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The "savings" budget
1ddqd
Registered User regular
Registered User regular
I've been reading a few different websites and I have some questions about the best way to save money, given a limited budget. I make roughly $1,000 per paycheck (NET, GROSS is about $1500), so this makes it pretty easy to calculate my upper limit in spending for the month.
By my calculation on bills right now (see analysis below) I should have a surplus of $500 every month. I want to save up for a ring so I can propose later this year. The problem I have is when I went shopping for a ring, the styles and size of diamonds I want to get are over $3,000.
To make the ring affordable, I want to save at least $1,500. If I save $250 a month, that's easily $1500 in 6 months. I think, more realistically, $150 a month is possible. That's 10 months, and I'm into next spring.
So 1) have any of you guys cut down your "entertainment" fund to less than $300 a month, and if so, what was that like? I'm going to have to do this for 6 months, just wondering what to expect.
And 2) is there a way to put the $250 into a savings account I can't touch? Like, put a timer on it for 6 months? I'm worried something will happen and I'll have to use it. Don't want to end up like Carl in Up!
By my calculation on bills right now (see analysis below) I should have a surplus of $500 every month. I want to save up for a ring so I can propose later this year. The problem I have is when I went shopping for a ring, the styles and size of diamonds I want to get are over $3,000.
I think I'll end up getting the right fitting with a lower quality diamond, then change it out when I can afford a better rock, but I digress.
To make the ring affordable, I want to save at least $1,500. If I save $250 a month, that's easily $1500 in 6 months. I think, more realistically, $150 a month is possible. That's 10 months, and I'm into next spring.
So 1) have any of you guys cut down your "entertainment" fund to less than $300 a month, and if so, what was that like? I'm going to have to do this for 6 months, just wondering what to expect.
And 2) is there a way to put the $250 into a savings account I can't touch? Like, put a timer on it for 6 months? I'm worried something will happen and I'll have to use it. Don't want to end up like Carl in Up!
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It was a great thing for me to economize and cut entertainment budget. You'll eat healthier if you prep your own food (and I've gotten back into cooking in a big way). You sleep better and wake up earlier if you cut the cable. I would budget at least a weekly pub night if you're used to hanging with the guys regularly, just order whatever's on special.
Work on the lawn or on making your place look nicer. Instead of entertaining yourself by consuming you can busy yourself doing those home-improvement type projects you've been meaning to do.
That's why food is $200 on there - I already shop locally and buy tons of fruits/local meats. I eat out occasionally, usually a good $100 worth every other week. This is stopping while I save lol.
Unfortunately, I'm in an apartment (but it's 3 bedrooms and 2 stories!) so the tasks are more indoors, but yeah, good tip nonetheless.
Is this free? Sounds like a sort of Paypal, but for storing money instead of spending it (like DropBox!).
Totally free, plus they have(had) good interest rates. Much better than a brick and mortar bank, although it won't make much difference unless you have like 10 grand in there.
2) Unless you have no self control, there's really no point in trying to hide away your savings. If you put it in an account that's difficult to access, you'll simply go through more hoops to access it (if you have no self control). Whether you can link it up or not isn't an issue; it's simply a matter of "don't spend it."
If you're looking to add to your savings, could you drop your personal trainer for 6 months?
As you already mention, you've pointed out some situations yourself where you know a good chunk of money goes, like eating out. Saving is easy -- earn more money and do the same things, or earn the same money and do fewer things. So just do fewer things. It's boring, and one reason why it's good to have a low or no cost hobby, but for the short term it's not too bad.
Is the person receiving the ring 100% likely to say "yes"?
They're really shitty, shitty stones. They have no resale value (because their worth is hugely artificially inflated), and unless you buy a synthetic stone, odds are someone is getting raped and murdered to provide you with the rock.
The money we saved helped send us to fiji for the honeymoon.
Unless you buy from a certified dealer that carries only conflict-free diamonds.
