one and three months’ salary on an engagement ring, but these rules of thumb were devised generations ago when people married younger, home ownership was more affordable, and salaries more uniform.
So, how much should you spend on an engagement ring? Well, that depends on your personal situation and all the other exciting things that are going on in your life. Whatever you spend, we don’t recommend going into massive debt. And we’ll give you some tips for getting the maximum sparkle for your investment.
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1. The Salary Rule
It’s said that you should spend between one and three months’ salary on an engagement ring for your fiancée. The rule was originally three months, then during the 1930’s Depression, it was De Beers Diamonds who, feeling the pinch in diamond sales, suggested men scale back and spend one months’ salary instead.
What do we think? Take it as a rough rule of thumb.
2. The ‘Exciting Life Events’ Rule
At Diamondport we’re in the business of selling exquisite diamonds, and we love it. But we know there’s plenty of other exciting things happening in your life; maybe you’re buying a house, planning an engagement proposal or party, paying for an incredible wedding, travelling then starting a family. These are all significant expenses, and each can bring you joy.
So we reckon if you are debating about how much should you spend on an engagement ring, you should weigh up how much you value an engagement ring, versus all the other exciting things you are planning.
3. Don’t go into massive debt
Be realistic in your budgeting, so that you buy a beautiful diamond ring without any stress. Your future wife deserves the best that you can afford – without the burden of a huge credit card debt.
So, figure out what you can afford and stick to it. A great jeweller will find something you love without breaking the bank.
4. What’s everyone else spending?
The average engagement ring cost $7,200 in Australia in 2015, or just over one months’ Australian average salary. And, FYI, the average cost of a wedding in Australia is either $36,200 or $65,482, depending whether you ask the government’s Moneysmart website or a recent Bride to Be survey.
So how much should an engagement ring cost, and what prices are we seeing at Diamondport? It varies enormously, and the loveliest thing is that the recipient of each ring is overjoyed with happiness.
I’ve created rings at many price points; from $2,500 to $56,000. I’ve made many rings around the $5,000, $15,000 and $25,000 marks. My average price for a custom made ring is $9,200.
At every price point, whether your budget is relatively modest or generous, I’m able to create a ring that surpasses expectation and is better value than you’d find at high street stores.
“Ash was great at listening to our requirements and delivering a superior finished product which was more cost effective than other bigger branded options.” – Nicole Foyster
5. How do I get the best bling for my buck?
Find a recommended jeweller – one you can trust
Ask recently-engaged friends who they used. Call me and, depending on where you live in Australia, I’ll recommend a jeweller in your capital city. If you’re in Brisbane visit me for an obligation-free appointment.
Buy diamonds from a specialist – you’ll get a superior gemstone.
Unfortunately, some jewellers sell diamonds that might appear great on paper but are simply a bit lackluster. Diamonds can tick all the GIA boxes and therefore command a high price, yet have quirks that should see them discounted. I’ve actually written a whole ebook on the subject – and you can download it free. Hence, it’s best to find a diamond expert with access to the highest quality stones.
Always choose the diamond first.
Buy the best diamond you can afford, and design a ring around it. Design the right ring for your budget. Complex designs cost more to create, so if you’re on a budget consider a solitaire design. Solitaire rings are elegant, timeless and chic, yet their relatively simple design means they cost less to create.
Over to Ashley – what should we spend on a diamond ring?
“There are no hard and fast rules anymore, dictating how much you should invest in your engagement ring,” says Ashley Portas, Diamondport founder.
“It’s very much a personal decision and there’s no shame in prioritising other financial commitments such as home ownership or travel.”
“I’m privileged to meet all sorts of wonderful people who are ready to get married. Some guys can invest in incredible jewellery, but I’ve also been lucky enough to create beautiful diamond rings for people who weren’t sure what they could afford.”
“At the end of the day, we are so lucky to meet ‘the one’ and ask for their hand in marriage. Whatever amount you decide to spend on an engagement ring it’s going to be the right amount. It might be one or two months’ salary, or what you’ve managed to save. Spend what you can afford, be kind and love her!”
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