Telephone services Spending

How much American households spend on telephone services — 2024 data from the BLS Consumer Expenditure Survey

Annual average (2024)
$1,460
Share of total spending
1.9%
Change vs 2023
+4.1%
Change vs 2020
+1.3%

Spending Insight: Telephone services

American households spent an average of $1,460 on telephone services in 2024, representing 1.9% of total consumer expenditures. This marks a notable 4.1% increase from 2023 ($1,403), outpacing general inflation and suggesting growing consumer prioritization of this category.

Since 2020, telephone services spending has risen by 1.3% (from $1,441 to $1,460), broadly tracking with inflation-adjusted cost changes. The category breaks into 2 subcategories, each with its own spending dynamic — drill into any row below to see the finer-grained picture.

Income is the strongest predictor of telephone services spending: the top income quintile spends $2,024/year versus $834 for the lowest quintile — a 2.4x gap. Regionally, the West spends the most ($1,570/year) while the Midwest spends the least ($1,355/year). Use the cross-cuts below — by income, region, age, household size, and housing tenure — to see which demographic factors drive this category hardest for your situation.

Spending Trend (2020–2024)

Year Annual Amount
2024 $1,460
2023 $1,403
2022 $1,431
2021 $1,409
2020 $1,441

Subcategories

Subcategory Annual Amount (2024)
Residential phone service, VOIP, and phone cards $100
Cellular phone service $1,359

By Income Level (2024)

How telephone services spending varies across income quintiles

Income Group Annual Amount
Lowest 20% $834
Second 20% $1,204
Middle 20% $1,465
Fourth 20% $1,770
Highest 20% $2,024

See full income breakdown →

By Region (2024)

Geographic variation in telephone services spending

See full regional breakdown →

By Age Group (2024)

How telephone services spending changes across the lifecycle

Age Group Annual Amount
25–34 $1,241
35–44 $1,604
45–54 $1,919
55–64 $1,596
65–74 $1,356
75 and older $1,096
Under 25 $806

See full age breakdown →

By Household Size (2024)

Size Annual
1 Person $849
2 People $1,722
3 People $1,451
4 People $1,758
5 or More $2,031

By Housing Tenure (2024)

Tenure Annual
Homeowner (with mortgage) $1,633
Homeowner (no mortgage) $1,772
Renter $1,448

Frequently Asked Questions

How much does the average household spend on telephone services?
The average American household spent $1,460 on telephone services in 2024, according to the BLS Consumer Expenditure Survey. This represents 1.9% of total household spending.
Is telephone services spending increasing?
Telephone services spending increased by 4.1% from 2023 to 2024 ($1,403 to $1,460). Over 5 years (2020–2024), it changed by +1.3%.
How does income affect telephone services spending?
The lowest income quintile spends $834/year on telephone services, while the highest quintile spends $2,024/year — a 2.4x difference. Higher-income households spend more in absolute terms but may allocate a smaller share of their budget.
Which region spends the most on telephone services?
The West region spends the most at $1,570/year, while the Midwest region spends the least at $1,355/year on telephone services.
Which age group spends the most on telephone services?
Households headed by someone in the 45–54 age group spend the most on telephone services at $1,919/year.
Does household size affect telephone services spending?
Yes. 1 Person households spend $849/year on telephone services, while 5 or More households spend $2,031/year. Larger households generally spend more in absolute terms on most categories.

Spending Guides

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Data source: U.S. Bureau of Labor Statistics, Consumer Expenditure Survey (BLS CEX). BLS CEX homepage. Data represents average annual expenditures per consumer unit. 2024 data released 2025. See our methodology for processing details.

Disclaimer: This information is provided for informational purposes only and does not constitute professional advice. Data is sourced from the BLS Consumer Expenditure Survey. Consult a qualified professional before making decisions based on this data.