Suze Orman TwitterSuze Orman FacebookSuze Orman YouTubeSuze Orman LinkedIn
View Blog & News List

That $30,000 Wedding Really Costs You $130,000 Or More.

May 12, 2016 at 12:00 AM

The average cost of a wedding is now more than $30,000. As I have explained in How to Budget for a Wedding, spending even $3,000 on a wedding is a bad move if you have credit card debt, have yet to build a large emergency fund, or aren’t on pace with your retirement savings.

But for those of you who are thinking about spending for a blow-out wedding, I want you to seriously think through the long-term cost of your decision. Money you spend today you won’t have for tomorrow. Sounds obvious. But I don’t think you’ve carefully thought through what that really means. If you spend $30,000 on a wedding today that is $30,000 you don’t have to put toward other long-term goals.

Invest $30,000 for 18 years and earn a 5% annualized return and you could have nearly $75,000. Why 18 years? Well, I’m thinking maybe you and your honey are going to start a family. That $75,000 is going to go a long way to covering a chunk of college costs. (Even after accounting for inflation, annual tuition and fees at a public university for an in-state student might run about $20,000 a year in 18 years.)

Or let’s talk about retirement. Maybe you and your honey have spent your single years paying off student loans, or perhaps working off some expensive credit card debt from those days before you got financially on top of things. That’s okay. But please don’t spend big money on a wedding if you haven’t been paying attention to your retirement. The five-figure wedding cost of today is a potential way to turbo charge your retirement fund into six-figures. Investing the $30,000 for retirement and earning a 5% annualized return would leave you with about $165,000 in 35 years.

I can’t stress this enough: A big wedding is a want, not a need. And please don’t tell me you (or your daughter, or son) deserve a big wedding. Really? I think they deserve a financially secure future. I think they deserve knowing their parents are not short-changing their own future to pay for an expensive wedding.

You can still have a fantastic, wonderful, meaningful and joyous wedding. All that takes is creativity and focusing on what really matters. Spending money you don’t have for a party you can’t afford doesn’t sound like a joyous act to me.

