It’s possible to quickly learn how to save for a wedding and a house by going through three steps. Each step for saving for the wedding and a house at the same time is realistic, so you won’t feel pressured to reach your goals.
We’ve also included how much a couple should have saved for a wedding and a house. And if you’re curious, here’s how to pay for a wedding.
How To Save For A Wedding And A House In 3 Doable Steps
Meet halfway and discuss values with your partner
- Discuss your values with your partner, as it can help you handle all the savings needed for the wedding and property
- It’s essential to be honest and maintain open communication regarding your financial capacity and spending habits together
- Saving for the wedding and a house can be overwhelming, but you can avoid potential issues like a lot of debt and fights because of one person splurging irresponsibly if you talk beforehand
- Discuss your life plans and how you think they can happen
- Keep an open mind to constructive criticism and advice if it means helping both of you reach your financial goals
- Besides saving for a wedding, you should also talk with your partner about how you envision your dream wedding
- Brainstorm how to achieve the wedding you both want while still being realistic
- Reach a middle point about the house that both of you want
Plan the budget based on savings and income
- After laying your values and goals, the next step is to save for a wedding and house
- Develop a budget based on your savings and the consistent amount you’ll earn, such as the money from your income or business
- If it’s impossible, you don’t need to save for the wedding and a house in the same time frame; you can prioritize one over the other, whichever is more realistic
- Create a wedding budget and decide the size and type of wedding you can achieve with it; you don’t need a luxurious event with 100 guests if your budget only allows for a simple wedding with under 50 guests
- Most couples might opt for a loan for their new home with a low down payment
- Set enough budget to pay for the down payment
- Make sure you also have enough savings for emergencies such as health issues, accidents, or job/business problems
- Make the necessary adjustments and compromises, but ensure that you and your partner feel that you’re both heard with your opinions and sacrifices to afford the wedding and home
Set goals to save for the wedding and house
- After planning the budget comes the strategy to achieve the wedding savings and property savings you should have based on the timeline you discussed with your partner
- To keep savings steady, plan with your partner if you want to work on separate time frames for the wedding and a house; if you can do both, then you must save for the house and wedding in equal amounts
- You can calculate how much you’ll need to save each month based on the wedding date you want and the down payment for the house
- Get price quotes from different wedding vendors and finalize the number of guests you want for the wedding
- Use a mortgage calculator to know what home you can afford based on your combined income
- Consider having dedicated savings account to track your savings and organize everything in one place easily
- You should also have another account for emergency expenses, especially for the wedding
How Much Money Should You Have Saved For A Wedding?
How much money should you keep to save for a wedding? It will depend on the budget you need for the wedding you want, guest list size, and financial capacity.
Will you be saving for a wedding by yourselves, or do you only need to save half of the wedding budget because your parents will sponsor you? Furthermore, some couples, especially those together for longer, have been saving for their wedding for a long time.
That said, a safe amount you should have saved for the wedding is equivalent to your annual salary. So if you can earn $50,000 in one year, your savings for the wedding should be the same.
How Much Should A Couple Have Saved For A House?
Couples who plan on saving for houses should have 20% of the price of the home that they want to buy. This way, you’ll avoid private mortgage insurance if you choose a conventional mortgage.
You should also save for the closing costs when buying a home. Typically, they reach as much as 5% of the total home purchase price, so plan your savings accordingly if you’ll also get married before buying a house.
Here’s how to have the cheapest wedding possible to cut costs for the wedding.
What Comes First Wedding Or House?
It would be more practical to save for a house first as it’s a more significant financial responsibility than a wedding. You and your partner will feel more at ease securing a property without sacrificing your dream wedding.
Was this guide helpful? To recap how to save for a wedding and a house, discuss your values with your partner, plan a budget, and strategize your savings.
It’s possible to buy a home and save for a wedding, but be realistic with your financial capacities and priorities. Some couples buy a house first as it’s a bigger amount to save for.