How do you determine how much to spend on speakers

You will consume the majority of your budget in speakers and will not have enough money for the supporting electronics.

The Speaker / Amplifier interface is critical to extracting the best performance out of your speakers. You need to ensure that everything is balanced within your budget or you will have expensive gear in your system that is under performing.

The room you place your stuff in is just as critical.

So what size room are you listening in?
Is it a bright room or somewhat damped?
Where do you intend to place your speakers in relation to the room dimensions?
How far will you be seated?
Is your back to a wall?
Any sliding glass doors around?
Is there equipment (TV for example) going between the speakers?
How loud do you listen to music?
What types?

Without this information, all the advice you are getting is basically a shot in the dark.

If you want the most value out of your system, then you need to address the questions above first before even considering actual speakers.

5K can make you really happy.
- pick the speakers you love and are comparable with your listening room
- amp or integrated that complements the speakers.
- read about proper speaker setup and room acoustics. Apply that knowledge.
- spend rest on source.

Mariusz

That's easy, $5K for a pair of Maggie 3.6R's. Save yourself a lifetime of desperate searching and ungodly amounts of money like myself and get a pair today...you will be home when you listen. If you know music, there is no other speaker for you:O )

Awesome $5k system:

http://www.bluebirdmusic.com/Ultimate%20Budget.htm

I spent about 45% on my speakers. Then again, its a surround system and they're more speakers to go round. The issue of balance is a very important point because you certainly don't want any more power than is needed for the speakers, nor do you want insufficient power going to your speakers. I had B&W N804 powered by McIntosh MC205 and was more amplifier than the speakers needed, so I upgraded to 803s (the best I can afford). Still the power indicator needles don't move very far.

The fellow that bought my N804 was going to power them with NAD 50 watts per channel, and I told him "gahhhhh nonononononoo" Can you get at least 100 oer side? He was moving to Korea and shipping the speakers back. Apparently its costs less than buying them there.