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Dude, if all she's interested in is a large karat stone, move on... or you'll spend the rest of your life taking care of princess.
Two month's salary is the general rule for an engagement ring. But, there are plenty of ways to make your money go farther... shop around, hook up with wholesale brokers and compare stones with similar size, cut, color and clarity. Most places will negotiate on price too (there's huge markup in retail diamond prices).
The hardest part of the process is figuring out what she wants! Good luck!
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