“A Diamond Is Forever” – What Should the Average Engagement Ring Cost? (Updated 2025)

According to a study by Brides, the average American engagement ring cost $3,756 in 2020. Many couples spend less than this and many spend more. Your decision all depends on your personal preferences as a couple and what you think an engagement ring should cost.

In the late 1940s, a De Beers diamond marketing campaign equated diamonds with faithful love. However, there are many other expenses that factor into the average cost of a wedding in 2023. Many people would now rather budget for a fun honeymoon, an expensive photographer or a down payment on a home.

Knowing what people typically spend on rings and how to choose them can make the process more enjoyable. You’ll know what’s best for your situation before making your milestone purchase with confidence.

How Much Should You Spend on an Engagement Ring?

Think about your typical paycheck. Add up what you’d make in three months — that’s what people recommend spending on an engagement ring. 

It’s a slightly outdated notion, given the cost of living today. The typical rent for one person in New York City averages around $5,639 every month, so putting aside enough cash to save up three months’ worth of money for a ring may feel impossible.

What you should spend on an engagement ring is worth discussing with your partner. They might be someone who loves expensive jewelry or the kind of person who only feels comfortable in budget-friendly accessories. You’ll know you’ve found the right ring after talking about their preferences. If they want something expensive, you can easily transition into a discussion about a realistic price range that makes everyone happy.

Tips for Picking the Perfect Ring

There are tons of engagement ring styles available at all kinds of price points. Using strategies to find the perfect match for your partner will erase some potential stress so there’s more romance in the air while you search.

1. Consider Financial Goals

Before you start looking at rings, have a conversation with your significant other about your budget. Many couples combine finances after marriage, so this is a skill you need to develop anyway. Be honest about your concerns, boundaries and values. What are your financial priorities? 

Some couples skip the engagement ring altogether because it doesn’t align with their long-term goals. Others budget and save for an engagement ring after considering their expenses for the year. Whatever path you pursue, remember that every purchase you make should fit within your future financial goals. 

2. Discuss Your Preferences

Learning your significant other’s jewelry cost preferences is crucial, but don’t forget to talk about their favorite styles too. In America, wearing a large or rare type of diamond can be a status symbol. However, not every woman actually wants a large ring. Have a conversation to learn more about the style and size your significant other is interested in. 

Because everyone is unique, every couple handles engagement rings differently. Unless you have an honest conversation, you won’t really know what your significant other is expecting. For example, some couples like to go ring shopping together. Others prefer making the engagement ring a surprise – along with its cost. 

3. Research Ring Value

Diamonds are valued based on their cut, color, clarity and carat. These are known as the four C’s and can help you make an informed purchase. Carat refers to the size of the diamond – in general, larger diamonds cost more. However, larger diamonds with poor color or a simpler cut may cost less than fancy smaller diamonds. 

A 1-carat diamond, for example, can cost between $4,500 and $6,000. Depending on the band and other features, like surrounding encrusted stones or engravings, the total cost of the ring will be higher. When you increase the carat size, the price of a diamond can skyrocket. The cost of a 5-carat diamond can range from $50,000 to $145,000. Remember, bigger isn’t always better, especially if you’re on a budget.

The choice of metal for the ring also significantly influences the cost. Common options include platinum, white gold, yellow gold and rose gold, each with its own price range. Platinum is rarer than gold, making it one of the most previous metal options for an engagement ring, also making it the most expensive.

Before you go ring shopping, do your research and consider what matters to your significant other. In general, color and clarity are more important than carat. Your significant other may have a preference as to cut and some cuts are more expensive than others.

4. Consider an Alternative

Of course, you don’t have to go with a diamond. Many couples choose colored gemstones or diamond alternatives like moissanite. These rings are beautiful, unique and generally much less expensive than buying a diamond. If your significant other would like a colored gemstone, make sure you check its number on the Mohs hardness scale. 

Modern couples are also choosing vintage rings instead of buying new jewelry. You can use a family heirloom and even reset the stone if the setting has become too outdated. However, vintage style has a charm of its own that many couples appreciate. Although some vintage rings are inexpensive, you can also design an expensive ring with a vintage style.  

5. Make a Meaningful Purchase

Ultimately, the cost of your engagement ring comes down to personal preference. Make sure you’re on the same page with your significant other before investing in this purchase. Whether you buy a ring that stretches your budget or reuse a vintage piece, make sure it’s meaningful to you as a couple. 

Think about your values and make a purchase that you can feel good about years from now. Be willing to compromise to suit your partner’s preferences, but avoid going into debt at all costs. Many couples start with a small ring and then upgrade it as their means increase. In a committed relationship, the cost of your engagement ring matters much less than the thought behind it. 

What Is the Average Cost of an Engagement Ring?

According to a 2024 study conducted by The Knot, the average cost of an engagement ring is around $5,200 in the United States, but it doesn’t necessarily mean you need to spend that much on a ring. This price varies based on individual preferences, regional variations and financial circumstances.

For instance, the average engagement ring cost in Washington is a whopping $10,109 compared to $3,005 in South Dakota. California wasn’t far behind with an average of $9,482. These statistics brought the national average to $5,200 for an engagement ring.

Remember, jewelry stores have sales like any other business. If you find a ring that’s perfect and it’s still out of your price range, look for seasonal sales. You may get a small percentage off the total cost and more easily afford the ring that will make your partner swoon.

It’s also possible to buy name-brand rings online. There are occasionally digital sales and exclusive coupon codes you can only use through the brand’s website. Compare the prices you see in physical and online stores to give yourself more financial flexibility.

Purchase Your Ideal Ring

The De Beers’ marketing campaign in the 1940s told couples that “a diamond is forever.” However, there is no correlation between the type of ring people buy and the success of their marriage. Your engagement ring is only a symbol of the intimate relationship and life you’re building together. 

Keep your values in mind as you shop for an engagement ring. Although the average ring costs several thousand dollars, a less expensive ring isn’t any less meaningful if you choose it together. Use these guidelines to get your significant other the ring of their dreams without blowing your long-term financial goals. 

Original Publish Date 11/20/2023 — Updated 3/6/2025