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

public service loan forgiveness programAshley SpringerRetirement SavingsSandy Hook Elementary Schoolno interestpublic service career student loan repayment Federal Funds Ratetax ID theftloan necessitydon't defer interest paymentsHSA tax savingshome insurancepositiveclosing disclosure8 Rulesno fee transferretain separate credit cardsno tax on withdrawlsschedule vacationdebtemergency fund savingsInflation Benefitsetup automatic savings withdrawstay positiveSuze Orman's Money Warscan you afford itrefinanceallowanceInvest for savings growthFRABeautyhighest possible benefitHDHP'sSuze is my biggest mentorcommitdeath benefit 20 to 25 times annual incomeidentity fraudBankruptcytaxesspecial saving accountfinancial independencemonthly dental insurance premiumno private loanlow mileage discountMost Influential Celebrities Listraise insurance deductiblehigh deductible health care planMothernew carno private loansget health insurancefinancial argumentsretirementstrained relationshiplong-term care premiumsthree year car loanfile taxes quicklyearn allowancecharges on credit cardfraudulent returnvalentines dayprofessional advisorbudgetsuitabledon't blow tax refundAARPstudentco-sign don't buy wantsdeath benefit needs for familyallowance taskhigh down paymentFICO credit score credit card mortgage4 Must Have Documents graduationmoney vowscollege graduatedream schoolcommunity bankuniversal college accessfinancial concernnot gender specific insurance3 savings buckets focus on new truth short term goal Financial Power of Attorneydon't spend paid vacationunsubsidized Stafford loannon conventional routefinancing car max employer matched 401(k) contributionCredit Card Interest RateFinancial Advicecostly legal Suze Orman ScholarshipFinancial SystemUrbana-ChampaignSuze changed my lifesecured cardstudent loan repayment planStaffords this year have a fixed 6.8% interest ratecostly insurance mistakeraise deductiblesat worst still pay 75% benefitsocial security not going brokeCOLACredit scorefull retirement agehigher insurance deductibleSatisfyingbad decisionscut monthly cellular billno splurge spring summer 20% down payment avoid feesInfluential Celebritylow down paymentSuze approvedback-to-school budgethealthy youaffordabilityretirement accountsno sneaking in feesalternative FICO scoreadvice for college graduatesmonthly benefit high credit score discount8 month emergency fundRevocable Trustprotect loved ones Revocable Living Trusthome buying budgetSave Us Moneyprotect and provide for minor child HolidayARM2016 adjust estimated taxhome loan credit score below 740 one credit cardCD'speace of mindlower interest ratelife insurance name trust as beneficiaryExhibitionAmy Lacyethome buying mistakesswitch to spouse coverageresponsibleFinancial Gift Cliffraising interest ratesAmericans don't use all paid vacation timeis it true? adult childrenbuy home you can affordsocial workSpendingno waiting periodovercome financial fears740 credit scorereduce monthly paymentNewtownaccelerate dental workGay Couplesholiday spending40% toward financial goalconfidentdear suzeRichmarriage inequalitywives should be involved in retirementescrowfinancial goal phrase20% equityretirment savingsengaged in financescompare provider pricingstandard deduction interest capitalizationproperty taxdental discount plangrandparent IRA contribution healthy aging zero rate transfer dealsteenssame sex marriage band end Floridarequired disclosuregay marriage ban end Florida 3 step financial road mapLifestyleTeachinsurance yearly reviewlive below your meansswitch to roth 401(k)pay down student loan debtfocus on needsRoth 401(k)ultimate compounding giftGoodbyeteach your child good money habitsfinancial aidLoveautomate student loan paymentsprovider of financial supportpaid in fullhigher monthly paymentleave a legacysidelinedcalculate dependents annual income needsFinancial Cliffno retirement funds for down paymentMarlo ThomasFHA loan feesautomatic withdraw to savings meet monthly pay credit debt ASAPgift grandchild IRA contributionletter to suzeCollege of Veterinary Medicineemotional stakessocial securitypay down car loanis it kind?percentage men widowed 75-84origination feesalways use all paid time offlower premium20% down paymentdon't derail retirement savingsbest interest of investorhigh premiumsCory Booker!00% tuition paidbill paying prioritiescar leasingHow To Build CreditGiftlowest cost fund optionrefundUniversity of Illinoisiffy incomeunexpected expensenear historic lowsrepay student loansloan big picture 19 years cash flow problemyours, mine & oursNew York LifeCommencementbreakdown projected monthly housing costHoliday Seasoncreate new truthFree Debt Eliminatorborrowing plan earn more on savingsmarriage financial responsibilityincentives for health care wellness screeningcnbc alarm clockBaby Boomersage appropriate goalsritual schedulenot enough life insuranceno apologychildren's bookConventional loan PMIEmergency Savingsonly refinance if it paysDurable Power of Attorney for Health Careresponsible with moneytoo expensive schoolmax benefit coveredWillplan2015 financial roadmap401Kwomen live longerincrease retirement contribution rate401(k) Contributionsreal estate mistakesMortgage Credit Availability IndexCombo Insurance ProductsHigh Credit ScoreFICO at least 720don't charge a pennyWarner Bros Television GroupCivil Rightsoverspend on dining outHDHP's are good for youVeterinary Schooldoctors in networkworkaholicrising home prices20 to 25 times annual incometraditional vs roth 401(k)kid borrow firstAccuQuote.comRetirement Incomewould you decline a bonusForeclosuredo not pay allowance for good behaviorreduce withholdingHeartSelectQuote.comCommunication Skills is it necessarystudent loan debtPersonal Financeverify wellness screening and programssame-sex marriagemobile