How Much Should You Spend on an Engagement Ring? There Is No Rule.

Forget the Two-Month or Three-Month Salary Rule

For years, people have heard that an engagement ring should cost two months' salary, three months' salary, or some other percentage of annual income.



I don't believe in any of those rules.

Two people can each make $100,000 a year and be in completely different financial situations. One may have a mortgage and young children. Another may have very few expenses. One may love jewelry and have been saving specifically for an engagement ring. The other may have completely different priorities.

Why should both people spend the same amount simply because their salaries are the same?

My advice is:

Set a budget that feels comfortable to you and don't let social media, advertising, friends, or an old formula tell you what you're supposed to spend.

I Don't Start an Appointment by Asking Your Budget

When someone comes to see me about an engagement ring, budget isn't usually my first question.



First, I want to understand what you're looking for.

Are you considering a natural or lab-grown diamond?

What diamond shape are you interested in?

What type of metal does she like?

Is there a particular ring design she has shown you?

Does she want something simple, or is the setting itself an important part of the ring?

Once I understand what you're trying to accomplish, then we can talk about the budget.

I would rather understand the ring first and then show you what's realistically possible within an amount you're comfortable spending.

I Don't Want You to Regret the Purchase Two Hours Later

Buying an engagement ring should be exciting.



The last thing I want is for someone to leave my showroom happy with a beautiful ring and then, two hours later, start thinking:

“Why did I spend that much?”

That's not a successful purchase to me.

I want you to love the ring and feel comfortable with what you paid for it.

That's why, when someone keeps asking me:

“What happens if I spend another $1,000?”

My answer usually comes back to the same thing:

Set a budget.

We can always find another diamond. We can look at different options. We can change something in the design.

An engagement ring shouldn't create a financial problem before the marriage even begins.

What If You Go a Little Over Budget?

A budget doesn't necessarily have to be an absolute wall.



Let's say you planned to spend $5,000, and after looking at different options you fall in love with a complete ring that's $5,500.

If you're comfortable with the additional $500, I don't think a 10% difference should necessarily stop you from buying the ring you really want.

But the important words are:

If you're comfortable with it.

If spending $5,500 is going to bother you afterward, then we go back and find another option around $5,000.

There's almost always another option.

That's very different from someone planning to spend $5,000 and being convinced that they suddenly need a $10,000 ring.

I don't believe in doing that.

And What If You Spend Less Than Your Budget?

This happens more often than people might think.

Someone may tell me:

“My budget is $10,000.”

Then we start looking at diamonds and rings, and the one they really love comes to $6,500.

Great! Buy the $6,500 ring.

I don't see a reason to find another $3,500 to spend just because you told me you could afford $10,000.

The goal isn't to use your entire budget.

The goal is to find the right ring.

Natural vs. Lab-Grown Has Changed the Budget Conversation

The choice between natural and lab-grown diamonds has made old engagement-ring spending formulas even less meaningful.

Today, the same $5,000 budget can buy two completely different engagement rings.



Depending on the setting and other details, a $5,000 budget with a lab-grown diamond can potentially put you into a 4-carat or larger center diamond in today's market.

With a natural diamond, that same overall budget may put you closer to approximately a 1-carat center diamond, depending on the diamond's quality and the setting you choose.

That's an enormous difference.

Neither choice is right or wrong.

I don't judge someone for choosing natural, and I don't judge someone for choosing lab-grown.

If she is comfortable with a lab-grown diamond and that's what the two of you want, buy lab-grown.

Many women today want a larger center diamond, and lab-grown diamonds have made that much easier to accomplish without stretching the budget.

With Lab-Grown, the Ring Can Cost More Than the Diamond

This is another major change in the engagement-ring market.



With a natural diamond, the center stone traditionally represents a large portion of the total purchase price.

With lab-grown diamonds today, unless we're talking about a very simple solitaire, the setting can easily cost more than the center diamond.

That means the budget conversation isn't only about carat weight anymore.

The ring design matters.

The metal matters.

Side diamonds matter.

Hand engraving, hidden halos, special details, and custom work all affect the final price.

And most importantly, what she wants matters.

If she has shown you a particular ring style that she loves, I don't believe in ignoring that design just so we can put every available dollar into making the center diamond larger.

The diamond is important.

But so is the ring she's going to wear every day.

What If Your Expectations Don't Fit Your Budget?

This happens, particularly with natural diamonds.



Maybe someone wants a certain carat weight, color and clarity, but when we put everything together, the price is higher than they're comfortable spending.

I don't automatically decide what they should sacrifice.

Instead, I'll show different options.

Maybe one diamond is slightly smaller.

Maybe another has a different color or clarity grade.

Maybe changing one characteristic gives us a diamond that looks beautiful while bringing the price closer to the budget.

I'll explain the differences and let you compare them.

You decide what's important to you.

Don't Let Someone Else Decide What Love Should Cost

An engagement ring is important. It's something she may wear every day for decades.



But the amount you spend isn't a measurement of how much you love someone.

If you make $100,000 a year, I can't tell you that you should spend $5,000, $10,000 or $20,000.

And if you make $200,000, I'm still not going to tell you.

What I can do is help you understand what your money can buy.

I can show you the differences between natural and lab-grown diamonds.

I can explain where spending more actually makes a difference and where it may not.

I can help you compare diamonds and settings and understand your options.

But you have to decide what you're comfortable spending.

My Advice After More Than 40 Years in the Diamond Business

Set your budget based on your life, not someone else's formula.

Listen to what your partner wants.



Decide whether natural or lab-grown is right for you.

Look at the complete ring not only the carat weight.

And don't spend more simply because someone tells you that you're supposed to.

If your budget is $5,000 and you find exactly what you want for $5,000, that's great.

If you find it for $4,000, that's even better.

And if you fall in love with something that's $5,500 and you're completely comfortable spending the difference, that's your decision too.

The right amount to spend on an engagement ring is the amount that allows you to feel good about the ring and still feel good about the purchase after you leave the jewelry store.

Frequently Asked Questions

Closing

If you're starting to shop for an engagement ring and don't know what your budget should be, you don't need to arrive at Redmond Diamond Center with a number calculated from your salary.

Come with an idea of what you like or even just a few pictures.

We'll talk about natural and lab-grown diamonds, look at different options, discuss the ring design, and then figure out what's possible within an amount you feel comfortable spending.

No formula. No pressure. Just information, options, and a ring that feels right for you.