Engagement Rings – How much should you spend?

This is an age old question – how much does the average coupe spend on engagement rings?While most people that come in to see me already have a budget in mind I do get the occasional question about what is the average or what is normal so I thought I would do a bit of research. According to The Knot Real Wedding Study in the US, the average spend on engagement jewellery in 2016 was $US6,163, which in Australian Dollars would work out to be $8,217. However, The Wedding Report conducted a similar report and concluded the average spend was $US3,407 or $4,542 in Australian Dollars. This difference comes down to the wealthier and more urban demographic of the Knot as opposed to the government statistics used for the Wedding Report.

The cost of engagement rings does appear to be slightly increasing and there could be a couple of different reasons for this:

  1. Many couples are waiting longer to get engaged resulting in the ability to afford more expensive engagement rings.
  2. I have also read that the access to social media has resulted in more pressure for the perfect ring and can result in a higher spend.

Conversely there are others again who are less interested in showing off their wealth and more interested in establishing their lives.

Most people have heard of the old fashioned notion that a man should spend a certain portion of his salary 1 month, 3 months, even 6 months! In a recent study of 1000 people in Australia it was found that men were willing to spend more than women (men $3,487 and women $3,111) with men also being much more likely to say the cost of the ring doesn’t matter.

I think when it comes down to it, in this modern day, there is no ‘right’ amount. Every couple is different  and people are looking for a symbol of their commitment. It doesn’t matter of you are a straight or gay couple or on your third marriage – no two couples are the same and no two diamonds are the same – each is you unique.  95% of young couples still believe that something belongs on the finger to denote being married or engaged so most people will come against this question at some point in time. My best advice would be to spend to your priorities – some may prefer a more expensive ring to a large wedding while others may be more interested in travel then having an expensive ring on their finger – with such a personal decision only you will know what feels right.