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Home»Economic News»The Average US Household Budget In One Chart
Economic News

The Average US Household Budget In One Chart

January 10, 2025No Comments1 Min Read
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The Visual Capitalist article by Pallavi Rao presents a detailed breakdown of the average U.S. household budget, showcasing where income is allocated towards expenditures, savings, and taxes. The data, sourced from The Motley Fool and converted to monthly spending for 2023, offers insights into American spending habits.

The chart reveals that housing, taxes, and savings collectively make up almost half of the average American household’s monthly budget, amounting to around $4,000. Transportation costs, including gas, insurance, and maintenance, also represent a significant portion of monthly expenses at $1,100.

Other major expenses include food (both groceries and dining out), personal insurance, healthcare, and entertainment. The data averages out these expenditures, giving a comprehensive overview of where American households allocate their funds.

It’s important to note that the figures provided are averages and may vary based on location and individual circumstances. Additionally, outliers such as ultra-wealthy households can skew the overall average income and expenses.

Looking at the bigger picture, median household income for the same year was $80,610, showcasing a discrepancy between average and median earnings. To explore how U.S. household incomes have evolved over time, one can refer to inflation-adjusted figures in the corresponding article.

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