Move On To The Wedding Step?
Bob and his wife have their daughter's college pretty much paid for. When they get to the step of funding kids' college funds, should they substitute it with saving for a wedding?
QUESTION: Bob in Orlando and his wife have their daughter’s college pretty much paid for. When they get to the step of funding kids’ college funds, should they substitute it with saving for a wedding? Dave thinks that’s a great idea.
ANSWER: That would be fine. It’s always a good idea to save toward a wedding because they’re real and they’re coming. If you want to put it at the college funding level since you have college done, that’s a perfect place to put it.
I’ll give you my rule of thumb on weddings. The average wedding in America is somewhere around $25,000. The average household income is somewhere around $50,000. It appears the average wedding is about 50% o household income. If you’re paying cash for the wedding, that should be your maximum. When you make $90,000, you don’t spend $100,000 on a wedding. In your case, $45,000 is your maximum. I’m just doing that based on averages, but that’s an expensive wedding for you even making the kind of money you do. That’s your ceiling.