For the average family, there are two items in the budget over which they have little control and which also account for a large share of household spending: gasoline and health care.
In 2008, when gas prices climbed above $4 per gallon, the average household devoted more than 5 percent of its spending to fueling its cars. The figure fell back to 4 percent in 2009 as gas prices declined. Health care absorbs 6 percent of the household budget. Together, gasoline and health care control $1 of every $10 spent by the average household--and that's in a good year, without a spike in gas prices or a health care emergency.
2 comments:
Hi Cheryl.
Curious what do you consider "Average Household" in respect to income level?
Thanks
-ron
Ron--according to the Consumer Expenditure Survey, households had an average income of $62,857 in 2009 (the latest data available), and they spent an average of $49,067.
Cheryl
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