At the surf club Whiritoa Beach head life guard Ken Takano managed to get Ms Gudmundsson on a surf boat under the pretence of collecting buoys used in an annual competition.
Ms Gudmundsson's suspicions grew when Mr Takano suggested they detour past Donut Island - also known as Middle Island - and saw Mr Boggs on the shore.
The surf boat drifted away, leaving the couple together. Mr Boggs got down on one knee to ask the 28-year-old to marry him.
"I said yes straight away. I think I said of course even ... We had picked up a ring a while ago so I knew it was coming at some point but I'm a pretty inquisitive person and he got me completely off guard."
Ms Gudmundsson was touched that her fiancee had come up with such a thoughtful plan as she had spent many summers at Whangamata as a surf life saver and always spoke about how magical the island was. The island gets its name from a cave with a hole that resembles a donut.
When the couple returned to the beach, Ms Gudmundsson's parents were waiting to congratulate them. Back at the bach, champagne was on ice.
The couple hope to get married somewhere on the Coromandel.
Ms Gudmundsson's priority is planning an engagement party. "It is an incredible way to start the new year."