If you live in Washington state and feel like you pay more than other parts of the country for household bills, you probably do.
According to a new report from DoxoINSIGHTS, a U.S. bill pay market analysis company, Washington state is the 8th-most expensive place for household bills in the country at $2,468 per month. Bills in the state are over $5,000 more annually than the national average. There are 281 towns and cities in the state.
Overall, residents spend about 37% of their income on household expenses, including rent, utilities and insurance.
Hawai’i was ranked the most expensive state in America for household bills, followed by California and New Jersey. Household bills include mortgage or rent, health insurance, cell phone service, cable and more. Many of Washington’s cost of individual bills are more expensive than the national average.
Doxo reviewed bill payment activity and behavior, U.S. Census Bureau data, and what residents consider “essential bills” in conducting its analysis.
How much do Washingtonians pay for household bills?
When comparing the Evergreen State to the national average, Doxo notes that most bills are relatively high. Here are some comparisons:
- WA average mortgage — $1,854 per month vs. national average of $1,321
- WA average utility bills — $389 per month vs. national average of $351
- WA average auto loan — $492 per month vs. national average of $461
- WA average security and alarm systems — $100 per month vs. national average of $84
- WA average cable and internet — $125 per month vs. national average of $118
Which WA counties are most expensive?
The most expensive counties are almost all on the west side of the state, particularly in the Seattle area. The region has the top-3 priciest counties, but areas with smaller populations are not far behind.
Here is how DoxoINSIGHTS ranked the state by county and monthly household expenses:
- 1. King County — $2,988
- 2. Snohomish County — $2,698
- 3. Island County — $2,614
- 4. Thurston County — $2,584
- 5. Whatcom County — $2,467
- 6. Pierce County — $2,460
- 7. Skagit County — $2,277
- 8. Chelan County — $2,211
- 9. Kitsap County — $2,187
- 10. Benton County — $2,156
How much of your income should go to household bills?
According to experts, a financially-sustainable amount of money to spend on one’s mortgage is around 28%. With some of the most expensive housing prices in the U.S., most Washingtonians are paying more than they can afford just for a place to live.
Other financial experts adhere to the 50/30/20 budgeting rule, which prescribes spending no more than 50% of income on needs and obligations (like housing and bills). The remaining 50% should be split between 20% to savings and 30% to anything else.