With birthstones and the like, it's a tough call. Engagement rings are traditionally diamonds, and a lot of people are going to look at this and automatically assume it was a money-saving choice. Of course, what other people think shouldn't matter. The question is, will your future-fiance be more excited about a diamond ring or a gem-stone ring? We're talking the difference between $3000 and $300.
Where have you been shopping for diamonds? If the answers includes "mall," you're doing it wrong. Look to private jewelers or at least separate stores that specialize in diamonds. The good thing about buying a diamond is that they have "stats," so you can determine if the price they are giving you is fair.
If you have a limited budget, find a diamond in the SI (slightly included) range, which is more or less indistinguishable from a higher-quality clarity with the naked eye. You'll be able to afford a larger stone that way and it won't really affect the look of the ring.
Also consider colour, and stay away from anything whiter than the "GHI" range, since you won't even notice the difference one the stone is set in a band, especially if you're going with yellow gold.
And just a note, in your budget you linked, you are paying $53 for your share of the $80 Internet bill? Typo?
Yeah, I was wondering the same thing. It would make a bit of a difference in the end.
Last I heard, we didn't have any conflicts going on in Northern Canada.
It turns out diamonds weren't the custom for engagement rings until the 1930s, when DeBeers decided it was so. If I were buying the ring for myself, it would be a sapphire or emerald. But it was for the girlfriend (now fiance), and she wanted a diamond, so that's that. Thanks, DeBeers.
$1500 should get you something in the SI clarity, GHI color range, around a half-carat plus a nice band pretty easily. SI GHI is basically the sweet spot where it takes someone with a sharp eye, a jeweler's loupe, or a bunch of stones to compare it against to tell the difference between that and a higher quality stone.
― Dr. Seuss, Oh, the Places You'll Go!
I told my guy ages ago that if he was going to propose, to never give me a diamond he bought. Thanatos is correct, and in fact the diamonds they sell in America may have even been smuggled from Africa or wherever in someone's butt. I don't want something that's been in someones ass on my hand (and the genocide isn't so hot either).
However, diamonds that have been passed down through your family are probably okay. Anyway you can ask your parents/relatives if they have a rock they can part with and you can reset into a lovely band?
Because she wants one. It will not be a large one, but it will be in the style of setting she wants (platinum or white gold, her choice) and it will be surrounded by our birthstones (Sapphire and Topaz).
I'm purchasing the setting at a private jeweler my family has worked with for decades. I don't know if there is a Jewelry district in Dallas, but I've seen "WE BUY GOLD HERE" signs. Maybe I should take a look? (/sarcasm) Thanks for the ideas on going through my parents, I'll have to see what they have to offer. If that well is dry, I'll ask the jeweler about a conflict-free stone, but I won't pay more if it's the same rock as a "conflict" or blood diamond.
She said "no diamonds! Lets use the money for a really great honeymoon"
Nothing wrong with wanting a dimel though.
I have to say, we were able to spend a week and a half on our honeymoon instead of 4 days.
I wish I could see your budget...
Canadian diamonds are conflict free. It's friggin Canada.
You're going to spend around $2500 for a 50 point diamond. I've been stone shopping for the past two months, so the prices and shit are still fresh in my mind.
I ended up spending slightly over $2100 after taxes and the band (which has stones in it as well). While you will save green sticking to the SI ranges, the prices don't jump considerably until you go into the VVS range. With colour, I bought an F diamond, which is above the GHI range, but it wasn't more than a comparable diamond at G.
It all depends, and there is also the cut to consider, which most people overlook. According to several of the jewelers I spoke with, the cut of the diamond is one of the largest contributing factors to its appearance, much more than clarity or colour. If it's a shitty cut, the light won't bounce off of the facets properly and it will appear "dull."
I've discovered that it's impossible to photograph a diamond with a shitty camera. Even from 3 feet away, it comes out blurry.
When talking to the stone dealer, just tell him exactly what you want to pay for the stone and tell him you want the best value for your money. If you are spending $1500 on the stone itself and he comes back with anything less than 40 points, go somewhere else. (I'm assuming you're going with round).
