Whether you’re planning a big family occasion, a corporate event, a networking bash, or even a wedding, you know that you’ve got your work cut out. So many details, considerations, planning, scheduling, and stress can go into organizing even a casual get-together that by the time it actually starts, you end up feeling too tired to appreciate the fruits of your hard work, let alone, mingle or network with your guests.
This is the moment you might ask yourself: How much do event planners cost? Well, if that’s on your mind, stick around as we dive into the topic in this article.
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The Benefits of Event Planning
As the name suggests, event planners are responsible for bringing your event vision to life. Whether it’s a wedding or a branded event, these experts can help find the perfect location, connect with vendors on your behalf, help with decorations, and even advertise your event. They may also negotiate prices and keep your expenses on budget.
Let’s look at some of the key benefits of event planning.
- Expertise: Regardless of whether you’re planning a private event, a corporate get-together, or a festival that requires full-on event management, event planners have the necessary experience to consider all the small details that go into organizing a successful happening.
- Connections: In most cases, these experts will also have well-established relationships with essential vendors that are quintessential for your event. Whether we’re talking about bakers for a wedding or a sound crew for an industry-related convention, these people will know who to call and which vendors will be able to meet your event’s criteria.
- More creativity: Having an experienced creative voice by your side can breathe new life into run-off-the-mill corporate events. It can turn your family occasion into an unforgettable memory or help you explore new marketing ideas for your conventions or industry networking get-togethers.
- Budgeting: While event planner fees may be higher than you anticipated, the truth is that these experts can end up saving you money in various ways.
- Time: Time is also money, as they say. However, in this case, you will have more leeway to tend to other important matters, such as performing your daily tasks or ensuring that your business workflow continues as usual.
- Less stress: Organizing an event is already stressful, and it’s natural for many of us to feel anxious on the big day too. Hiring an event planner can take the stress away and allow you to truly enjoy the day.
How Much Does Event Planning Cost?
Now we’ve established the advantages of bringing in an event planner, let’s cut to the chase. How much do event planners cost?
This will depend on a couple of factors. For instance, some sources quote that the average percentage they charge is between 15% and 20% of your budget. This would mean that if the event itself totals around $30,000, your event planner costs won’t be higher than $5,400.
Other sources state that the average event planning price for a wedding is between $1,500 and $4,000. Corporate events tend to be more expensive with budgets ranging between $5,000 and $100,000, depending on complexity, venue size, and more.
In the case of smaller events, such as anniversaries or personal parties, professionals may charge an hourly rate ranging between $75 to $250 per hour.
Event Planner Fees: Pricing Models
As hinted above, event planners may charge for their services in several ways. The methods below are the most prominent.
- Flat fee: Usually, the planner will review your requirements for the event, and they will present the price. This approach is popular with clients because it provides upfront clarity on costs, ensuring they know how much they’ll pay unless additional services or unforeseen complexities arise. That’s why this method works best for smaller, more predictable events.
- Commission: Some event professionals will base their fees on receiving commissions from hotels, venues, travel agents, and so on. The commission model may work well for nonprofits that may not necessarily have the budget for the entire event and the planner’s rates.
- Fixed hourly rate: This is a straightforward model as you pay the planner by the hour. However, you’ll want to know the number of hours that it will take them to organize and plan the event.
- Profit percentage: For fundraisers, festivals, and other branded events, management teams and partners may ask for a percentage of the profits. This can be a win-win situation, as the planning team will also work hard to fill the seats and ensure the success of the event.
- Hourly rate and expenses: This model charges by the hour and includes additional fees to cover expenses or add-on services.
How Much Does Event Planning Cost: Understanding Budgeting
Cost-saving measures are essential to event planning, and ensuring optimal spending starts with a comprehensive approach to budgeting. Below, we’ve highlighted the essentials for creating an optimal budget.
1. Establish Event Goals
Your budget should primarily reflect what you had in mind for the event. This should include everything from venue, technology, decorations, merchandise, speakers, setup, and more. The list will help you establish realistic expectations and will give you a good idea of the initial costs like vendor deposits and more.
2. Create a List of Specific Expenses
After establishing your primary objectives, you can get into the details of each budget item. For instance, you should list out on-site event costs such as venue, event staff, food, audio technology, visual equipment, security, transportation, and more. You can also list out the cost of promotional and marketing materials with your event team, as well as other event management requirements such as ticketing fees, event management platforms, online and offline check-ins and registrations, event reporting, and more.
Naturally, an event management team will usually handle these tasks, but it’s never a bad idea to regularly touch bases with them to ensure that everything aligns with your planned budget.
3. Get Vendor Quotes
Event planners will also help you get quotes from potential vendors for all the costs mentioned above. They will ensure you get the best deal and will probably negotiate a better price too.
4. Balance Expenses and Income
If applicable, consider the amount you expect to make from the event. This will considerably affect your entire budget. Do you have sponsors? Are you selling services and goods at the event? Are other vendors paying you to promote their offerings?
When creating a budgeting plan, sit down with your event management team and try to include income estimates for each source to help you determine the best way to balance out your income and expenses.
5. Set Up Emergency Funds
There will always be unaccounted expenses, and there’s always a possibility of errors. From vendors’ food shortages to performers who can’t reach the event on time due to flight delays, such setbacks can derail even the most meticulously planned event.
Regardless of what happens, having a separate rainy-day fund ensures you’re always one step ahead of the unexpected. Generally, the fund’s size will depend on the size of the event and should usually be somewhere between 15% and 30% of your total budget.
Event Management Software Vs. Event Planners
Can using event management software be an alternative to working with a team? Off the bat, it makes managing your event with your in-house team more streamlined, and in the case of smaller and less complex events, using comprehensive solutions like run.events, vFairs, or SpotMe is not a bad idea, considering they can save up as much as 50% on expenses.
However, these solutions may come with steep learning curves, robbing you and your in-house team of time, too. As such, hiring expert help can ensure that everything’s taken care of with or without the help of software, all while you have the freedom to run your day-to-day operations as usual.
How Much Does an Event Planner Cost: Finishing Thoughts
Organizing, planning, and budgeting an event is no easy feat. On the one hand, you want to keep your budget within a sensible limit, and on the other, you want to ensure that everything is top-notch and goes smoothly. This is where an event management team can help you and your big day shine.
Event Planner Cost FAQs
1. Is hiring an event planner worth it?
Yes. Whether you’re planning a private gathering or a corporate event, hiring an expert can take the weight off your shoulders, and rid you of unnecessary stress and anxiety, ensuring that the big event goes as smoothly as possible.
2. Should you opt for event management software?
The answer mostly depends on your needs, the complexity of your event, tech-savviness, and how much time you can set aside to learn to use the solution.
3. Is budgeting important in event planning?
Yes. Ideally, your budget will dictate most of the choices you will make while organizing the event. It forms the foundation of the planning process, covering everything from decoration details to audio-visual needs and transportation requirements.