Tag Cloud

mortgagecar loanbetter loan dealsdangerous money seasonMust Have Documentsno waiting perioddon't spend contribution gift up to 14,000Selfishfile asapprofessional advisorbreakdown projected monthly housing costreal estate marketlower interest rateclosing disclosureinsurance mistakeEric Dodge low-cost index mutual fundat worst still pay 75% benefitonly offered while employed best loan deal Financial Cliffis it true? near historic lowsstore credit cardsWall Streetstandard deduction School of Social Workdangerous retirement plancredit cardemergency fund same sex marriage band end FloridaLoveRevocable Living Trustdon't defer interest paymentsVeterinary Schoolgift grandchild IRA contributionHigh FICO Score = Better RateThe Suze Orman Showclosing costs 2% of loanback-to-school budgetsecure creditSuze Ormancommunity bankcompare monthly expensesdebt8 month emergency fundtraditional vs roth 401(k)waive home inspection biddepreciating asset four steps to retirement savings long term careLTC shoppingno private loanprotect your familyretain separate credit cardsspring summer social security not going brokefinancial goal phraseexercise reguarlyalternative FICO scorerolloverFICO Scoremental healthhigher monthly paymentraise insurance deductible6 month waiting periodHoliday Shopping50 over 50maintain standard of livingzero rate transfer dealssuccessjanuary billsback door Roth IRAFederal PLUS loanrent vs buylow credit scoresummer job match income special saving accountretirementgift not loanterm life insurancehome buying budgetCredit Card Rate Increaseunsubsidized Stafford loanultimate compounding giftDeath Benefititemized deductionsecured card3 savings buckets file taxes quicklyage appropriate choreFederal ReserveWashingtonclosing feesLTCi ASAPmarriage financial responsibilityloan necessityInvest for savings growthFHA loan feesbetter loan rateshighest possible benefitjuggle multiple financial goalslong term goalwives should be involved in retirementHoliday Seasonadd teenbecome member speak new goaldon't do five year car loanretirement accountsLTCfiduciaryhigh FICO scorePrime Rate Rise 2015life insurance name trust as beneficiarypay interest while in schoolchildren's bookbe good exampledon't charge a pennyGiftsfederal student loan deferment heartacheco-sign Young Adult know before you owebest interest ratesretirement planUniversity of Florida4 Must Have Documents interest on student loanssocial securityInfluentialscreate new truthFiscal Responsibility2016 adjust estimated taxlong-term care premiumssavings pleasurecommunity college10 year repayment plan One Wallet At A Timeavoid burn outkeep a schedulepeace of mindsidelinedRevocable Trustpurely financial standpointmortgage brokerAlarm Clockdon't cover cosmetic dentistrypaid in fullcomparison shoppingJose Rodriguezpay 100% cashForeclosureis it necessaryNew american Dream don't buy wantswomen long term careAdequate Auto and Home Insurance19 years cash flow problemhealthy gumsmax benefit coveredHDHP's are not badInterestproperty taxChanging Livesteach your child good money habitsbe true to yourselfhigh premiumsMass Mutualcnbc alarm clockmax employer matched 401(k) contributiondream schoolfinancial aiddental discount planbill paying prioritiesaccelerate dental workcostly legal home budget after tax costnot enough life insuranceEasy Life Insurance affordabilitydear suzestrained relationshipderailed planschedule vacationSuze changed my life2017 Taxescredit managementphysical healthStock Investmentsrising home pricesGracefull retirement agerequired disclosurestudent loan repayment planno negativitypay credit debt ASAPfinancial fearsFinancial Power of AttorneyHolidayadjust allocations tax refund fraudmobile appRichunder 18 financial giftuniversal college accessNewtownwomen outlive mensame-sex marriagedebt freepay high rate off firstswitch to spouse coverageno retirement funds for down paymentmanage student loansschool automatic paymentcar buying mistakestitle insurancebad retirement planningdoctor no longer in networkhigher insurance deductibleLegal GuardianCPI-Wrequire chore in exchange for allowancemoney-aware childAshley Springerfinancial concernidentity fraudteens and moneyVital DocumentsFixed Rate Mortgagelousy investmentlive below your means2015 record year car salespublic service career student loan repayment multiple lendersgraduationengaged in financesthree year car loansmall changes college studentallowance taskNew York Lifeanticipated salarySandy Hook Promisecar leasingbuying a carburn outbig results replace permanent life insurance with termkid borrow firstno private loanstaxesiffy incomePhyllis Shelton expert long-term carelower rateone credit cardsavingsRoth 401(k)letter to suzegrandparent IRA contribution balance transfer Retirement Income!00% tuition paiddon't blow tax refundDurable Power of Attorney for Health CareSandy Hook Elementary SchoolHDHP'smoney vowsmax employee matchEmployer Matched Contributionraise your deductibleCombo Insurance Productsstaycationno apology3 step financial road map20 year level term buy home you can affordhome loan credit score below 740 20 to 25 times annual incomeinsurance yearly reviewenjoy saving Financial Advicerefundhome buying seasonverify wellness screening and programsrepay student loansUrbana-Champaignis it kind?workaholicfocus on new truth high deductible health care planUS Tax CodeMarlo Thomasearn more on savingsAuto Savings advice for college graduatesCD'sbad decisionshousing marketHDHP don't ignore open enrollmentWarner Bros Television Groupautomate student loan paymentsConventional loan PMIhealthy retirement weighthealthy youescrowunexpected expensemortgage disclosureworst financial mistakeInflation BenefitMotherget the most out of social security AARP Social security calculatorRetirement Savingspowerfulshorter payback periodverify retirement plan with HR or plan sponsorstay positiveHigh Credit ScoreSelectQuote.com10% donate to charitySwap Older