Weddings: Money-Making Or Money-Draining?

Weddings are expensive, and it's no secret that planning one can be daunting, especially when it comes to finances. The average wedding costs $30,000, with venues averaging $11,200. That means couples are spending more than half their wedding budget on the venue alone. So, do weddings make money? It depends. While it's uncommon for couples to profit from their weddings, it's not unheard of, especially in certain cultures where cash gifts are the norm.

Couples can make money from wedding gifts

While it is uncommon for couples to make money from their wedding, it is not unheard of. In some cultures, it is customary for guests to give money as wedding gifts, and in some cases, this can result in the couple receiving more money than they spent on the wedding. This is more likely to occur if the couple's parents paid for the wedding, allowing them to pocket the cash gifts.

In certain cultures, such as Chinese, Vietnamese, Filipino, and Indian weddings, it is typical for guests to give generous monetary gifts. In these cultures, weddings are viewed as community events, and guests often expect to give enough to cover their share of the wedding costs. This tradition is also seen in some European families, where it is common to keep a log of who gives what to ensure equal gifting in the future.

The amount of money gifted can vary depending on the guest's relationship with the couple, their budget, and whether they bring a plus-one. While the standard etiquette rule suggests gifts between $100 to $250, it is not uncommon for guests to give more, especially in cultures where cash gifts are the norm.

In addition to cultural factors, the size of the wedding also plays a role in the couple's potential to make money. A micro wedding with a smaller guest list can significantly reduce costs while still allowing the couple to enjoy the traditional elements of a wedding, such as a photographer, wedding dress, and flowers.

Some couples may also choose to DIY their decorations or turn their wedding skills into a business, selling their creations to other couples. Others may enter contests or use their social media influence to score brand deals or sponsorships, essentially getting their wedding paid for by companies.

While making money from a wedding is not the norm, it is possible through a combination of cultural traditions, thoughtful planning, and creative strategies.

Wedding venues are lucrative

With such high demand, it's no surprise that wedding venue owners can charge a premium. Profit margins can reach as high as 50 or 60 percent, and even a modest 20 percent margin can still bring in an average revenue of $100,000 to $500,000 a year.

Of course, there are challenges to starting a wedding venue business. The initial startup capital can be a significant barrier, ranging from $50,000 to $150,000. Finding the right location is crucial, and there are various licenses, permits, and insurance requirements to navigate. However, with thorough market research and planning, it is possible to succeed in this lucrative industry.

The key to success is finding the right location and niche for your venue. Scenic venues, good parking, transport access, and a unique theme or gimmick can all attract customers. It is also essential to establish a clear target audience and ensure your venue meets their needs. Marketing is also vital, with social media and referrals playing a significant role in reaching potential clients.

While there are challenges and costs to consider, the potential rewards are significant. With the right strategy and a bit of luck, a wedding venue business can be a highly profitable venture.

Wedding costs can be reduced by cutting subscriptions

• Create a Realistic Budget: It is important to define your wedding budget and prioritize the categories that are most important to you, such as flowers, food, music, or venue. This will help you allocate your funds effectively and identify areas where you can cut back.
• Cut Back on Spending: Leading up to the wedding, consider reducing expenses such as dining out, vacations, cable subscriptions, and other non-essential items. These small sacrifices can add up and give you more financial flexibility for your wedding choices.
• Choose an Off-Peak Date: Opting for a weekday wedding or an off-season date can result in significant savings. Wedding venues often offer discounted rates for midweek weddings and dates outside the peak season (November, early December, January, and February).
• Explore Alternative Venues: Instead of expensive banquet halls or resorts, consider a register office, church, pub, village hall, or even your own backyard for the ceremony and reception. You can also look into community centres, parks, or outdoor spaces, which can be more affordable and flexible.
• Repurpose Flowers and Decorations: Flowers and floral arrangements can be reused from the ceremony at the reception venue, reducing costs and waste. You can also opt for seasonal and local blooms, or even pick your own flowers with the help of family and friends.
• DIY and Second-Hand Options: While not always cheaper, DIY options can save you money on certain items. Buying second-hand dresses, decorations, or using online resources like Stillwhite, Bridal Reloved, or thrift stores can help reduce costs without sacrificing style.
• Limit the Guest List: A large guest list can quickly increase expenses. Carefully consider who you invite and try to keep the number of guests manageable. This will not only reduce costs but also create a more intimate and personalised celebration.
• Bar and Catering Choices: Instead of an open bar, consider serving only beer and wine, or even a signature cocktail. Opting for a buffet-style meal or food stations can also be more affordable than a formal seated dinner. If you're crafty, you could even make your own wedding favours or decorations.
• Entertainment and Photography: Creating your own Spotify playlist can be a fun and personalised alternative to hiring a DJ or band. For photography, you can provide disposable cameras or a Polaroid camera with props and backdrops for guests to capture their own memorable moments.

Remember, it's important to start planning and saving as early as possible. Cutting back on subscriptions and non-essential expenses can help you maximise your savings for your dream wedding.

Couples can take on freelance work

While it is uncommon for couples to make a profit from their wedding, there are ways to increase your cash flow and minimise debt. One way to do this is for couples to take on freelance work.

The gig economy has grown in recent years, providing couples with many options to make extra money. Couples can monetise their skills by taking on freelance work. Platforms such as Fiverr and Upwork allow couples to offer their skills in graphic design, writing, or photography.

Couples can also sell digital products on platforms such as Stan or Etsy. For example, couples can create and sell a cute printable PDF to-do list or a course on how to make their favourite baked goods. Any sales made from these digital products can be funnelled into a high-yield savings account dedicated to supplemental income for wedding expenses.

Couples can also earn commission by uploading video reviews to Amazon. By reviewing a product's pros and cons, couples can make a few extra dollars without having to show their face in the videos.

Taking on freelance work is a great way for couples to increase their income and save for their wedding.

Wedding gifts can be supplemented by parental contributions

While it is uncommon for couples to make a profit from their wedding, it is not unheard of for wedding gifts to supplement the cost of the wedding, especially when the parents of the couple are well-off. In some cultures, it is customary for the parents of the couple to pay for the wedding, and the couple gets to keep the monetary wedding gifts.

In Western cultures, it is traditional for the bride's family to pay for most of the wedding expenses. However, nowadays, it is more common for both sides of the family to split the costs or for the couple to pay for the wedding themselves. In these cases, it is not expected for the parents to give an additional wedding gift, as their monetary investment is already considered a gift.

However, if the parents wish and are able to do so, they may give an additional gift. This could be a gift for the couple or just for their child. It is also becoming more common for parents to give experiences as gifts, such as contributing to the couple's honeymoon fund or paying for an activity during their honeymoon.

If the parents do choose to give a gift, it is recommended to spend within a budget that is comfortable for them. The gift does not need to be expensive, but rather something meaningful and useful for the couple. It is also a good idea to discuss expectations with the couple to avoid any misunderstandings.

• Honeymoon contribution
• Charitable donation in the couple's honour
• Couples massage or spa day
• Custom art piece
• Wine club membership
• Ticket package for concerts, shows, or sporting events
• Household items, kitchen gadgets, or small appliances
• "Experience" gifts like concert tickets or museum memberships
• Personalised gifts with a loving message, photo, or inside joke

Frequently asked questions