It seems the Australian dream of home ownership is shifting, as couples begin to place more financial importance on a single day instead – their wedding day!
The latest figures released in Bride To Be magazine’s bi-annual Cost of Love study has shown the average Australian couple spends $54,000 on their wedding. That right there – is a sizable home loan deposit.
The study also found that $6000 of that was put onto credit cards and $12,583 was borrowed money.
So is the cost of a modern wedding becoming inflated or are our tastes now more extravagant?
New statistics show an alarmingly-high number of couples spend a large chunk of their savings on their romantic day.
Yet a separate report tells a more sombre story, which should be a warning to the newly engaged.
Latest Australian Bureau of Statistics (ABS) figures show that along with the 123,244 marriages registered in 2012, there were also 49,917 divorces granted. At that rate, 40.5 percent, almost half, of Australian marriages today will end in divorce.
From the same report, the average lifespan of these marriages were 13.2 years for men and 12.4 years for women. At that rate, the cost of the wedding equates to over $4000 per year of married life.
Still not convinced that 10-tiered wedding cakes, bucks night in Vegas, doves, designer gowns and harbour side venues are an overindulgence? These figures may help put costs into perspective.
A home loan deposit
ABS says the average home loan in Australia is $319,000. A10 percent deposit – at $31,900- is 40 percent less than the amount Australians spent on weddings in 2013.
“If you already own a home before you get married then you are ahead of the game. But if not, you need to consider if you really want to put your savings into a wedding, rather than a home you will live in afterwards,” chief executive officer of RateCity, Alex Parsons, said.
A year at work
The average Australian full-time net wage for males is currently $61.778 and $52,328 for females, ABS data shows. Leaving aside the issue of gender inequality for now, you can see how spending an entire year’s salary on one day may not be the best use of your hard-earned money.
Think back to the year that’s passed – the ups and downs, the late nights, nagging bosses and office reshuffles. Would you do that all again, work an entire year, just to pay for your wedding day?
A new car
Fancy a new set of wheels? For $54,000 you could be driving off in a range of brand new cars, including luxury brands like Audi and BMW.
Sure, purchasing a car is an ongoing expense and not a popular investment choice but it will get you from A to B and carry your future children to and from day care.
A round-the-world trip
Admittedly the cost of a wedding typically includes a fun trip at the end – the honeymoon. But just think how much more you could cram into your honeymoon if you pulled back the budget on your wedding day. A two week honeymoon in Fiji could quickly become a safari in Africa, a tour of Europe or a trip around the globe.
But it’s not all bad news. After all, it’s your money and your life to do with as you wish. So if you do wish, don’t let a few statistics get in the way of the biggest day of your life.