Gentlemen, are you ready to pop that question to the most special woman in your life, but worried that the rock you can afford right now may not cut it?
You’ve probably heard of the two-months’ salary rule, but there is no infallible source where it actually came from. This old rule can be demotivating for people who are not comfortable spending that much money for a ring. It also puts pressure on men who choose practicality over luxury.
We believe that the true worth of an engagement ring is the meaning behind it. Whether it’s a $1,000 ring or a $10,000 ring, what matters is that you’ve worked hard and saved for it.
However, when it’s time to choose an engagement ring for her, the budget does play an important role, because it helps you narrow down your choices. It’s a factor when determining the stone, the metal, and the style.
If you’re wondering how much you should allocate for a sparkler, we addressed a few questions to make budgeting easier for you.
How much should you spend on an engagement ring?
Only spend as much as you can afford – this is our best advice when buying an engagement ring. The popular two months’ salary rule was made up by generations of industries that want to make you spend more on diamonds.
It can be financially reckless to spend more than you can afford, or take out a huge loan that’s probably not necessary. Although you can always opt for a deferred payment plan or a monthly instalment offer, think hard if the cost of the ring is way above your spending power.
Why should you purchase a meaningful ring, not an expensive one?
Can’t afford a $10,000 diamond engagement ring? There are many ways to find a meaningful ring by playing different scenarios in your head.
- Is there an heirloom ring in the family collection that won’t cost me a dime?
- Can I set aside money every week for a year to buy a ring?
- Is there a less expensive gem than a diamond that I can customise with the help of a local jeweller?
- Combine the available balance of my three credit cards to buy the biggest diamond ring I can afford.
You get the idea. If you look at the engagement ring as a symbol of love and commitment, the price tag becomes irrelevant. We know that there are expectations and that sacrificing things you need to buy to purchase a ring is part of the marriage culture. But, if you abide by the rules even if your savings is not up to par, sinking yourself into years of debt just to stay flashy is not worth it.
Should you borrow money to buy an engagement ring?
When you get married, what’s yours becomes your spouse’s too, and that includes debt. A big diamond ring will make her (or him) feel special, but a big credit card bill will not impress her.
Although these days, it’s impossible to go into marriage debt-free. Many of us have college debts and mortgages to pay. But the less debt you bring into marriage, the easier for you as a married couple to work through your financial goals as a married couple.
However, there are jewellery stores that offer in-house layaway plans and instalment plans through major credit cards with interest or zero interest options. This might work if you know you have enough discretionary income to pay off the purchase in 12 months.
The same goes if you’re in a situation where you need to propose real soon but don’t have the cash available. If you can pay back the full amount in a year, borrowing from a friend is a smart option.
How can I save on an engagement ring?
Whatever you’re willing to spend, you have to do your homework. To get the best deal on an engagement ring, compare prices from various jewellers. Buying online or from a mobile jewellery studio will save you 40-50 per cent compared to household jewellery brands.
Looking for a beautiful engagement ring that fits your budget?
Monty Adams Jewellery Concierge is an award-winning mobile jeweller offering an exquisite collection of diamond engagement rings and bands for customers with different budgets. Make an appointment today.