Financial Planning for Major Life Events
The True Cost to Tie the Knot
We wanted to know just how much a wedding actually costs if you charge it on a high-interest credit card versus how much it costs if you pay in cash. Watch the video to see the staggering price tag for wedding purchases put on a credit card.
Marriage – such a blissful time planning a wedding. Until… AHHH! It costs how much?!?
How much more would it cost for a wedding if you charged everything on a credit card? Well, we’ve broken it down for you. The cost of an average wedding is over $30,000, and that’s not including the honeymoon.
The average wedding dress is about $1,300, but since you’ve used a credit card and it has a 15% interest rate, if you just make minimum payments it would take over 6 years to pay off and you’d end up spending about $750 above retail.
Guys get off easy and only have about $250 to spend on their outfits. But with a 15% interest rate, making minimum payments it would be paid off in 11 months for a total of $273.34. Not too bad.
Invitations run about $440, but if you were to make minimum monthly payments the cost would be closer to $500.
A wedding ceremony, including the location, officiant and accessories costs about $2,200, but if you use a credit card with a 15% interest rate it could take you 10 years to pay it off and an extra $1,600.
On average, wedding décor and flowers cost about $2,000 but if you charge that amount it could take up to 10 years to pay it off and you’d pay an extra $1,500 above the original price.
Catering costs take the cake or, I should say, a big chunk of your money. Feeding your guests, on average, is the most expensive component of a wedding, weighing in at a whopping $9,803. Charging this on a credit card could leave you paying DOUBLE the original price and take nearly 20 years.
The memories from this special day will last a lifetime, but so might the debt you take on from capturing these memories. The average cost of photography and video is $4,350. This means you could be spending nearly 14½ years and it could cost double the amount of the initial price.
Music for the ceremony and reception comes in at about $1,700 and it could take nearly 8½ years and cost you $2,900 if you use a credit card with a 15% interest rate.
The average price for wedding transportation is about $770, but if you put this on credit and only make minimum payments, it could take you over three years to pay off the transportation costs and cost over $200 just in interest.
If after all this, you’re ready to elope, we understand. But we hope you have the best wedding you can afford without using high-interest rate credit cards to finance it.