3 Reasons To Cut Back on Wedding Costs and Save or Invest the Money Instead
Written by
Choncé Maddox
Edited by
Ashley Barnett
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Weddings are joyous and memorable occasions, but they can also be incredibly expensive. Recent research conducted by BadCredit.org reveals that an estimated 580,862 couples will not be getting married this year, with many citing financial and credit constraints as the reason.
The pressure to meet societal expectations for a grand wedding can lead couples to make financial decisions that may not be in their best interest. Here are three reasons to cut back on wedding costs if you prefer to save or invest the money instead.
1. You Want to Start Building a Strong Nest Egg Now
Starting your married life on solid financial ground is crucial. One of the best ways to do this is by saving and investing the money you would have spent on a lavish wedding. While the average wedding in America is $35,000, you can budget to spend much less than that on your big day.
Then, save and invest the rest. You could build an emergency fund, pay off debt, or increase contributions to retirement and other investments. Building a nest egg early can provide a financial cushion for unexpected expenses and future investments.
2. You Have Plans to Buy a Home
With home prices on the rise, saving for a down payment can be challenging. Cutting back on wedding costs can help you save more money for this significant investment.
The money you save on your wedding can be put towards a down payment, making it easier to qualify for a mortgage and reducing the amount you need to borrow. This can result in lower monthly mortgage payments and less interest paid over the life of the loan.
You can also use any extra cash to pay down debt and improve your credit score, which will help you get a better interest rate on a mortgage.
3. You Prefer a Small and Intimate Experience
Weddings are deeply personal events, and it’s best to prioritize what you and your partner want most. A small and intimate wedding can help cut back on costs without compromising on the quality of your celebration.
A smaller wedding allows you to focus on the details that matter most to you, whether it’s a picturesque outdoor ceremony or a cozy gathering with your closest friends and family. With fewer guests and accommodations, you will naturally spend less money, so more funds can be directed toward building savings in other areas.
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