It’s been said for years that you should spend three months’ salary on an engagement ring. But does that still ring true today?
Jewellery retailer Abelini has delved into its sales data to uncover how much we spend on average as a nation. Plus, they’ve partnered with financial coach James Beckett who has shared six tips, to help you save for your big proposal.
The data revealed that in the UK, we typically spend £909 on average on an engagement ring1. According to the old wives tale, this would put the nations’ average monthly salary at £303, which is just 10.4% of the actual average monthly salary in the UK (£2,912 according to the ONS).2
But who are the biggest spenders? The data revealed the top ten as:
- Derby (£1,082)
- Cardiff (£1,074)
- Bristol (£1,058)
- Southampton (£1,038)
- Leeds (£1,034)
- Liverpool (£991)
- Stoke-on-Trent (£979)
- Northampton (£972)
- London (£960)
- Manchester (£921)
On the flipside, Belfast (£689) and Bradford (£724) are the cities most likely to splash the least amount of cash.
If you’re thinking about proposing to your significant other, Nilesh Rakholia, Director at Abelini has partnered with financial coach James Beckett to share their advice on saving for an engagement ring:
- Work out your budget
James says: “To work out what you can afford to spend based on your salary, multiply the number of months you have to save by the amount you are able to save each month (plus any existing savings you have). Once you have the total, this is the budget you should stick to, to avoid getting into debt.
“If you have multiple saving goals on the go, it’s advisable to build in some slippage in case of emergencies that arise and set your saving goals back.”
- Get the basics in place
James suggests: “Make sure you have a savings account set up and ready to use. It’s important to make sure your savings account is giving you interest, but make sure it’s an easy-access account rather than a 1-year fix, unless you know you’re not proposing for a while.”
- Pay yourself first
To help boost your savings, James suggests: “One trick that can help you save is to pay yourself first, straight after you’ve been paid for the month. Set up a standing order or transfer the money straight out to a separate saving pot or account. This can subconsciously help to reduce your spending to meet your new, lower wage without feeling like you have to restrict yourself.”
- Think bigger
James advises: “When you’re trying to save up for a big purchase like an engagement ring, you want to look for big cost-saving initiatives if you can.
“It can be tempting to just skip the extra latte or cancel a streaming service in the hope that it will be enough. It may help, but not by much over the space of a few months.
“Instead, see if you can make one or two big cost-saving changes. For example, cutting back on holidays abroad or keeping your car for a bit longer rather than jumping on a new PCP deal. Big decisions like this can save you thousands.”
- Consider the 4 C’s when choosing your ring
Nilesh says: “When selecting your engagement ring, consider the 4 C’s – colour, cut, clarity and carat – as these will affect the price of your engagement ring.”
According to Abelini’s internal data, when it comes to the most preferred styles and metals, the data revealed the Classic Solitaire ring as the most popular style with the top three stone types as:
- Naturally Mined Diamond
- Lab Grown Diamond
- Moissanite
“If you’re looking for a large diamond but at a more valuable price, consider opting for a lab diamond engagement ring as this can be between 60%-85% less than the price of a natural diamond for the same size and quality.”
- Don’t forget to budget for the engagement experience
James shares a helpful reminder on budgeting for the engagement experience as a whole: “There may be other costs attached to the proposal itself. Are you planning a nice romantic dinner? Do you want to pay for a spa day on the day of the proposal? You may want to budget for this.
“If you’re proposing abroad, it’s important to have the right insurance cover in place as a standard home insurance policy will not cover any jewellery outside of the home.”
For more information on finding the perfect engagement ring, visit Abelini: https://www.abelini.com/engagement-rings
