New Jersey residents pay approximately $8,000 more per year on household expenses than the average American, making the Garden State the fourth-most expensive state for essential bills, according to a recent study by payment network doxoINSIGHTS.
The study found that New Jersey households spend an average of $33,624 annually on essential bills, including mortgage or rent payments, utilities, insurance, car payments, phone and internet services, and other monthly expenses. This breaks down to about $2,802 per month, significantly higher than the national average of $2,162 per month, or $25,513 annually.
The report also noted a 4 percent increase in household expenses nationwide compared to last year, when the average American paid $24,557 annually.
While New Jersey households face higher costs, doxo analysts highlighted that Garden State residents spend a slightly smaller portion of their income on bills compared to the national average. The study found that New Jersey households spend 32 percent of their income on essential bills, while the average American household spends 34 percent. However, with a median household income of nearly $100,000 in New Jersey, according to Census data, that 32 percent still represents a significant financial burden.
New Jersey residents pay higher-than-average costs in nine out of the ten household bill categories studied by doxo. The one exception is auto insurance, where New Jerseyans pay 2 percent less than the national average, saving around $5 per month.
However, homeowners in New Jersey face steep mortgage payments, with the average monthly mortgage bill in the state at $2,460—75 percent higher than the national average of $1,402, according to the report.