Happy April Fools’ Day!
It’s your hard-earned money to spend, and no one should presume they know more about your finances and budget than you do. The perfect engagement ring budget is the one you’re comfortable with. That’s it. Below, please check out this ridiculous formula, compiled with some of the worst engagement ring budget advice we’ve heard over the years…
When it comes to engagement ring shopping, men have one thing on their minds: price. For the most part, our male customers are unconcerned with the ring’s design elements, and are more focused on the center diamond. Most grooms are interested in the size of the diamond (its carat weight) and as a secondary concern want a diamond that’s of impressive quality (though this matters significantly less than the diamond’s size.)
So, once he’s picked out the setting she likes (though ultimately, he is paying for the ring, so the final say in style and design really belongs to the groom) it’s time to get down to business: choosing the largest diamond for the least amount of money. This is the key to getting a great deal on a beautiful engagement ring.
Unfortunately, most guys don’t know what the top limit of their budget is, or should be. If they’ve never bought diamonds before, they usually don’t know how much they’re comfortable spending. We’re here to help! Gone are the days of the two months’ salary rule. It’s 2015, and the formula for finding how much to spend on an engagement ring is a little more complicated today. But this easy, 10 step formula will tell you exactly how much to spend on an engagement ring for the woman you love.
- Start with your annual GROSS salary.
- Divide by 12 so you have a nice monthly number to start with.
- Multiply this by however many years you’ve been dating her.
- For each of her close friends who’ve gotten engaged before you guys (especially if they dated for less time) add $500 to your budget.
- If you live together, subtract $1,000 per room in your home (this is money you should use for more important stuff around the house.)
- For every time you’ve made her cry in the last year, add $250. If it was engagement/marriage related you should add $300 to be safe.
- Add another $100 for every time she thought you were proposing but then you didn’t.
- Think about the future you’re expected to provide her, and make sure you get a ring that represents your goals & aspirations. For every kid you think you want to have, add $1,000.
- Don’t forget to account for taxes! If you’re buying in-state, add your local sales tax to your budget so you don’t lose out on precious carat weight thanks to Obama.
- Add another $1000 just to account for any extras you might not know you want until you get to the jewelry store.
So, to use the formula would look a little like this.
- You make $60,000 a year.
- That’s $5000 per month. Unless you think you may get a raise or bonus at the end of the year, in which case add that too.
- You’ve been together 3 years = $15,000
- Her childhood best friend(1), two sorority sisters (3) and obnoxious co-worker Stephanie (4) all got engaged last Christmas. And Stephanie was only dating him for 6 months. 4 x $500 = $2,000 + $15,000 = $17,000
- You guys live in a 3 bedroom condo. 3 x $1,000 = $3,000. $17,000 – $3,000 = $14,000
- Steve’s bachelor party(1), Steve’s wedding(2), Cinco de Mayo(3). 3 x $250 = $750 +$14,000 = $14,750
- Her birthday when you got her that David Yurman ring you thought she’d love(1). $14,750 + 100 = $14,850
- Two kids, (1) a Boy, (2) a Girl. 2 x $1,000 = $2,000 + $14,850 = $16,850
- In Boca, our sales tax is 6%. $16,850 x 1.06 = $17,861
- You just really never know. $1000 + 17,861 = $18,861
Perfect, your engagement ring budget is $18,861!
But because we’ve already provided some of the world’s worst advice for engagement ring shopping, here’s some of the best:
Hopefully these actually helpful engagement ring posts that will really help you get a stunning engagement ring at a great price, even when it isn’t…