As for platinum vs white gold, I'd stick to white gold. Platinum is extremly pricey for the very minor added benefit of "sheen." I sprung for 19k white gold, which apparently keeps its shine for a lot longer and you don't need to constantly go back to have it cleaned/buffed/or quite possibly dipped in the future.
There are guideline prices for new polished diamonds (more of an indication of what things are going for then a set price list). Look up the "rapaport report"; good luck trying to see it though, unless you have a personal connection to a diamond dealer. If you do see it do not go into a jeweler/diamond broker and start spouting off that you want 5% back of rap or whatever. They will get frosty fast, and may just choose not to deal with you.
If you choose to go the secondary market route, go to a big jewelry store and let them show you a bunch of loose stones through a loupe. You just say you're planning to get an engagement ring and it's a big expense and you want to see what all the differences are; they should be happy to show you the differences in grades. They actually want you to see the differences to get you to want to buy a higher graded stone.
Then you can buy a loupe and hit the pawn shops and independent jewelers. You could score a good stone there and then have it set into a setting of your choosing/design, though you may want to make sure the store/jeweler you've picked out to do the ring is cool with setting a 3rd party stone. Don't get a piece with a stone that lacks a certificate. If you choose to do that anyways, understand that you're going to be hard pressed to determine if the stone has been heat treated and the stone can be positioned such that the setting hides inclusions, as such a good appraiser puts a ceiling on any grading he's performing on a set stone.
That's garbage. Like I said in my last post, I've been stone shopping for the past two months. I saw diamonds in every colour from D to K. In the GHI range, it looks beautiful set in a white gold. Even under a diamond light, the difference is negligible. The diamond will not look dingy.
As for clarity, you can't see the inclusions (flaws) in a VS diamond with the naked eye, so who cares? Unless your prospective fiance has natural 10x magnification vision, she won't even know/care that there is a few microscopic dust-like specs inside the stone.
I'm not saying you'd be an idiot to buy anything higher quality than GHI / VS, but really, what would be the purpose? Just to say that the diamond is that quality? Cause from the dozens of stones I've been tirelessly looking at over the past several weeks, you can't tell.
To clarify, I went in with the very stubborn mindset that I wanted a D colour stone with at least VVS1 clarity. Jewelrs showed me stones in lower quality and explained all the benefits, price differences, etc. but I still wanted that high quality stone.
One jeweler I went to brought out 4 very similar stones, all similar sizes. He asked me to show him the highest clarity/colour combination without using the magnifying lense. I confidently handed him the stone I thought for sure was the highest caliber, and then he gave me the lense and showed me I picked the lowest one.
Would you tell someone they shouldn't buy a new HDTV because they are marked up 500%?
Diamonds are a luxury item. They aren't an investment (these days anyway) and they aren't a wise purchase by any means. They are a commercialized, surprisingly common, incredibly expensive "thing" that women find desirable.
Still, that doesn't mean you shouldn't shop around and try to get the best value for your money.
Also, if you have such great eyes that you can tell the difference between a SI/VS and DEF/GHI, I commend you. I can't. Any jeweler you talk to will also tell you you need a loupe to see the inclusions in an SI diamond. I'm not just saying that, it's how they decide if a diamond is, in fact, an SI grade.
"Inclusions cannot be seen by the naked eye, but are visible under a loupe."
If you want a diamond flawless to the naked eye and "slightly" visible under a loupe, that's graded VS.
It's not about your opinion here, it's the definition of the grade of the diamond.
As for natural but conflict-free diamonds, your neighborhood jeweler, especially in a conservative nuthouse like Dallas (I grew up in Plano so I can make fun), will probably just tell you about how that's blown out of proportion, not true anymore, left-wing conspiracy, their diamonds are all verified, yadda yadda yadda. If it's a big issue to avoid blood diamonds, just buy loose Canadian diamonds online. They're mined in Canada, and last I checked there's no civil war there. Or buy lab-created.