appgift not loanMass Mutualraising mortgage rates be true to yourself2016 adjust withholdingburn outOverspendingsummer job match income Federal PLUS loanbetter termsdoctor no longer in networkYoung Adult preexisting condition not coveredCNBCwaive home inspection bidLTC shoppingPhyllis Shelton expert long-term carerent vs buynegotiate points with bank or sellerLong Term Care Insurance lousy investmentraise your deductibleCPI-WEmployer Matched Contributionpaying for collegeSchool of Social Workget credit card2015 record year car salescomparison shoppingdon't use allowance as bribe10 year repayment plan don't do five year car loancredit reportget the most out of social security mortgageunder 18 financial gifthealthy gumslower ratefour steps to retirement savings closing feesCiti Simplicity Card Legal Guardianterm life insuranceadjust allocations home buying seasonpay 100% cashkeep a scheduleadd teenoverspend on nights outhealthy retirement weightstaycationbuying a carLTCPBS Specialborrow each year, capitalization is going to pile up initial tax break exercise reguarlyfiduciaryemployer funding HSATelepicturesface your financial fearMoney-Savingonly offered while employed best interest ratesfinancial fearsSuze Orman spouse Kathy Travisrequire chore in exchange for allowanceannual cost of living adjustmentreplace permanent life insurance with termhome ownershipAARP Social security calculatoris it necessary?eight month living expense New american Dream anticipated salarylet them have 50% control15 year mortgageBill and Pennymoney-aware childLong Term Care premiumsstandard ratepowerfulSelfishhealthy retirement blood pressurecredit utilization ratepresident ObamaFICO ScoreHDHP Eric Dodge manage student loansfamily save at least $100 monthlyWall Streetdebit cardtake action50 over 50ETF'smental healthmaintain standard of livingFinancialbig results push yourself to save more for retirementPrime Rate Increasemortgage disclosureretirement planenjoy saving no life insurance financially irresponsibleconsider roth 401(k)balance transfer emergency fund Moneyinsurance mistakeno late fee successbe good examplemultiple lendersdental insurance mortgage interest tax deductionteens and moneytelevision hostdepreciating asset Washingtonemployer offered life insurancederailed planFinancial Solutions For Youcontribution Swap Older Annuities or Life Insurance do you need life insuranceForbesincrease emergency savingsbest loan deal dangerous money seasonstretch out haircut appointmentseliminate credit card debtBank15-year refinance dealitemized deductionprotect dependent Pay Off Debt Before Retirementcommunity collegewomen long term careopen enrollment review better loan dealscollege studentPost-DivorceForbes Top 10one annual feelower mortgage interesthome related tax break bonus Student LoanHDHP/HSAStudent Debt Crisisdangerous retirement planloan is giftAuto Savings 8 month safety nettax refund fraudidentity theftHoliday Shoppingloved ones dependent on incomecontribute household expenses buy down reduce interest rateage appropriate chorevalue moneycredit managementlow credit score3 bucket approachCredit Card Rate IncreaseHDHP's are not badLTCi ASAPincrease retirement savingsprescription tierpremiumfile asapHigh FICO Score = Better Ratebad retirement planningbuying car 2016shorter payback periodprotect your familyJose RodriguezInterestchildren under 18small changes write new goalMust Have Documentssocial security never insolventheartacheignore 6 month grace period Financial Educatorcut monthly cable billMinor Children Suze Ormanlower overall drug costAlarm ClocksavingsFiscal Responsibilityquick closingStudent Debthome budget after tax coststore credit cardsloan no longer than 36monthshealthy teethtitle insuranceverify retirement plan with HR or plan sponsorpay more than minimumChanging Livespurely financial standpointlong term goalpermanent life insuranceaffordable premiumbuy homeStock InvestmentsLong Term Care shoppingmortgage brokerfederal student loan deferment percentage of women widowed 75-84car loangrandchild summer job IRA contributionkids schedule paymentsmax employee matchdon't extend mortgage 30 year mortgage Adequate Auto and Home InsuranceGraceFinancial Awareness Video Festivalclosing costs 2% of loanPrime Rate Rise 2015Fixed Rate Mortgagephysical healthcouple financesFinancial AwarenessFederal Reserve6 month waiting periodVital Documentsbecome member rolloverlearn good financial choicesback door Roth IRAlow-cost index mutual fundDeath Benefitbe kind to yourselfThe Suze Orman Showcommissionsteach importance of helping othersMoney Marketsave moneyno negativitydebt freeFundsdon't ignore open enrollmentEasy Life Insurance compare monthly expensesreal estate marketschool Federal Stafford loanconfident of solutionGay Rightsterm insurancewomen outlive men3% debt transferred US Tax CodeFinal Goodbyecost of capitalization calculator2017 Taxesmake saving a pleasureget over life insurance phobiajuggle multiple financial goalsapproved medical 100% tax-freeOne Wallet At A Time20 year level term referrals long-term care life insurance10% donate to charitysecure creditshop online guaranteed level term policyautomatic paymentIRA contribution gifted moneysave avoid burn outdental savings planInfluentialspay high rate off firstjanuary billspay interest while in schoolknow before you oweSandy Hook Promisepay off debtgift up to 14,000ARM Cautionpoint cost offset by savingshigh FICO scorecredit unionroth iracredit cardincreased auto insurance premiumoverspend on giftshousing marketUniversity of Floridasavings pleasurestudent loan repaymentcar buying mistakeslong term careworst financial mistakedon't cover cosmetic dentistrywomen longer life spanspeak new goalGiftsinterest on student loansbetter loan ratesstudent loan repayment estimator


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