Beauty, elegance, and allure — all words to describe the breathtaking sparkle of a diamond ring. It's no surprise that diamonds are the go-to choice when it comes to proposing marriage or celebrating a milestone anniversary. 

But what’s the price range for diamond rings?

According to The Knot’s 2022 Jewelry and Engagement Study, the average cost of a diamond engagement ring in America is $5,800. The study also finds that 25% of those surveyed spent between $1,000 and $4,000 on a ring. Big spenders, who account for 7% of Americans, splashed out more than $10,000. 

But why does the price vary so widely? Read on for factors that affect ring cost, tips to help you pinpoint the right price range for you, and how you can earn up to $1,000 toward your purchase with Accrue Savings.

The huge price variation for diamond rings is due to the many variables that affect their cost. These include:

The 4Cs of diamonds

Fine diamonds are categorized based on the “4 Cs”: carat weight, cut, color, and clarity. These elements determine the quality and value of the diamond.

Carat weight

Carat weight is a diamond’s physical weight, measured in carats. It’s not the size as most folks think. A carat (1ct) equals 200 milligrams (0.2g) of diamond mass. Two diamonds with the same carat weight can have different sizes and appear larger or smaller based on their shape and cut. 

The higher the carat weight, the more expensive your diamond ring will be. A high-quality 1-carat diamond engagement ring will cost you $6,500 to $7,500 at a retail store, $3,000 to $4,000 online, and over $10,000 at a jewelry store. 

Cut of diamond

The diamond’s cut quality refers to its proportions, symmetry, and polish. It determines the diamond’s brilliance and is achieved by a jeweler through precise angles and facets. 

A well-cut diamond refracts light more effectively, creating more intense sparkle and fire than a poorly cut stone. Only round diamonds are awarded a cut grade, with ‘very good’ and ‘excellent’ cuts being the most desirable and expensive.

Color

Diamond color is graded on a scale from D (colorless) to Z (light yellow) based on the stone's absence or presence of color. Colorless diamonds are the highest quality, most valuable, and have a D-F rating. 

As you move farther down the grading scale, diamonds pick up subtle yellow or brown hues and are significantly less expensive. The American Gem Society Color Grade Scale assigns a number to the color of a diamond, with 0 being completely colorless and 10 being light yellow.

Clarity

The clarity of a diamond is its measure of purity and rarity and the degree of visibility of inclusions and blemishes. Inclusions are minor imperfections that occur naturally when a diamond is formed, while blemishes are scratches, chips, or other surface characteristics caused by abrasive force. 

The GIA Diamond Clarity Scale categorizes diamonds into six clarity grades, ranging from Flawless (FL) to Included (I-3). Flawless diamonds are the rarest and most expensive, while Included diamonds have visible inclusions when viewed under 10x magnification hence a lower price tag.

Additional factors that impact the diamond ring price

Apart from the 4Cs, a few other factors can affect the price of your diamond ring. Diamond shape, metal choice, ring design, and the brand you choose all play an important role in determining the cost of your dream engagement ring.

Shape

A diamond shape is the stone’s geometric appearance categorized into two main categories: Round (brilliant) or fancy. Round diamonds are the most expensive shape. Modern round brilliant cuts feature 58 facets to optimize brilliance, fire, and scintillation. Light reflects, refracts, and disperses off all facets, creating intense sparkle. Non-traditional shapes such as princess, cushion, pear, marquise, and heart are more affordable.

Type of metal

The metal you choose for the ring band and setting affects the overall cost of your diamond ring. Typical choices are platinum, 18K yellow gold, 14K white gold, rose gold, and mixed metal. 

Platinum is the most expensive and durable metal, followed by yellow and white gold. Rose gold is the least expensive option. To maintain its bright white hue, white gold must be re-plated with rhodium every one to two years.

Ring design

The more intricate the ring design, the more expensive it will be. Classic solitaire engagement ring designs feature a single diamond in the center, while three-stone settings feature two diamonds on either side of the center stone. 

Unique design elements such as decorative metalwork, diamond accents and details, intricate side stones, milgrain edges, and engraving will also add to the cost.

Brand

Branded jewelers are well-known for their quality assurance and craftsmanship, but you’ll pay a premium price tag. Established brands may also offer additional benefits, such as complimentary cleaning and repair services and an extended warranty to protect your investment. 

Popular brands include Tiffany & Co., Van Cleef & Arpels, and Cartier, but there are also many smaller independent jewelers who specialize in creating bespoke engagement rings.

Engagement ring prices depend on several factors, like the size and quality of the diamond, the type of metal used in the ring band and setting, and how intricate or fancy the design is. A colorless diamond with no blemishes or inclusions will cost more than a diamond with a lower color grade and visible inclusions. The cost also varies depending on what brand you choose.

