61% Think Spending 'Three Months' Salary' On An Engagement Ring Is Unreasonable – 'Not In This Economy!'

We’ve all heard about the traditional guideline of spending three months’ pay for an engagement ring. However, this guideline seems no longer relevant, as 61% of respondents to a recent survey believe it is outdated, particularly in light of the current economy. 

The idea of spending three months’ salary on an engagement ring started in the 1930s as part of a smart marketing campaign by De Beers, a diamond company trying to increase sales during the Great Depression.

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De Beers suggested a man should spend at least one month's salary on a ring and over the decades, this grew to two, then three months, which meant people were spending more money in their jewelry stores.

But in today's world, with rising living costs, student loans and the need to save for things like buying a home or starting a family, spending thousands of dollars on a single piece of jewelry feels like a luxury many can't or simply won’t afford.

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According to a new Bank of America survey, Gen Z (54%) is more inclined than millennials (47%), Gen X (36%) and baby boomers (28%) to believe this guideline is still a solid rule.

While the idea of splurging on a ring is still popular in movies and pop culture, most people are more conservative with their spending. Recent data shows that half people spend between $1,000 and $4,000 and many spend even less. Nine percent of people spend under $1,000 on a ring. The national average is $6,000.

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So, what are people doing? They're focusing on their budget and what makes sense for them. There's no need to go into debt for a ring to meet outdated expectations.

More and more couples are skipping the old “one-size-fits-all” approach and picking rings that match their style and budget. Some choose smaller diamonds, lab-grown options or unique stones like sapphires or rubies. Others are even rethinking the whole idea and deciding to use that money for other important things.

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For example, lab-grown diamonds are becoming increasingly popular because they can look just as beautiful and cost between 50 and 70 percent less than natural diamonds. They’re also frequently seen as a more ethical and environmentally friendly choice.

Although an engagement ring symbolizes love and commitment, buying one shouldn’t be financially taxing or stressful in the long run.

Instead of worrying about meeting some arbitrary standard, talk to your partner and agree on a budget that works for both of you. Whether that's a few hundred dollars or several thousand, what's important is that it reflects your relationship and what you value.

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