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✓ Go deeper: how to split your budget

Where the money matters most

One budget, three pieces. Here’s how to divide it so every dollar you spend shows up in the sound — whether your number is $500 or $5,000.

THE SIMPLE RULE

Half, a third, and the rest

Every stereo system has three jobs: something to play the music (the source), something to power it (the amplifier), and something to turn it into sound (the speakers).

Put roughly half of your budget into speakers, a third into the amplifier, and the rest into your source. That’s it. That’s the rule.

Why weight it this way? Speakers make the biggest audible difference of anything in your system — they’re the piece you actually hear. The amplifier’s job is to drive those speakers cleanly, and a modest modern source already sounds remarkably good. A great first system doesn’t have to be expensive: we’ve helped customers build genuinely great-sounding systems for $400–$600.

AA
AUDIO ADVISOR TIP

The key is balance: matching the amp to the speakers so neither piece is the bottleneck.

Worked Examples

Three budgets, split three ways

The same rule works at any number. Here’s what it looks like in real dollars.

System Piece The Starter $600 The Sweet Spot $1,200 The Long Haul $2,500
Speakers about half $300
Entry two-way bookshelf pair
$600
Award-winning bookshelf pair
$1,250
Serious bookshelf or entry floorstanders
Amplifier about a third $200
Compact integrated amp
$400
Integrated amp with built-in DAC
$850
Integrated amp with DAC and phono
Source the rest $100
Your phone plus a modest DAC
$200
Entry network streamer
$400
Hi-res streamer or entry turntable
What It Gets You A genuinely musical desk or small-room system that embarrasses any smart speaker Room-filling sound with detail that surprises your guests — the best value in hi-fi A system you can live with happily for a decade — and build on when you’re ready

Percentages are a starting point, not a law. Your Advisor will fine-tune the split for your room and your music.

PRIORITY ORDER

Spend in this order

1

SPEAKERS · ABOUT HALF

Speakers shape the sound more than everything else combined. This is where your money does the most work, so it goes first.

2

AMPLIFIER · ABOUT A THIRD

The amp’s job is to drive your speakers cleanly at the volume you like. Match its power to your speakers’ needs and neither piece becomes the bottleneck.

3

SOURCE · THE REST

A modest DAC or streamer already sounds clean and detailed. Start simple here — a turntable is a fun addition later, once the foundation is set.

common myths

Where first budgets go wrong

Four spending traps we see all the time — and how to sidestep them.

MYTH

“Cables deserve a big slice of the budget.”

WHAT'S TRUE

Well-made basic cables are all a first system needs. Put that money into speakers now — cables are an easy, inexpensive upgrade whenever you’re curious later.

MYTH

“Buy everything cheap now, then upgrade it all later.”

WHAT'S TRUE

Buying everything twice is the most expensive way to build a system. Fewer, better pieces — split by the rule — keep their value and their place in your rack.

MYTH

“The source matters most — garbage in, garbage out.”

WHAT'S TRUE

That was true in 1985. Today, even affordable DACs and streamers measure superbly. Your speakers — and the room they’re in — are where the real differences live.

MYTH

“More features means better value.”

WHAT'S TRUE

A simple stereo integrated amp puts your money into sound quality instead of surround modes and menus you’ll never open. For music, simpler usually sounds better.

START SHOPPING
Three honest places to start
Whichever path you pick, these categories deliver the most music for your money.
SPEAKERS · ABOUT HALF
Powered Speakers
Shop these speakers
AMPLIFIER · ABOUT A THIRD
Compact bookshelf speakers
Shop these speakers
SOURCE · THE REST
SOURCE · THE REST
Shop these speakers

Tell us your number. We’ll split it for you.

Alex Johnson

Alex Johnson

Senior Audio Specialist

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