How Much to Spend on an Engagement Ring

If you’re planning to get engaged soon, an obvious thing you’ll need to do is find the perfect engagement ring. But how much should an engagement ring cost? The average price of engagement rings is over $5,000, and the average wedding ring cost is around $1,000. While this provides a ballpark figure on how much to spend on an engagement ring, there are other important factors to take into account when determining how much you’ll actually need to spend. 

Income, ring settings, and the size/shape of the diamond are the obvious primary factors in determining what your outlay will be for an engagement ring. But what else should you know to make sure you find the perfect ring for your budget? 

The “Two-Month Salary” Myth

Many of us have heard of the “two-month salary” myth that says a person should spend the equivalent of two months of their salary on an engagement ring for their partner. The truth is, spending this much is not always necessary. This number could be used as a starting point for you and your partner but it need not be a firm rule you must follow. Some people spend more than this and some spend less. How much you spend on an engagement ring is a personal decision between you and your partner. 

 Where Did the “Two-Month Salary Myth” Come From?

The “two month salary” myth actually started as a marketing campaign. In 1938 De Beers, a diamond cartel, created a campaign to get people interested in diamonds. Before this, the demand for diamonds was actually pretty low. In 1947 De Beers coined the phrase, “A diamond is forever,” which caused a dramatic increase in demand for diamond rings. It actually wasn’t until the 1980s that De Beers started the “two month salary” campaign. When he claimed that a woman was worthy of two month’s salary, he spawned a campaign that was so successful that a lot of people today still believe it and live by the rule that they must spend this much on an engagement ring. 

Average Cost of an Engagement Ring

In 2020, the national average cost of an engagement ring was $5,500. Although this was the national average, that does not necessarily mean that is how much you should spend on an engagement ring. 

Types of Engagement Rings

The first thing to consider when looking at engagement rings is the type of engagement ring. Researching the type of engagement ring you and your partner are interested in will help narrow down some price points. Some styles to consider when choosing a ring include:

• Classic styles
• Alternative or modern styles
• Antique or antique-inspired styles
• Minimal styles

The Four C’s of Diamonds

The four C’s of diamonds can help you make a decision on which factors are most important to you when choosing a diamond. 

Color

Apart from size, one of the most noticeable features of a diamond is color. The color of the diamond has a major impact on how much the stone will cost. Diamonds range from colorless to light brown or yellow. You can even find diamonds in other colors such as blue, yellow, or red. Despite what many may think, the less color a diamond has, the rarer it is and the more expensive it will be. 

Clarity

Diamonds are mostly made of carbon. When the diamond is in the heating stage, some elements get trapped inside, which gives every diamond its own fingerprint. These additions help to determine the clarity of your diamond. Every diamond is looked at by diamond graders through a 10x magnification lens. Diamonds with higher clarity are more valuable. 

Cut

Often times we think that the cut of a diamond is its shape, such as heart, round, pear, or oval. Diamond cut is actually the symmetry of the diamond as well as the quality of its proportions. The proportions of your diamond determine how brightly it will shine. The ideal cut of a diamond is the one that allows the most amount of light to return through the top of the diamond. When a diamond is mined, it is evaluated and a decision is made on the best possible cut.  

Carat

Carat is the weight of the diamond. Five carats weighs one gram. A heavier carat weight means a rarer diamond, and that means it is more valuable. It’s important to remember that just because one diamond is larger than another, it is not inherently worth more. All four C’s play an important role in determining the value and cost of a diamond. 

How Much Is Too Much to Spend? 

Making a budget before shopping for engagement rings is the most important step of the ring buying process. Whether you plan on using credit cards, paying out of pocket, saving money, or taking out a loan, you’ll need a set plan under which you lock in a figure you’re able to spend. Breaking this budget means you’re spending too much on an engagement ring. 

How to Save On Buying an Engagement Ring

It’s better to buy a meaningful ring over a really expensive one. It’s true that an engagement ring is a symbol of commitment and love, and the amount of money you put into it can add meaning. But drowning yourself in years of debt to buy an extravagant ring, however, does not get your lifelong commitment off to a good start. Here are some ways to save money while still investing in a meaningful wedding ring. 

Go With Alternative/Synthetic Diamonds

If you’re finding it difficult to afford a diamond ring, there are some alternative, cheaper options. These include:

• Synthetic diamonds
• Moissanite
• Cubic zirconia
• White sapphire

 Know Your Settings

The setting you choose for the ring plays a part in determining the size of diamond you choose. Choosing a smaller setting helps narrow diamond sizing, in turn saving you money. 

Adjust the Four C’s

All four C’s play a factor in the price of the engagement ring you buy and you can adjust these to fit your budget. For example, if you want a diamond with a higher clarity, you may be able to get a lesser-quality cut to balance out the cost. Our diamond experts at Diamond Ring Co. are here to help you find the perfect balance of quality for your budget. 

The Antique Style

In general, antique style rings cost less than modern style rings. This is because the stones are less expensive, and there are no manufacturing costs involved with antique rings.

Go Smaller on Carat Size

The easiest way to save some money on an engagement ring is to go smaller on carat size. Media often tells us that the bigger the diamond in a wedding ring, the better. In reality, that is not always the case. You can still buy a meaningful ring even if it does feature a smaller diamond. 

Buying an Engagement Ring Online

Thanks to the internet, we now have the option to avoid stores altogether and shop for rings online. Shopping for engagement rings online does have its own advantages but there are also some things to be careful of when considering this option. 

What to Be Careful of When Shopping Online

Shopping for a wedding ring online comes with its own set of challenges. You are going off of pictures and online reviews rather than seeing the ring in person. Here are some things to do to make sure you have a successful online shopping experience.

• Make sure you know your partner’s ring size
• Take time with the purchasing process
• Ask questions if you need help
• Don’t focus on the diamond alone 
• Don’t let the amount of choices overwhelm you
• Make sure to check the returns policy

Shopping Online vs Shopping in Store

Online purchases can be quicker if you know what you’re looking to purchase. You also have the advantage of looking everything up and doing research yourself, on your own time. You can take as long as you need to research the size and cut of diamond that will be perfect for your partner. Also, if you see a ring you like but you’re not quite sure about a listed aspect of the product, you can easily look it up online yourself. 

Shopping in person also has its own advantages, the most important of which is that you can see and try on the actual ring before you buy it. If there are multiple styles of rings or diamonds you’re interested in, you’ll be able to see them in person and compare all of the details. Most places let you try on rings to make sure you get the perfect size and style. Also, if you find yourself confused about the four Cs, you can have someone walk you through the process and show you different diamonds with examples. 

Diamond Ring Co. offers both online and in-store purchasing options. Ready to start your online shopping process? Check out all of our engagement ring options. Interested in seeing our engagement rings in person? Visit one of our four locations. Our diamond experts are ready to help you find your perfect engagement ring!