How Much Should You Spend on an Engagement Ring?

How Much Should You Spend on an Engagement Ring?

Navigating the decision of how much to spend on an engagement ring can be challenging, especially with traditional norms and evolving financial wisdom.

A 2019 survey revealed that the average expenditure on an engagement ring was approximately $5,300… But what does this mean for you?

Understanding how to balance averages, expectations, personal finances, and meaningful choices is essential in purchasing an affordable engagement ring that aligns with both your budget and your partner's preferences, so let’s unpack some outdated norms and help you decide how much to spend.

Rethinking the Old Two-to-Three-Month Salary Rule

For decades, the conventional advice has been to spend two to three months' salary on a diamond engagement ring. This guideline originated from marketing campaigns and has become deeply ingrained in societal expectations.

However, it's important to consider if this rule is still relevant today. Financial circumstances have changed dramatically over the years, and what worked for previous generations may not be practical now.

Instead of adhering strictly to this rule, consider your unique financial situation and priorities. Think about your current expenses, savings goals, and any debts you may be servicing now and into the future.

The amount you choose to spend on women’s or men’s engagement rings should reflect what you can comfortably afford without compromising your financial stability. It's crucial to remember that an engagement ring is a symbol of your love and commitment, not a measure of your financial prowess.

1. Income:

Your income is a primary factor in deciding your budget. Evaluate your monthly earnings and expenses to understand what you can reasonably allocate for a unique engagement ring without stretching your finances.

2. Lifestyle:

Your lifestyle choices and preferences play a significant role. If you and your partner enjoy travelling, dining out, or saving for future experiences, you might prefer to allocate less to the ring and more to these shared interests.

3. Personal Financial Goals:

Consider your long-term financial goals. Are you saving for a house in Melbourne, planning a wedding, or starting a family? Balancing these goals with the purchase of a Timeless engagement ring can help ensure you make a prudent financial decision.

4. Partner's Preferences:

Understanding your partner's preferences and expectations is crucial. While the ring should reflect their taste and style, it's possible to find classic engagement rings within various budget ranges.

Options for Every Budget: From Modest to Luxurious

Whatever your budget, there are striking engagement ring options available. So how much are engagement rings from Australia’s best Google reviewed jeweller? Here are some examples of what you can expect at different price points for SH Jewellery’s exclusively designed 18kt gold Melbourne engagement rings:

Modest Engagement Ring Budget (Under $2,000):

Simple and elegant designs with smaller diamonds or coloured gemstones. Consider solitaire settings or minimalist bands that focus on craftsmanship rather than size.

Mid-Range Budget ($2,000 - $5,000):

A wider selection of rings with larger diamonds or more intricate designs. You can explore vintage-inspired rings, halo settings, or rings with unique gemstone accents.

Luxury Budget ($5,000 and above):

High-quality diamonds, larger carat sizes, and elaborate settings. Rare gemstones, cluster designs and fancy diamond cuts make these rings truly luxurious.

Making Smart Choices: Maximising Value in Ring Shopping

Maximising value in your engagement ring purchase involves understanding your buying criteria and exploring various alternatives:

1. Choose Lesser-Known Gemstones: Natural diamonds are traditional, but other gemstones like sapphires, rubies, or emeralds can offer breathtaking beauty at a lower cost. Sitting right under diamonds on the Mohs Hardness Scale, sapphires and rubies are marginally less durable, but equally striking.

2. Opt for a Design That Appears Larger: Certain settings, like halo settings or cluster designs, can make a smaller diamond appear larger and more impressive. This can be a cost-effective way to achieve a bigger look without the higher price tag.

3. Consider the 4 Cs: Understanding the 4 Cs (cut, colour, clarity, and carat weight) can help you prioritise what matters most. Sometimes a well-cut diamond with slightly lower carat weight or clarity can appear more brilliant and offer better value.

Plan Your Purchase with SH Jewellery

To make an informed decision about how much to spend on an engagement ring, take advantage of the private consultation services, education-first philosophy, and extensive range available at SH Jewellery.

Our non-commissioned experts will guide you through the process, helping you select a modern engagement ring that reconciles your budget with your partner's personal style and expectations.

With a focus on quality and 5-star customer satisfaction, SH Jewellery is committed to helping you find your perfect ring without the financial strain.

Whether you're leaning towards a modest, mid-range, or luxury engagement ring, prioritising your unique circumstances and preferences will result in a meaningful symbol of your love that you and your partner will treasure forever.

4. Shop Smart: Consider using payment instalment services like Afterpay, or ZipPay engagement rings to help make repayments more manageable. All good retailers will offer these options, along with secure and insured delivery by reputable couriers if you buy engagement rings online.

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