Do you ever question where all the money you earned went? That thought likely applies to most of us. A great friend often says, “Life happens.” And I typically add, “And it costs more than you thought it would.”
Fortunately the U.S. Bureau of Labor Statistics tracks typical household incomes and expenditures. HowMuch.Net added details on taxes and savings. $1 out of every $7 earned went to taxes. Housing accounted for $1 out of every $4 earned, food $1 out of every $10 and transportation $1 out of every $8.
The following table shows how the average American household spent their money in 2018.
To read the press release from the U.S. Bureau of Labor Statistics and compare spending changes from 2016 through 2018 click https://www.bls.gov/news.release/cesan.nr0.htm
For a graphic depicting income and spending click https://howmuch.net/articles/breakdown-average-american-spending
While all hope for a larger paycheck, I need to share the insightful philosophy from a former Texas A&M colleague, Professor Emeritus, Dr. Ivan Schmedemann, who frequently stated, “When you make more money you are just broke at a higher level.” For many that is, unfortunately, true.