Katie Holmes is never afraid to experiment with her style. Whether she's wearing head-to-toe leather or bringing back dresses over jeans, she always puts a unique spin on her outfit – working in tandem with her stylist, Brie Welch – and, as a result, is widely considered a style muse to many. Unsurprisingly, she's back with another fashionable lesson.

The actress was spotted out in New York this week showcasing one of Y2k's most divisive trends: embellished jeans. Statement denim has had a resurgence as of late, thanks to the current popularity of Y2k dressing, but Holmes demonstrated a decidedly chic way to wear her bejewelled blue jeans.

Here's how to wear embellished denim the grown-up way:

The look

Holmes teamed her 3.1 Phillip Lim two-tone jeans with a timeless grey blazer (hers was sourced from Desert Vintage), a white t-shirt, metallic pointed Marni pumps and a cream Brandon Blackwood shoulder bag. She kept her jewellery classic and minimal, by layering together some delicate gold chains worn with hoops.

Gianvito Rossi Gianvito Rossi metallic pumps

Stella McCartney Stella McCartney grey blazer

COS COS t-shirt

ITMFL ITMFL jeans

Why it works

While her low-slung, multi-tone denim might be one step too far for many people, the silhouette is actually very modern and wearable. With clever styling and well-chosen accessories – like the chic shoulder bag and heels – the ensemble feels more put-together, rather than simply thrown on. In fact, the addition of a classic blazer almost renders it office-appropriate (depending on your office, of course).

Why it's a forever classic

It goes without saying that denim will always be a forever classic; it's perhaps the ultimate wardrobe staple. While embellished denim might feel more trend-focused than your average forever-wear piece, keeping it subtle will ensure that it has staying power. Perhaps you have some bejewelled baggy jeans from the 2000s that you can dig out and rewear, or why not consider upcycling an existing pair? If buying new, it's all about finding separates that you truly love and that complement your existing wardrobe – that way you'll wear them repeatedly.

Where to shop it

There are plenty of brands producing statement denim right now – and you can choose a style that best fits your personal taste and comfort level. If you're a maximalist then why not go all out with ITMFL's crystal-drop jeans? For a style that's more evening-appropriate then look to brands like Rotate, or if you prefer something more subtle, try Maje's delicate pearl jeans or Area's subtle nod to the trend.

Maje Maje pearl jeans

Rotate Birger Christensen Rotate Birger Christensen sequin jeans

ITMFL ITMFL crystal jeans

Area Area embellished jeans

How to style them

The trick with statement denim is to let the jeans do all the talking. Style with your wardrobe classics – like a trench coat, plain t-shirt or a simple silk shirt – to avoid looking too fussy. Follow Katie's lead and add a pair of heels for added elegance, or style with simple white trainers for something more low-key. But essentially, just have fun with it; this is not a style to be taken too seriously.