An engagement is a special, life-changing, and lasting memory shared between two individuals. For such a momentous occasion, having an engagement ring perfectly suited for your proposal will help you and your loved one cherish the moment for years to come.
The prices of engagement rings vary greatly and are determined based on a variety of factors. Although all couples want nothing but the very best for their partner, the engagement ring is still only a part of a greater wedding experience, which will have costs of its own.
Engagement hopefuls may not know how much to spend on an engagement ring based on their financial situation or the preferences of their partner. Fortunately, there are options to accomplish any engagement ring look for any budget.
How Much Money Do People Spend On An Engagement Ring in 2021?
On average, American couples spent $3,756 on an engagement ring in 2020. Prices of engagement rings vary based on the size and quality of the stone, the type of metal, any desired details in the ring, and if the ring is a brand name. This average cost also included ring insurance, which 68% of customers purchased.
For more information on wedding spending statistics for 2020, make sure to check out Brides’ 2020 American Wedding Study. Before you prchase the ring, knowing the answer to these questions can help:
- Know your partner’s preferences
- Know the origins of the stone you choose
- Pay attention to the setting of the stone
- Consider working with an experienced jeweler
- Avoid entering any binding agreements
- Using stone grading as a guide but not the determining factor
For more tips and explanations for buying an engagement ring, refer to Vogue’s 10 Tips for Buying an Engagement Ring.
The average spending of an engagement ring varies depending on your income. For example, a school teacher who makes $50,000 will likely make $39,500 after tax with a monthly net pay of $3,300. They are likely to spend around $3000-$5,000 on the engagement ring.
A stock broker who makes $100,000 will likely make $70,000 after tax with a monthly net pay of $5800. They are likely to spend around $9000-$10,000 on an engagement ring.
How Much Should I Spend On An Engagement Ring?
As a general rule, you should spend up to maximum 3 month’s of your salary on an engagement ring. An average person tend to spend around 1-2 month’s of their salary, and 3 month’s salary is considered very high in terms of an engagement ring budget.
This three-month salary rule evolved from an older rule from the 1980s saying someone should spend two month’s salary on an engagement ring. That two-month rule initially evolved from an even older rule, which originated first during the Great Depression.
There is no set budget to follow regarding how much to spend when purchasing an engagement ring. Your budget should be based on what you are comfortable with and what it would take to reasonably meet the preferences of your partner. For most Americans these days, almost all preferences can be met while remaining simultaneously within a budget.
For every five people planning on getting married, one individual expects to spend between $5,000 to $10,000 on an engagement ring for their loved one. Fortunately, an engagement ring does not need to cost the same as a down payment on a house or car, nor does the purchase need to put someone in any sort of debt.
To drive diamond sales, the De Beers diamond company ran a marketing campaign in the 1930s to drive home the idea to American consumers that a man’s commitment to his wife would only be evident if he spent a month’s salary on his future wife’s ring. This idea stuck and would eventually evolve into the three month’s salary rule many wedding hopefuls have probably heard of today.
This restrictive rule is a myth. Consumers have a lot more freedom to spend what they want to buy what best fits their partners preferences and their budget. Most budgets and preferences can be met equally with the options that exist today.
Factors To Consider When Purchasing An Engagement Ring
Before purchasing an engagement ring, you should know your partner’s preferences (if they have any) for what their ideal engagement ring would be like. The type of metal used for the ring and any additional features desired will influence a ring’s final price. Nothing will impact the ring’s final price nearly as much as the selection of center stone, however.
When purchasing a ring, consider the following factors for the center stone:
More popular shapes for stones will lead to higher-priced rings. Similarly, more ideal cuts and higher clarity will significantly increase the price of an engagement ring. A good engagement ring often cost more than double of an engagement ring.
How Much is an Average Engagement Ring?
An average engagement ring is around $3000 and it is around 0.70 carat. A good engagement rings can cost around $7000 and can be defined as having high quality, popular, and preferable choices of center stones for the majority of Americans.
Each couple has their preferences, so understand your partner’s desires before purchasing a ring. Ultimately, a good engagement ring’s cost varies primarily on its center stone.
Based on information from past wedding studies and aggregated purchase data, a good engagement ring center stone has a cut of ‘good’ or better, a color of ‘I’ or higher, and a clarity of VS1 (meaning ‘very slightly included’) or higher. The most popular diamond shape is Round.
Based on these criteria, examples of the pricing for good engagement rings are as follows:
To view more details, see different shaped stones, and view more rings based on cut, color, clarity, and carat, refer to Blue Nile’s Build Your Own Ring online tool.
How Much Should a Man Spend on an Engagement Ring?
People spend an average of $3,700 on an engagement ring. There is no perfect algorithm or rule to follow when purchasing an engagement ring, so build a budget based on your level of comfort and your partner’s preferences. Numerous options exist to meet preferences at different budgets, so paying any exorbitant costs or taking on debt is unnecessary.
What makes an engagement ring ‘good’ is ultimately up to you and your partner, but popular rings have excellent center stones with a popular shape. Rings with these stones can cost anywhere between $550 to $10,000. Make sure to look at a variety of rings before making a final decision.