As for metal, I've never heard much about 19k white gold. In general, white gold wears over time and has to be re-electroplated with nickel or whatever. Personally, I think platinum looks nicer, but it's considerably more expensive and can be dented quite easily.
From what I understand, 19k has 5% more gold content than 18k, and consequently less metal alloy.
18k white gold is rhodium plated in order to keep its lustre. 19k does not need to be. It's also apparently "whiter" and is hard to distinguish from platinum.
With platinum, it's about 90% pure and much stronger. It will develop little dents and pits, however, and it cannot be easily repaired. These are characteristic of platinum and apparently one of the desirable qualities. I didn't like that idea, so I went with 19k white gold, which looks similar and is softer, allowing for any damage over time to be easily repaired and buffed out.
As for saving money your current situation looks good but really there is only so much money you can save but there is no limit to the amount that you can earn. if you can figure out a way to come up with an extra $200 a month it will help you even after you got the ring.
Don't listen to what Figgy tells you. I shopped for my fiance's ring for the better part of a year. You can find a half-carat SI GHI round for a bit over a grand easily. Hell, you could hop on Blue Nile and get one right this very second, but I'd strongly recommend looking at a bunch of stones in person first. Untrained people can't tell the difference between a VVS F and a SI1/2 G without magnification, so it's all about bang-for-your-buck.
pleasepaypreacher.net
I'm sure you could find one, but there are more factors to the price/quality of a diamond than those you listed.
I was referring to "cut," one of the four.
When looking for diamonds, most people immediately ask about carat. Next, they bring up clarity and colour. Most people don't even consider cut, but it's a huge factor in the cost of the stone.
Saying you can find a 50 point stone in GHI and SI range for $1000 is all well and good, but that's like saying I can find a 2004 Civic for $2000. I could, but there are other factors to consider when looking at cost vs quality.
Edit: Here are a couple stones from Blue Nile. I would never shop for a diamond online, but you used the site as an example:
Stone 1: $1122
Stone 2: $1618
Both are identical in colour, clarity, and carat, but they differ in cut. Quite the price difference. This is also wholesale. If you go to a jeweler, you're going to pay a bit more than that.
If I buy a stone, I'll still probably buy a round one. If I have to buy one, I'll set the price and let them show me the options. Lab created is a good idea, but I think I'll pass on Blue Nile and exboyfriendsjewelry.com. Thanks though, might use those for gifts in the future
As for the $80 / 3 = 53, I pay 2/3rds of the internet bill (which is $80, divided by 3 is $26.66666, which x2 is $53.33333).
I am pretty good at detailing cars, but I don't have any of my equipment - I could probably bag another $100-200 a month if I do 2 cars wash and wax, but its not easy to advertise here at work (not a lot of friends with disposable income, either).
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Yeah.. I don't remember you ever saying how much she needed you to spend, but whatever. Some people are pretty nihilistic when it comes to this sort of thing. Edit: To clarify, I am as dumbfounded as you are by that sort of response.
Call around and see what sort of payment plans these places have. You will very likely find a jeweler that has a 6 month or 1 year payment plan with little to no admin fee.
Of course, these will all require you to sign up for their special "credit card," but that's one option if you want to do it. You wait until you have maybe 1500-2000 to put down and then spend the next 6 months paying off the rest. You seem pretty good with money management from your outlined budget, so you shouldn't have a problem there.
And I appreciate the vote of confidence with the money-management part, but the reason I want to lock away the money is because I spend money - it burns a hole in pocket every time I have some
I'd bet good money that anyone who's not a professional jeweler couldn't tell the difference between a Very Good and Ideal round cut if they're not sitting side-by-side, I'd consider that price difference wasted money. Cut rating is probably the least important factor when considering a diamond (to most people, I'm sure jewelry nerds would disagree). Especially with a diamond that size.
I'm not going to argue the point, though.
Many jewelers won't even carry low-quality cuts, but they carry all ranges of colour, carat, and clarity. That's gotta hint at something.