Annuities or Life Insurance Financial SystemGay RightsFinal GoodbyeMost Influential Celebrities Listsocial security never insolventprotect loved ones origination feesreal estate mistakeshome ownershipUniversity of IllinoisARM Cautionbest interest of investorvalentines daycouple financespush yourself to save more for retirementleave a legacySave Us Moneybe kind to yourselfloved ones dependent on incomeFederal Stafford loanfinancial arguments40% toward financial goalWillcommit2015 financial roadmaphigh credit score discountplanlong-term care Gay Couples401Kreduce withholding20% down paymentMortgage Credit Availability IndexFinancial EducatorSatisfyingFinancial Awarenessdon't derail retirement savingscharges on credit cardchildren under 18COLAHDHP/HSAFinancialroth iraSuze Orman's Money WarsMoney-Savingno splurge eight month living expense focus on needsFICO credit score credit card mortgagebuying car 2016tax ID thefthealthy teethcontribute household expenses Telepicturescut monthly cellular billoverspend on nights outmake saving a pleasure15 year mortgage20% equityOverspendinggay marriage ban end Florida College of Veterinary Medicinesave low down paymentreduce monthly paymentStudent Loankids schedule paymentsCivil Rightsbuy homefraudulent returnincentives for health care wellness screeningeliminate credit card debtlearn good financial choicesannual cost of living adjustmentget over life insurance phobiaGiftFinancial Awareness Video FestivalMinor Children save moneypay more than minimumprotect dependent TeachIRA contribution gifted moneyBeautydeath benefit needs for familydental insurance preexisting condition not coveredCommencement3% debt transferred FRAdon't extend mortgage student loan repaymentPersonal Finance401(k) ContributionsForbes Top 10lowest cost fund optionloan is giftInfluential CelebrityFederal Funds Rateface your financial fearForbesnew carFree Debt Eliminatorstretch out haircut appointmentsinitial tax break Credit scorecollege graduatesocial workdeath benefit 20 to 25 times annual incomedental savings planearn allowanceresponsible with moneyquick closingadult childrenhigh down paymentlet them have 50% control2016 adjust withholdinggrandchild summer job IRA contributionMoneydo not pay allowance for good behaviorinsuranceCredit Card Interest Ratepresident ObamaBankcompare provider pricingconfident of solutionemergency fund savingsno life insurance financially irresponsiblehome insuranceMoney Marketincrease retirement contribution ratepaid vacationFundswrite new goalhome related tax break bonus Americans don't use all paid vacation timeteenspaying for collegecut monthly cable billSpendinghealthy aging television hostHDHP's are good for youETF'semotional stakesBankruptcymeet monthly credit reportmortgage interest tax deductionloan big picture permanent life insuranceretirment savingsloan no longer than 36monthsfinancing car identity theftcredit utilization rateinterest capitalizationcalculate dependents annual income needsritual schedulestandard rateraising interest ratesnon conventional routenegotiate points with bank or sellercommissionsPost-DivorceSuze approvedLong Term Care Insurance PBS SpecialLong Term Care premiums8 month safety netCory Bookerstudent loan debtpoint cost offset by savingsonly refinance if it paysemployer funding HSA20% down payment avoid feesdon't use allowance as bribeSuze is my biggest mentorstudent loan repayment estimatorlower premiumapproved medical 100% tax-freedo you need life insuranceAmy Lacyetmarriage inequalityborrow each year, capitalization is going to pile up healthy retirement blood pressureraising mortgage rates open enrollment review 15-year refinance dealSuze Orman Scholarshipprovider of financial supportshop online guaranteed level term policypay off debtincreased auto insurance premiumcredit unionlower overall drug costno sneaking in feesHow To Build Creditpay down student loan debtno interestno tax on withdrawlsteach importance of helping othersCNBCfamily save at least $100 monthlyno fee transferswitch to roth 401(k)HeartrefinancePay Off Debt Before RetirementFICO at least 720age appropriate goalspercentage men widowed 75-84short term goal is it necessary?yours, mine & oursget health insuranceoverspend on dining outborrowing plan pay down car loan3 bucket approachpercentage of women widowed 75-84value moneyPrime Rate IncreaseAccuQuote.comExhibitionconfidentLifestyleincrease retirement savingsdoctors in networkbudgetGoodbyepositiveholiday spendingwomen live longerreferrals automatic withdraw to savings studentcostly insurance mistakeCommunication Skills ignore 6 month grace period would you decline a bonustake actionFinancial Gift Cliff8 Rulesmonthly dental insurance premiumlow mileage discountStaffords this year have a fixed 6.8% interest rate30 year mortgage Citi Simplicity Card protect and provide for minor child public service loan forgiveness programBaby BoomersEmergency Savingssetup automatic savings withdrawraise deductiblesprescription tierconsider roth 401(k)debit cardfinancial independencebuy down Long Term Care shoppingaffordable premiumresponsibleSuze Orman spouse Kathy Travisnot gender specific too expensive schoolmonthly benefit 740 credit scorelife insurancehome buying mistakesHSA tax savingslower mortgage interestterm insuranceAARPemployer offered life insuranceincrease emergency savingsARMStudent Debtovercome financial fearssuitableoverspend on giftsno late fee Bill and Pennybetter termsreduce interest rateone annual feeStudent Debt Crisispremiumget credit cardallowancecan you afford itwomen longer life spanFinancial Solutions For Youcost of capitalization calculatoralways use all paid time off


View Blog & News List
People First. Then Money. Then Things.
Connect with me on Facebook Connect with me on YouTube Connect with me on Twitter
© 2017 Suze Orman Media Inc. All rights reserved.
 
 |  Search  |  Sitemap  |  Privacy  |  Terms
Sign Up For E-mail Offers
Open Panel
Close Panel