On average, a one-carat diamond ring ranges from as low as $2,500 to as high as $18,000, depending on the stone’s cut, clarity, color, and carat weight. A 2-carat diamond ring typically costs between $8,400 and $58,000, while a 3-carat diamond ring runs between $21,000 and $153,000. Where you buy your diamond ring can have a significant impact on the final price tag.

Shopping online is a great way to find the best deals on quality diamond rings. Blue Nile and James Allen offer a wide selection of certified loose diamonds and fine jewelry at competitive prices. Jewelry stores in upscale malls or boutiques tend to be more expensive, but it pays to shop around and compare prices before purchasing.

Finding the perfect ring is a delicate balance between budget and style. You want something beautiful, timeless, and within your price range, but the massive selection of diamond rings can be overwhelming. Here are a few tips to help you make the best choice:

Know the origins of the stone

A reputable jeweler will have the Gemological Institute of America (GIA) certification for natural diamonds. This is your assurance that the stone is conflict-free and ethically sourced. GIA grades each diamond to high scrutiny for cut, clarity, color, and carat weight by passing every stone through two graders to ensure accuracy, consistency, and impartiality. Ask the jeweler to provide the GIA certificate for any diamonds you purchase.

Lab-grown diamonds are increasingly growing popular and are a more cost-effective alternative. They are created in a laboratory but are chemically, physically, and optically identical to mined diamonds. Lab-created diamonds must be certified by the International Gemological Institute (IGI) to guarantee their quality and authenticity.

The ring setting and style shouldn’t be an afterthought

Last-minute decisions on the ring setting can be costly. Take time to consider what type of metal, design elements, and accents best complement the diamond. 

• Do you want a classic solitaire or a more elaborate, vintage-style setting? 
• Do you prefer yellow gold, white gold, rose gold, or platinum? 
• Should the band be plain or adorned with precious metals and diamond accents? 

Browse through different rings and settings to find inspiration for the style you’re looking for. Involve your partner in the selection process and ask for their input. A professional diamond retailer or designer can also help you find the perfect combination of metal, gemstone, and design to suit your budget and style.

A stone doesn’t have to be perfect on paper

Don’t get too hung up on the paper grading of a diamond by the GIA or IGI. Most people can’t discern the subtle differences between a D and an I color grade or the minor nuances in clarity. A lower grade may surprisingly display more fire and sparkle than a higher grade diamond.

Look at the diamond with your naked eyes and judge its beauty based on what you see. Does its sparkle, fire, and brilliance captivate you when you put it on? That should be the deciding factor. 

Don’t be too quick to dismiss a diamond that falls outside your ‘perfect’ criteria. Instead, look at each stone individually and make decisions based on your perception of beauty.

Find out how you can earn up to $1000 towards your diamond ring with Accrue Savings

Diamond rings are a timeless and beautiful way to show your love and commitment. They are available in different carat sizes, cuts, and quality grades to suit all styles. Their hefty price tag, however, can be intimidating. Making a one-time $5,800 upfront payment can throw your finances into a tailspin.

Accrue Savings offers an innovative solution that helps you save for your dream diamond ring in a stress-free manner. After registering for an account, you must set your savings plan, which can be as low as $1 a week or $50 a month, depending on your flexibility. As you save, you’ll earn cash rewards of up to $1,000 from your favorite brands, helping you reach your goal faster. You can pause and adjust your savings plan anytime without penalty. 

Our partners for diamond rings include:

• Kiefer: Set up an account, deposit your first $1, and along the way, Kiefer Jewelers will kick in 10% toward your purchase. Once you reach your savings goal, you can buy your dream ring instantly using a virtual debit card preloaded with your savings and rewards.
• The Clear Cut: You will earn 5% of your diamond’s purchase price in rewards from The Clear Cut. When you hit your target, The Clear Cut will send you a virtual debit card with your savings and rewards, so you can get your diamond ring quickly and securely.
• Everelle: Everelle will contribute 8% of your diamond purchase price in rewards once you register and make your savings. Everelle will provide you with a virtual debit card when you are ready to purchase your ring, loaded with the total savings and rewards you have earned.
• Friendly Diamonds: Along the way, Friendly Diamonds will provide 3% of your diamond’s purchase price in rewards. Your virtual debit card will be loaded with the total savings and rewards you have earned when you are ready to purchase your diamond ring.

Don’t let a tight budget stop you from buying the diamond ring of your dreams. With Accrue Savings, it’s easy and stress-free to save for your dream ring and other high-ticket items in a manner that fits your lifestyle. Browse our partners today and get started on creative and affordable ways to make your dreams come true.