HOW TO CREATE A REALISTIC BUDGET

Once you have a good idea of what you want you’re celebration to consist of, you need to determine if you will have the money to create such a vision. Don’t worry as you go through this section as you may need to revise your plans to fit your budget. This is a natural part of

planning. Most of the decisions you will make regarding your wedding will be determined by your budget. This may be a sticky subject for both of you but with the costs of weddings today, every couple needs to have a budget unless you are like a few fortunate individuals and have an unlimited amount of money. Also, it’s important as you start your life together to get into the habit of financial planning since you will have to continue this throughout your married life. Knowing how much money you have to spend, and then staying within or less than that amount, will make the whole planning process easier. No matter what amount you come up with there are lots of creative ideas and money saving tips to help you create a memorable, romantic, and special affair.

Weddings can be an expensive proposition especially when you consider this expense is only for one day. Today the average wedding costs between $15,000 and $20,000. The following is an estimate of the costs for different styles of weddings:

·                   Informal          $5,000 or less

·     Semi-formal         $6,000 to $7,500

·     Formal                $10,000 to $15,000

·                   Ultra-formal     $40,000 or more

In determining your budget, you will first need to start with a ballpark figure. You may be asking yourself how will you even get to a ballpark figure since you have never planned an event of this caliber before  and are not sure what’s all involved in the process. The following is a list of items where you will be putting the most of your money:

Ø   Reception

Ø   Photography

Ø   Flowers

Ø   Bridal Gown and Accessories

Ø   Videographer

Ø   Music

Ø   Wedding Bands

Ø   Invitations

Ø   Transportation

Ø   Groom’s Attire and Accessories

Ø   Miscellaneous

Of these areas, the largest expenditure is the reception which is normally 50% of your total budget. This is followed by the Wedding Consultant at 10 to 15% then the photograper and flowers which is 7 to 10% of your budget. Now that you know what areas you are going to spend your money on, you will need to determine who else besides yourself will be contributing to the expenses.

Traditionally, the bride’s parents pay the majority of the wedding costs. Now with more couples working, over 70% of all brides and grooms pay for their own wedding. How you determine who will pay for what is really up to the you, your parents, and the groom. There is no absolute rule  on who pays for what. Keep in mind the bride should always let the groom discuss any finances with his family. Also, the more the groom’s family is contributing to the expenses, the more  input they should have in the planning. The groom’s family should never assume the responsibility of paying any cost other than the traditional groom’s cost without first asking permission from the bride and her family. The bride’s family may decline the offer to share costs if they wish.

The following are different ways to divide up the expenses among the contributing parties:

·                   The bride and groom pay for the entire wedding as mentioned above.

·                   The costs are divided into thirds; the bride’s family, the groom’s family, and each couple pays one- third.

·                   One-half of all the expenses are paid by each family.

·                   Assign various expenses to the bride and groom, reducing the financial obligation of the parents or specify individual costs that each family  pays. For example: the bride’s family pays for the ceremony costs and the reception food while the groom’s family pays for the cost of flowers, liquor, and music.

·                   All expenses for the ceremony and reception can be added together, to arrive at a per-person cost; then both sets of parents pay for their respective guests.

·                   Groom’s family pays for the entire wedding. This is normally the case when the bride’s family is deceased or this is the groom’s first wedding and the bride’s second.

·                   When the bride’s parents are divorced, the expenses can be paid for by the father, mother, or they  may each pay a portion depending on their finances. Many times the wedding is hosted by whom ever raised the child.

To help determine who should pay for the wedding expenses, review spreadsheet “Traditional Expenses” to gain an insight of the traditional breakdown, then use spreadsheet, ‘Total Cost To Be

Paid By” at the end of this section to determine your own. Also review spreadsheet “Breakdown of Expenses” at the end of this section to gain a better insight on what items in each area may cost. These items are only ranges but could help you determine what items you may need to budget for. After you are finished, you should have a good idea of what your ballpark amount is.

Also, to ensure you will actually have this amount to work with you may want to consider the following budget tips:

·                   Start saving early and set-up a savings plan. It’s a good idea to set aside 10% to 20% of every paycheck from now until the wedding. Make efforts to cut back on your expenses.

·                   Open a separate bank account only for your wedding.

·                   Do wedding related tasks yourself when possible or ask your friends and family to help.

·                   Hire a Wedding Consultant to assist you with your planning. A consultant can help you make the most of your budget.

·                   Work out your budget with your groom and make sure both of you agree with the wedding budget you work out.

Once you have set-up your ballpark figure and have a plan to ensure you will have this amount, you will want to break your budget amount down into expense categories to help you know  how much you can spend in each area.

At the end of this section is a sample break down of the categories mentioned earlier and sample percentages for each. The percentages are based on the average wedding and are not set in stone but can be prioritized or changed to reflect what is most important to you. For example, if having a more

lavish dress is more important then the pictures the photographer will be taking, you can increase the percentage for your dress and reduce the percentage on the photographer. By prioritizing and moving the percentages around to meet your own individual needs, you will be able to reduce or

eliminate some of your expenses. Use spreadsheet “Wedding Costs” at the end of this section to prioritize and determine your own individual expense percentages.

Once you have estimated your wedding costs, use spreadsheet “Expense Record” at the end of this section to track your budget and stay on track. Be sure to take your expense record out when you are

visiting vendors or making purchases of any kind. By recording and investigating each item, you can host the wedding you have always wanted with out ruining your budget or going into debt.