One of the major predicaments which couples face after their engagement is where to start. In fact, once the groom-to-be pops the BIG question, the bigger question that looms often is: “What do we do next? Setting a budget for your wedding should ideally be the first decision you and your fiancé(e) make together after becoming engaged. Here are some simple steps you can follow to get started on your budget:

1. Visualise your ideal wedding and honeymoon and make brief notes. Don't be afraid to “dream big” since this is how you can find many good ideas for planning your special day. Here is where you need to get specific, regarding the estimated number of guests to be invited, ceremony and reception venues, attire and honeymoon etc. Be sure to build in a contingency figure for incidentals or for any unplanned issues.

2. Sit with your fiancé(e) and determine how much money you and/or your families are both willing to contribute to the wedding. It may be necessary to use some of your savings and/or establish a savings plan until the wedding. The percentage of your salary you choose to save for your wedding depends on your current financial standing and other financial priorities, such as buying a house, current loans etc. It may also help to enlist the services of a financial planner at this stage.

3. Take the major elements of your fantasy from Step 1 and try to obtain preliminary quotations from suppliers. Be wary of asking friends or family members about what they paid for services, since sometimes these figures may be out-of-date and/or may have been out of the scope of your “wedding project”. However, obtaining feedback from recently married friends/family members may prove useful if you want ballpark figures to work with. Once the quotations you receive, fit into your budget and your fantasy, then you are all set to go on to the next stage of booking suppliers.

However, in practice, a smooth transition through Steps 1, 2 and 3 is not very common. Therefore, most likely, you will have to re-visit your budget and then choose to invest your funds into the elements which you both find most special (for example a smaller reception for a more expensive honeymoon or a large reception and a shorter honeymoon). This series of compromises requires good communication and is good ground work for marriage later on. When budgeting, also remember that a critical area to budget for is your living arrangements post-wedding!