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Without a budget — or come to think of it, even with one — you might wonder how your average expenses compare with "what's normal."
We took the average annual expenses from the 2024 Consumer Expenditures Survey and divided them by 12 to estimate average monthly expenses in a variety of categories . The U.S. Bureau of Labor Statistics conducted the survey, and it was released in December 2025.
See how your expenses stack up.
Average monthly expenses by category
The average expenditures among all consumer units totaled $78,535 annually. That's up 1.8% from 2023.
Average monthly expenses for housing:
Average expenses for housing totaled $26,266 annually. That works out to $2,188 per month.
Average monthly expenses for transportation:
$13,318 annually. That works out to $1,109 per month.
Average monthly expenses for food:
$10,169 annually. That works out to $847 per month.
Average monthly expenses for personal insurance and pensions:
$9,797 annually. That works out to $816 per month.
Average monthly expenses for entertainment:
$3,609 annually. That works out to $300 per month.
The average annual expenditures reported here represent survey results from more than 135,000 consumer unit participants. Note that consumer units consist of "families, single persons living alone or sharing a household with others but who are financially independent, or two or more persons living together who share major expenses."
Average annual expenses that increased year over year
Among the 14 major elements of household spending in 2024, housing had the most significant increase, according to the BLS report: “Average annual expenditures on housing increased 3.3% in 2024, after a 4.7% increase in 2023. Within this category, expenditures on owned dwellings and rented dwellings both increased in 2024, by 7.0% and 5.4%, respectively.”
Average annual expenses that declined
Major spending components that declined in 2024 were food, dropping from 6.9% in 2022-2023 to 1.8% in 2023-2024. Transportation also saw a reduction from 7.1% in 2022-2023 to 1.1% according to the latest BLS data. Other major categories are also on the decline, including entertainment, health care and cash contributions.
» MORE: How to save money
How much should I spend each month?
With all of the variables, stacking your household's spending up against other similarly sized households in the U.S. will be a rough comparison at best.
Spending can be affected by income, the cost of living in your area, your household's health care needs, transportation, debt and taxes.
One option is the 50/30/20 budget. With this formula, you aim to devote 50% of your take-home pay to needs like rent and insurance, 30% to wants like vacations and entertainment, and 20% to debt repayment and savings.
Your starting amount is your take-home income, after tax and with payroll deductions added back in. That figure determines how much you can afford to spend each month.
Start with the 20% for savings and debt. Pay yourself first by setting aside money for an emergency fund and retirement. Then turn to debt. If you have outstanding credit card debt, for instance, work on knocking that down.
Next, subtract your regular bills. If your monthly take-home pay is $5,000, shoot to spend no more than half of that, or $2,500, on essentials such as your rent and electric bill.
Finally, give yourself room to breathe. Just like a restrictive diet, trying to hold to a budget that doesn’t allow for fun isn’t realistic. That's where the 30% spending on “wants” comes in.
If your spending isn’t fitting the 50/30/20 model, you can try a side hustle to make more money — get a raise or switch to a job with a higher salary. To make your current pay stretch further, find ways to save money, like cutting bills and shopping strategically.
» MORE: How to budget money
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- 1. U.S. Bureau of Labor Statistics. Consumer Expenditures 2024. Accessed Jan 5, 2026.
