Finally! The most awaited moment is coming. Yet, you are mixed emotions. You are too excited and happy, at the same time, anxious.
So here you are feeling the pressure and the anxiety as your engagement proposal day approaches. But, of course, besides the big event that you need to prepare for is the engagement ring that you will give your partner that she will be wearing on her life with you.
Besides buying a house, and a car, a ring is an essential purchase as well. It is the most romantic symbol. Men are usually particular with the ring cost, but women, on the other hand, won’t bother to find out how much the ring costs, but she is more concerned with how it would look like when it’s on her finger.
You perhaps have heard of the 4Cs- Carat Weight, Cut, Color, Clarity. And there is actually a fifth C that you might miss, but one of the most important considerations of all – it’s the Cost!
Diamond ring cost varies from those factors mentioned, and another factor would be the location where you are buying the ring. Online shopping is now one most convenient and fast ways of purchasing items, especially from overseas. This also includes buying a ring abroad, for example, in New Zealand.
Do Engagement Rings Cost the Same in New Zealand?
Maybe while browsing on the internet, you came across a shop that sells very fashionable and stunning diamond rings. You wanted one design but found that it’s in New Zealand, and you are from the US. Do you think you will have a wise purchase if you buy it?
The average engagement ring in New Zealand costs about NZ$1,500 to $3,000, depending on the precious metal used and whether it’s cast or hand-made or a mixture of both.
Today, $1 US is equivalent to $1.48 NZD, so if the ring that you want to buy from New Zealand costs $2 000 NZD, that is already $2 960 USD. Add to that is the shipping fee of perhaps the tax.
But if you have a friend from that country, you can ask him to buy it for you. In New Zealand, people are entitled to buy certain jewelry tax-free, if they’re taking it out of the country.
There are shops that, after you buy the ring, they will deliver it to the Collection Point at any international terminal in New Zealand, where they’ll hold it until you travel. After passing through Customs, you present some documents (prepared by the shop where you bought the ring) to the staff at the Collection Point, and they hand over the ring. Easy! But, just note that there is about $300 airport handling fee; buying tax-free is not as cost-effective if your purchase is $3,000 or less.
How Much Will It Save You?
Sales tax, or GST, is 15% of the purchase price. However, there’s a way not to pay this when you take the ring out of the country, which means that on a ring that costs $9,000 with tax, you’ll save $874 even after factoring in the $300 airport handling fee.
1. Foreign Exchange rates
The money’s exchange value can significantly impact the price of the ring that you will be purchased from New Zealand or maybe from other countries. There was a time when the NZ dollar has hit the following extremes:
High: US$ 0.694
Low: US$ 0.624
Seemingly, it’s quite a small difference but actually, when accumulated, and it really makes a big mark-up to a diamond or engagement ring that you will purchase. The foreign exchange rates are beyond your control, so it is still safer to choose US-based companies with a good reputation for selling engagement rings.
Another consideration when importing jewelry or specifically a ring from other countries. Most jewelers in the US, the person buying the ring is the ‘importer of record.’ It means that they are responsible for paying all duties, taxes, and fees assessed by customs or carriers. However, there are options to avoid this taxation, and one is through online shopping.
While you may opt or decide to buy a ring from New Zealand, it is still best to make enough reviews and research on the ring you are buying. After all, buying an engagement ring is not about spending extravagantly but spending wisely as you enter a new chapter of life together.