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Wedding Budget: Location Fees and Other Costs

You’d think that working from a budget would be obvious, but you’d be surprised how many people, especially brides and grooms, are unrealistic about what they can afford. Part of the problem is that most people aren’t very experienced with event budgeting and don’t know how to estimate what locations, products and services will ultimately cost.

In the early planning stages it’s a good idea to talk to a professional event planner or wedding consultant to get a sense of what’s feasible and what’s not. You don’t have to make a big financial or time commitment to use a professional; many will assist you on an hourly basis for a nuts-and-bolts session to determine priorities and to assign costs to items on your wish list.

Part of being realistic involves some simple arithmetic. For instance, the couple who has $5,000 for 250 guests should know that $20 per guest won’t go very far. Tax and gratuity combined can consume an average of 25% of the food and beverage budget (the range is 22% to 28%). If you subtract that 25% from $20, you have $15 left. If you also serve alcohol at $6/person, you’re down to $9/person for food. That’s not enough for a seated meal, let alone location rental fees, band, flowers, printed invitations, etc.

Before you make any major decisions or commit any of your funds for specific items, take a serious look at your total budget and make sure it can cover all your anticipated expenses. If it can’t, it’s time for some hard decisions. If you have a very large guest list and a small pocketbook, you may need to shorten the list or cut back on some of the amenities you want to include. No matter who foots the bill, be advised that doing the homework here really counts. Pin down your costs at the beginning of the planning stage and get all estimates in writing.

Location Fees and Deposits

If you’re planning far in advance, anticipate price increases by the time your function occurs. Once you’re definite about your location, try to lock in your fees in a contract, protecting yourself from possible rate increases later. Make sure you ask about every service provided and are clear about all of the extras that can really add up. Facilities may charge you for tables, chairs, linens, plateware and silverware, glassware and additional hours. Don’t be surprised to see tax and service charges in fixed amounts applied to the total bill if the facility provides restaurant or catering services. Although it may seem redundant to include the phrase “tax and service charges are additional” in each entry, we find that most people forget (or just don’t want to accept the painful reality) that 23%–28% will be applied to the food and beverage total.

Sometimes a deposit is nonrefundable—a fact you’ll definitely want to know if the deposit is a large percentage of the total bill. And even if it’s refundable, you still need to read the cancellation policy thoroughly. Also make sure you understand the policies which will ensure you get your cleaning and security deposit returned in full and again, get everything in writing.

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