How Much Should You Really Spend on an Engagement Ring?
So you've found your person you want to spend forever with, and now comes one of the biggest questions: How Much Should You Spend on The Engagement Ring? In big cities like Toronto, prices can vary widely depending on where you shop.
How much is 'enough'? Should you follow the old three-month salary rule, or is there a better way to know how much you should be spending?
In this guide, we'll break down what to consider so you can confidently choose the perfect engagement ring without overspending.
The Three-Month Salary - and Why It's Outdated
The three-month salary rule was actually a marketing campaign released in the mid-1900s to encourage people to buy bigger diamonds, and it stuck! Today, that advice no longer applies. Couples have more financial awareness and individuality, lab diamonds are priced differently from natural diamonds, and more people are focused on other things.
Instead of focusing on salary percentages, we encourage you to focus on what feels comfortable for you. What matters most is finding a ring that fits your budget, style, and your partner's preferences, whether that's one month's salary, half or even less.
Average Engagement Ring Costs in 2025
The truth is, there's no one-size-fits-all answer. In Toronto, couples typically spend between $5000 - $10,000 on their engagement rings, depending on diamond size, metal type and customization.
- $1,000 - $3,000: simple solitaire rings, smaller stones, typically lab-grown options
- $4,000 - $8,000: smaller natural stones with mid-range qualities OR mid-range lab diamonds
- $9,000+ : larger natural diamonds, intricate designs or custom craftsmanship
At the end of the day, these numbers are meant as a guide, not a goal. The best ring si one that fits both your love story and financial reality. There is no right or wrong.
What Impacts The Price of an Engagement Ring?
Not many people know this, but your budget actually shapes your options. Knowing your budget up front helps us guide you to the best possible quality and size within that budget.
- The 4 C's of a Diamond: Cut, Color, Clarity and Carat all influence the price of the diamond.
- Metal Choice: Platinum and 18k gold are more expensive than 14k or white gold
- Setting & Design: Classic Solitaire rings, halos or hidden halos all require different craftsmanship; typically, more designs with more craftmanship will be priced higher
- Natural Vs Lab-Ground Diamonds: Lab-grown diamonds can be 30-40% less expensive for the same visual quality.
- Customization: completely customized rings often cost slightly more but they're made just for you
How to Set a Budget That Feels Right For You
The right budget should feel exciting, not stressful.
Tips:
- Discuss your non-negotiables as a couple: What's most important to you about the ring? Is it the size, how sparkly it is, or just that you want a certain shape? Either way, narrowing this down can make the budget talk easier
- Consider the total spend, including tax
- Remember that paying in installments is always an option
How to Get The Best Value
Two rings can be priced the same, but look completely different. That's all depending on the 4 C's: cut, colour, carat and clarity. A smart budget is knowing where to spend your dollars, not about how much you spend.
- Shop with an independent jeweller you trust: someone who has your best interests at heart. Better craftsmanship, transparency and often better pricing than mass retailers.
- Ask questions! Come prepared, understanding the 4 C's, certifications, materials and diamond sourcing.
- Compare Apples to Apples: sometimes it's more about how the diamond looks and makes YOU feel rather than what's on paper. It's best to always see the diamonds side by side to know forsure what the right choice is.
- Don't overpay for a brand name: the logo doesn't make a ring more meaningful.
Dainty Diamond Helps Bring Your Dream Engagement Rings to Life!
At Dainty Diamond, we help clients create timeless, handcrafted engagement rings. Whether you're shopping locally in Toronto or from afar. We focus on education, transparency and personalized design so you can feel confident always.
The 'right' amount to spend isn't about a number, it's about the meaning, quality and comfort. Whether your budget is $2,000 or $20,000, what matters most is the love behind it.
If you've started your search for an engagement ring, whether in Toronto or beyond, we're here to help.
