7 household bills that will always be expensive

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Each month it can feel like a little more is being taken from your paycheck for household bills. Unfortunately you are not imagining it. Household bills are getting more and more expensive. Depending on where you are, the cost of living can increase exponentially.

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A recent doxoINSIGHTS report shows that Americans spend around $3.12 trillion on ordinary household bills each year. The average household in the United States spends about $2,000 a month on bills, or about 22% of their monthly income.

Residents of states like Hawaii, California, and New Jersey pay 30% or more compared to the national average. In Hawaii, for example, residents spend around $2,900 a month on household bills, which is roughly 44% of their monthly income. While there is some hope on the horizon, like lower utility bills from increased access to solar technology, other bills are unlikely to come down any time soon.

Here are seven household bills that will always be expensive.

mortgage or rent

The single biggest expense for most households is their mortgage or rent. According to the State-by-State Bill Pay study, US households spend approximately $853 billion on mortgages and $616 billion on rents. Americans spend an average of $1,368 a month on their mortgage and $1,129 a month on rent.

While some people have been given some respite during COVID-19, there aren’t many signs that the cost of living will drop significantly in the years to come. Interest rates are high for homebuyers and many of the COVID-era protections have been lifted for renters. Mortgages and rent are on track to remain the top spending items for US households.

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cable and internet

While a “cut the cord” movement has removed the cord from some people’s monthly bill lists, it definitely hasn’t lowered the price. Cable and Internet are still expensive and there is no remedy in sight. The internet has become a necessity in most US homes, making it easier for businesses to charge exorbitant prices. While many providers offer enticing promotional offers to lure new customers to the door, few reward the loyalty of long-time customers.

car insurance

US News & World Report states that the average cost of auto insurance is $1,553. However, fares can vary drastically depending on a number of factors such as location, age, driving habits and more. While some insurers offer discounts or sign-up promotions, the cost of insuring your vehicle is still quite high. Doxo notes that 82% of households in the United States have an auto insurance bill and pay about $196 a month for coverage.


The price of groceries can fluctuate from year to year depending on weather conditions, illness, supply and more, but perishable goods rarely get cheaper. The cost of eating out doesn’t seem to be going down any time soon, and some things are becoming unaffordable for families across the country.

mobile phone bill

Twenty years ago, few people considered a cell phone a must, but today 94% of US households have the cost. On average, people pay $113 a month for the luxury. Depending on the size of your family, your cell phone bill can be astronomical. With the technology becoming obsolete after two to three years, a price drop isn’t likely to be in the near future.

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The government has been trying to make health care more affordable for decades. And while more and more people have health insurance, it’s still a high expense for most households. Health insurance costs Americans an average of $1,122 a year. Add in co-payments, professional visits, and other expenses, and health care becomes a pretty heavy financial burden.

credit card bills

Millions of Americans carry thousands of dollars worth of credit card debt. During the economic downturn, more and more people are turning to credit cards to get them from paycheck to paycheck. This debt is now more expensive than ever due to rising interest rates. Even though interest rates will fall in the future, creditors still have a hefty bill to pay each month.

Debt reduction can be challenging, making it difficult to achieve financial stability. The cycle is vicious and unforgiving, making it one of the most costly household bills a family can face.

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