As Soaring Energy Prices Drive Inflation, doxo Reveals the Average U.S. Household Spends $2,955 Per Year on Utility Bills | Financial Buzz

As Soaring Energy Prices Drive Inflation, doxo Reveals the Average U.S. Household Spends $2,955 Per Year on Utility Bills

doxo, the innovative web and mobile bill pay service, today released its U.S. Utilities Market Size and Household Spending Report for 2021, revealing that Americans spend $380 billion annually on utility bills. A statistical analysis of actual household payments toward utility bills was used to size the market and amount spent per household across 37,000+ (97%) U.S. zip codes. The report found that the 78% of U.S. households with a utility bill spend $316 per month, or $3,792 per year – or $2,955* per year when averaging across all U.S. households. The report also breaks out the U.S. household spending market size; percentage of households that pay each bill; and average monthly and annual bill pay costs by state, largest metro areas and cities based on population.

These new doxoINSIGHTS findings come as energy prices, which plunged during the pandemic as the economy slowed, have begun to soar upwards, driving inflation across the country. The U.S. Energy Information Administration predicts that, compared to this time last year, the cost of heating oil will increase by 43%, natural gas by 30%, propane by 54%, and electricity by 6% – and each will climb even higher if the winter is colder than expected. Utility bill payments across doxo’s platform were up 4% in October as compared to the same period last year, suggesting that these increases are already being passed on to consumers, and that Americans are likely in for an expensive winter in terms of paying bills.

“doxoINSIGHTS’ Utilities Market Size and Household Spending Report leverages our proprietary dataset to help make the U.S. bill pay economy transparent and understandable for all,” said Jim Kreyenhagen, VP of Marketing and Consumer Services at doxo. “Alongside our app—which simplifies the task of staying on top of bills to help improve financial health—these reports support doxo’s ongoing mission to empower our consumer users, billers, and financial service providers alike to make better decisions.”

The doxoINSIGHTS 2021 Utilities Market Size and Household Spending Report Findings

doxoINSIGHTS leverages doxo’s unique, aggregate, anonymized bill pay data comprised of actual bill payment activity to confirmed household service providers across the country. The Utilities Market Size and Household Spending Report, inclusive of electric, gas, water & sewer, and waste & recycling, breaks out the household spending market size; percentage of households that pay each bill; and average monthly and annual bill pay costs by state, largest metro areas and cities based on population. Key findings include the following:

  • Total Market Size: $380 billion spent per year
  • Average Monthly/Annual Cost: $316 spent per month; $3,792 spent per year
  • Percent of Households: 78% of U.S. households pay Utility bills
  • Average Annual Cost per U.S. Household: $2,955 per year*
  • Percent of Annual Income: Utility bills amount to 5% of consumers’ income per year

States with the Highest Utility Bills

State

Monthly Amount

Yearly Amount

Hawaii

$540

$6,479

New Jersey

$436

$5,229

Alaska

$428

$5,130

Massachusetts

$424

$5,091

Connecticut

$408

$4,897

Access Utility Household Bill Pay Data for all 50 states here.

Biggest Metro Areas with the Highest Utility Bills

Metro Area

Monthly Amount

Yearly Amount

Milwaukee

$440

$5,278

Birmingham

$396

$4,758

Pittsburgh

$380

$4,555

Hartford

$379

$4,547

San Francisco

$364

$4,365

Access Utility Household Bill Pay Data for the Top 50 Metro areas here.

For more information, or to view the entire report, visit www.doxo.com/insights/.

*Average Monthly Bill x % of Households with Bill x 12 months per year = Average Annual Cost per U.S. Household.

About doxoINSIGHTS

doxoINSIGHTS provides direct insight into household financial health and spending activity by leveraging consumer surveys and doxo’s unique aggregate bill pay data set, comprising actual bill payment activity to confirmed household service providers across the country. doxo data brings together the broadest available data set for analyzing actual household bill payment activity, pulling from over 6 million paying consumers across over 97% of U.S. zip codes. doxo’s payment network covers over 100,000 billers in 45 different service categories and enables payments using bank accounts, credit cards or debit cards. This uniquely broad statistical foundation powers doxoINSIGHTS reports – uncovering key trends for household financial health and bill payment behavior.

About doxo

doxo provides simple, secure all-in-one bill payment to any biller, with any payment method, on any device. A doxoPLUS subscription adds free bank payments and five essential financial protections that boost household financial health. Through these services, doxo currently serves over six million users who can make payments to over 100,000 local and national businesses, making doxo the largest bill pay directory in the nation. Billers on the network get paid directly, fast and free – and consumers have complete bill pay independence over when and how they pay their bills. doxo expanded its user base by more than 70 percent in the past year and is expanding its team to further accelerate growth and change the bill pay landscape to focus on the customer. doxo investors include MDV, Sigma Partners, and Bezos Expeditions. doxo is based in Seattle, WA. For more information visit www.doxo.com.

Contacts

Press Contact

Dotted Line Communications for doxo

Jenny Davis

press@doxo.com

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