Hello folks. Today, I decided to do some research on exactly what we are spending our money on the most. I researched everyday items we use and things we do to come up with a list of how these habits are, unknowingly, eating away from our budget.

Of course, some “things” that made the list we can not do without, like house maintenance and coffee. But we can analyse this list, and maybe we can see where we can “cut back a little”.

Maybe your spending on a specific item is higher than the average listed in the lists, so maybe you want to do something about it.

I will list all my sources below for cross reference, please keep in mind that these are what the average person spends YEARLY, it’s also not the exact figure, more of an approximation.

Let’s get rolling….

1. Coffee

$1,100

Not counting the coffee at home, the average coffee drinker will spend close to $1,100 a year on the java!

2. Cigarettes

$2,500

It’s a nasty habit. I’m glad I quit over a year ago! The average smoker spends close to $2500 on ciggies each year. That’s a vacation!

3. Transportation

$1,476

We can not do with out this, but maybe we can carpool or consider less expensive alternatives? I don’t know; I don’t travel to work.. So please enlighten me in the comments 🙂

4. Having Your Own Car

$8,945

I’m afraid this gets much worse, you’re better off using transportation. Amazingly, estimates show that accounting for insurance, gas, depreciation, and other expenses, somebody who does 15,000 miles per year has to fork out close to $9,000 annually. DAMN!!!

5. Dining Out

$1,800

Nearly $2,000 at restaurants every year. Not too bad, but maybe you want to check out some great recipes so you can start cooking at home?

6. Socialising

$600-$2000

I couldn’t find an exact figure of this amount online; all had different answers, but personally, I spend about $600 a year, which is not too bad.

7. Entertainment

$2,500

Maybe this ties in to socialising but the average US Consumers spend close $2,500 on entertaining themselves on events like movies, concerts, attractions, sightseeing etc…

8. Bottled Water

$985

The average price of a bottle of water is $1.35. If you drink two a day (you should drink more) that brings the total to $985 a year on WATER! Sure, you can’t live without it, but you might want to consider a water filter bottle!

Fun fact: If all the water you use at home costs as much as the average bottled water, it would cost you… wait for it…. $9,000!!

9. Upkeep of House

$2,876

Accounting for maintenance, upkeep and electricity BUT NOT rent or mortgage, your house costs you close to $3000!

10. Holiday Purchases & Gifts

$700

Christmas, birthdays, valentines and these holidays also take a toll on your budget. The total accumulated costs these days combined will cost you around  $700 a year!

11. House Pets

$1,000 – $1,600

Pets are expensive! Between upkeep, vets, insurance or whatever, a dog owner spends $1542 annually and cat owners spend $1183 annually. Hmmmmm

12. Beverages (Not water)

$850

An estimated $850 is spent on soft drinks by an average-sized family! That’s a lot for those unhealthy, sugar filled poison! Another great reason to get a water filter bottle.

Fun fact: $101 billion was spent on beer in 2010.

13. Clothes and Related Items

$1,700

Very much what I expected. It’s not too bad, but it could be less. Try shopping on a discount or check out online retailers like Amazon.

So there you go folks, what do you think of it? Are you overspending more than the average person on something?

Do you have any tips for the readers? I would greatly appreciate a comment with your tips, also feel free to share this post on your social media, we always welcome extra readers. 🙂

Thank you kindly, check out the sources for this article below!

My sources:

• Budgeting The Nest
• Get Rich Slowly
• Business.Time