Your wedding will be one of the most special days of your life, but that doesn’t mean you need to spend all of your savings on it! No couple should start their life together worrying about debt. Fortunately, with clear communication with your fiancé, commitment to your budget, and strategic shopping, you can throw your dream wedding without going broke.
In this post, you’ll find a few helpful tips to help you stay financially sound while planning your wedding. In this way, you can steer clear of debt and still have money saved for a rainy day. BASH SARMIENTO is our guide.
1. Have an open conversation about both of your finances
One of the best things you can do with your partner is to have an open conversation about money. You’ll have to talk about money for the rest of your married life, so what better time to start than now? Get a clear picture of each other’s finances, and then agree on how you’re going to pay for your wedding. Will you be covering the costs yourselves, or will your family members be contributing? Is there still time to save money, and if so, how much will you both be able to save?
Note that the decisions you make for your wedding will affect your financial future together, so make sure to consider life after your “I dos”. Ask yourselves if you’ll still have money left for post-nuptial life, such as for your home or for starting a family. If you have any debts, be sure to set aside money for that. Remember, life after your wedding is more important than the wedding day itself, so be practical.
2. Be realistic with your budget
The best way to stay debt-free while planning your wedding is to set and stick to a budget. It seems simple, but the truth is that 49 per cent of couples spend more than they’d planned, according to The Knot’s 2021 Real Weddings Study.
To set a budget, sit down with your SO and talk about what kind of wedding you want. Do you want a big wedding with 100 guests or an intimate wedding with only a few close family members? Generally, the more guests you want to invite, the bigger your budget will have to be. That being said, if you want to spend as little as possible, you may want to pare down your guest list.
Be sure to set a realistic budget. For example, if you can only set aside US$25,000 for your wedding (considering your combined savings, salary, contributions from family, etc.), then work with that amount. Don’t go into debt for your wedding – it won’t be worth it.
3. Decide on what details matter the most
Once you have a budget, make a list of wedding details that matter the most to the two of you – like a wedding wishlist. Do you want the bulk of your budget to be spent on the music and the menu? Or perhaps you’d rather spend your money on your honeymoon? Listen to each other’s expectations so you can decide where you’ll spend the most money.
Let’s say the top three items on your priorities list are your wedding gown, wedding rings, and venue. Fund your must-haves first, and any extra money you’ve saved up should then be distributed across other details, such as the cake, catering, etc. In this way, you will only need to save on the things that aren’t as important to you. You may even get away with getting rid of certain not-so-crucial items from your budget.
4. Open a separate account for your nuptials
Set up a separate account where you can pool your savings. This account should only be used to pay for wedding-related bills, such as the downpayment for your venue, vendors, etc. This will give you an overview of where your savings were used. It can be confusing to track transactions if you paid from multiple accounts, so it’s best to designate one account for nuptial-related funds.
While you save for your wedding, you might want to set up automatic transfers from each of your checking accounts. This way, a certain amount of money from each of your accounts will automatically be deposited into your joint account each month.
The same goes for your credit card, although it’s best not to use one at all. But if you don’t have a choice (or if you’re after loyalty points!), you should use only one credit card for wedding-related purchases.
5. Avoid borrowing money to plan your big day
It’s bad news when a marriage starts with debt. Your wedding will last only a day, so it shouldn’t be something that will take you a lifetime to pay off. Instead, come up with clever ways to save money, such as buying a pre-loved wedding gown instead of a brand-new one.
If you have no choice but to borrow money, consider how much you actually need, and how much you can afford to pay off each month. Only borrow what you need for your big day – borrowing even a little bit more will only tempt you to go over budget.
6. Be on the lookout for bargains
Many vendors and venues lower their rates during the off-peak months, so put off your purchases until the wedding season ends. The best time to buy affordable engagement rings is during the promotional months of November to December. This is because the demand for engagement rings tends to rise during these months, as most people plan to propose during the holidays. Retailers will be more inclined to low their prices as they compete for buyers.
In the same way, you’ll find that wedding gowns will go on sale at the beginning of the new year, as this is when bridal stores get rid of old stocks. January is when designers drop new collections, specifically targeting couples who just got engaged.
Start married life with sound finances
You can still throw the best and most memorable day of your life without falling deep into debt. It may be tempting to go all-out on your wedding, but remember, it’s more important to have some money saved for married life. As you plan your wedding, keep these tips in mind to set the tone for your financial future, and ultimately, make sure your marriage is off to a good start.
- Sarmiento is an author.
