How do you determine how much to spend on speakers

Great question and wonderful answers. I'd like to reinforce the earlier post suggesting you consider this system within your future plans. Getting everything balanced now means you have to replace everything later to achieve a new balance (I'm overstating a bit, but ...). So you may want to "overspend" on something now -- if so, I would argue that the speakers are a good thing to do this with. I base this on the need to audition speakers in your room if at all possible -- more on this later.

A lot depends on the deals you can get. I would strongly suggest that you research prior threads and buy as much used as possible (If you have already been working with a dealer, by all means purchase from him or her). Look for those things which can be auditioned -- this is harder to do with speakers, so I would again suggest you get something good here right away (good depends on your room and your taste so please audition speakers heavily -- probably from a local dealer unless you've already heard something you love).

Bottom line:
1) You really should try to audition speakers like crazy at home (which means you may have to buy from a dealer at or near cost, so do it right since you will be selling at a loss later).
2) Find the best supporting equipment you can on a used basis (selling these later will not cost you as much). Research equipment that matches well with your speaker and buy it used.
3) So $speakers =$rest of heavily discounted system. This changes if you can audition speakers that are being sold at a discount. I believe all the threads above covered the situation where the equipment is all at full price (or at an equal discount).

I hope this isn't too confusing. Lot's of strategies -- but please consider your auditioning needs, your ability to get discounts and your future plans. Happy hunting!

Ultrakaz is right on in his percentages. Look at it this way: how close can you get to the state of the art with non-SOTA priced components?

In cables, even most generic wires will get you indistiguishably close to 100% of ideal (when considering the sound only). Not everyone agrees ;-)

In a digital front end, a half-kilobuck CD player should get you 90%+++ of anything else on the market. GARBAGE out??? No way!

For amplification, a good integrated (assuming enough power)gets you another 90%+ of SOTA without spending more than $1500 or so.

Speakers - there's the hard part, and hence where most of the budget should go. It's all personal taste, and listening.

Specifcially for my $5K, I'd go with something like:
Dunlavy SM-1 (now called the SC-IIa, BTW) ~$2500 w/stands
REL Q-150e subwoofer $1100
Rotel 961 CD player $500
Marantz PM-17sa $900 (being closed out)
Wires ~$200 or less

Which would make for a heck of a near-full-range system. Of course, discounting and/or used brings the prices down and many very good alternatives exist. Say:

Sub: ACI Titan II; REL Q201e or Strata III (~$1500)
CD: Rotel 971, Arcam CD-72, many $300 DVD players (you can add a $300 MSB LinkDAC)
Amp: used Bryston B-60, Musical Fidelity A3, Simaudio 5080, Creek 5350se, Rotel 1070, Arcam A85, Parasound pre/power, etc., etc., etc. No reason not to buy used, and you could always just go with a power amp like the Bryston 3BST if you don't need to switch sources.

Good luck!

I can echo the rec from Ozfly. Unless you can hear speakers from a friend's house, you almost have to buy the suckers at MSRP from a hi-end store. Personally, I would take my "sweet 'ole" time and audition everything he has, then ask him to get some models he deals from, but doesn't have in stock. (e.g., higher end model of a lower end model on display (that you like), or vice-versa.) A since you spent so much of the dealer's valuable ($$$) time, you should extend the courtesy of buying those speakers at or near full MSRP (retail).

Shipping or buying used speakers is a major PITA. I'd just assume heavily audition and buy a speaker I love at MSRP, then hunt and peck repeated buying and selling used speakers I have not heard. Considering depriciation and shipping costs, you might actually end up ahead by going thru a dealer. YMMV.

And electronics, by all means buy used. DACs, preamps, amps, wires, etc al. are all prefectly good used (more so than used speakers) and you can usualy sell something used for near the same price you bought it used - on most things. In that case, you can think of the shipping cost as the "audition fee." :-) And it works out nicely since you are WAY more likely to frequently swap out electronics, that speakers. The whole matching and "synergy" thing. ;-)

I've tried a lot of speakers over the years and enjoyed them all from fairly inexpensive to very expensive and my conclusion has always been that the electronics if they are good enough will make just about any speaker sound great.Recently I went from PSB Goldi's(about 3grand new) to Axiom Millenia 3TI's(about 300 new)and found I liked the Axioms better on some material,go figure.The Axioms don't go as low or as loud but add a sub like the PSB Stratus 7 for about $800 or less and now you're talking.Good luck and welcome to high end audio where you will probably never be satisfied completely whatever the hell you buy.

As Clueless says,..."what exactly is a balanced and compatable system"..

I would, basically, say the same thing as above. It starts with the person(s) using the system and their needs, wants, musical tastes, room and $ limits.

The reason this is important is pointed out in one of the posts above. For many, likely a great deal many more than the hi-end, the answer is one of those big grey boom boxes. It is in "balance" and is "compatable" with the users needs and expectations. However, I don't think this thread is about boom-boxes and mini executive systems.

This has been a good thread, but all too often responses to thread questions are posts that are saying little more than "buy what I own, it's the best". Which has about as much merit as saying.."I own vanilla ice cream, it's the best and you should like it too".

Balance is not always moderation, an extremely expensive system can work well together and sound great(ie: balanced and compatable) or sound poor. So, with this in mind....

If I were putting a system together, for myself not Krazeeyk, for around 5k..these would be my considerations.

Speakers: Magnepan 1.6, Alon II Mk.II, Martin Logan Aerius,
and the Innersound Isis.

Amplification: Classe CAP-100/150, Audio Research CA-50,
Audio Research LS-9 w/Classe CA-100, Plinius
8200 and SimAudio I-5

Source: Audio Research CD-2, Classe CDP-1 or Classe DAC-1
with a decent transport.

Wire/Cables: Innersound

I believe most of the above would come in (used) at 5k or less.

All of this(with the possible exception of wire) would be purchased used on A-goN...and I would be open to changes in the listed items above..based on what I would learn along the way.

BUT....and this is a big however, this is for my room: (13 x 25 x 9 with two large openings), with my musical likes: mainly Jazz and female vocals at moderate levels. And, another big but/however....I am a fan of dipole speakers (this could be seen as a particular "taste" even prejudice)...which is important..since the above system would not be the choices for a system based around boxes on stands or floor standing dynamics.

I hope this thread has helped Krazeeyk. It will still serve Krazeeyk best to learn what he/she can from this site, friends, audio dealers...and then trust him/her self in the final choices.