Insights » Michigan cities with highest and lowest 2023 household expenses

2023 Report: Cities in Michigan where Household Expenses are Highest and Lowest

Michigan skyline

How does living in the Great Lake state affect your wallet? doxo breaks down key insights about Michigan’s household expenses, with a close eye to how bills differ in towns and cities across the state. The average household in Michigan, doxo’s data reveals, pays $1,809 in bills per month.

doxo’s data also has infographics for 167 cities and towns across Michigan, breaking down localized bill pay data figures as well. The state-wide rankings for most and least expensive cities provide insight into cost of living in Michigan and how it changes according to location.

The data sheds light on Michigan’s cost of living through other metrics, too. For example, the “percent of household income” data point shows what percentage of household income local residents spend on bills. doxo’s data also indicates how much more or less expensive specific cities are than the national and state average.

Michigan residents pay $1,809 in household bills a month

The average Michigan household pays $1,809 a month for the 10 most common household bills. This figure takes into account the 10 most common household bills, which are:Mortgage; Rent; Auto Loan; Utilities (electric, gas, water & sewer, and waste & recycling); Auto Insurance; Cable & Internet & Phone, Health Insurance (consumer paid portion); Mobile Phone; Alarm & Security; and Life Insurance.

Michigan residents, overall, get a good deal on their bills: the state ranks 38th out of 50 states in terms of average monthly spending. Kansas ranks 37th, with annual monthly expenses of $1,820, and Ohio ranks 39th, at $1,789.

Michigan’s household expenses, on average, are 11.6% lower than the national average of $2,046.

Absolute dollar amounts don’t tell the full story, however. The “percentage of household income” metric provides a more proportional look at bill spending in a particular location. Michigan households spend 35% of their income on household bills. 

Annually, Michigan residents pay $84 billion in household bills. See more data about bill pay in Michigan by clicking on the infographic link below.

Data: doxoINSIGHTS’ bill pay infographic about Michigan

  • Average Bill Cost per HH: $1,809 per month
  • State Bill Pay Market Size: $84 billion
  • doxoINSIGHTS State Rank: 38 out of 50
  • Percent of HHI Used for Bills: 35%
  • Difference from the National Average: 11.6% lower

The average Michigan household pays $1,809 in the 10 most common household bills per month. Rent and mortgage expenses drive savings, with both being considerably lower than the national average. The average mortgage payment in Michigan is $1,198, and average rent is $966, compared to the national average mortgage bill of $1,321 and rent bill of $1,191.

Other than housing-related expenses, auto loans are the most significant of the 10 most common bills for residents of Michigan. Still, these expenses are still lower than the national average. The average auto loan bill in Michigan is $431 a month, compared to the national average of $467.

Compared to the national average, alarm and security are a notably higher expense for residents of Michigan. The average household in the state pays $98 a month for alarm and security, compared to the national average of $84.

Auto insurance, by contrast, is more affordable in Michigan. While US residents on average spend $207 per month on car insurance, in Michigan they spend just $183.

Note: Health Insurance and Life Insurance expenses do not account for payments made by employers on behalf of employees. These just include out-of-pocket expenses. Also, the state and national bill totals take into account the percentage of households that pay a bill.

Average Michigan Household Bill Spending

Bill CategoryAverage Michigan Monthly BillNational Average Monthly BillMichigan Percent +/- National Average ($2,046)
Mortgage$1,198$1,3219% lower
Rent$966$1,19119% lower
Auto Loan$431$4678% lower
Utilities$320$3519% lower
Auto Insurance$183$20712% lower
Cable & Internet$116$1182% lower
Health Insurance$121$1201% higher
Mobile Phone$112$1196% lower
Alarm & Security$98$8417% higher
Life Insurance$83$897% lower
Total$1,809$2,04611.6% lower

Bloomfield Hills tops the list of most expensive cities for Michigan’s household bills

Residents of Bloomfield Hills pay the highest household bills in the state of Michigan, at an average of $2,788 per month. Birmingham comes second in the rankings, with residents paying $2,775 on average per month.

In proportion to household income, however, Birmingham’s bills are slightly costlier than ones in Bloomfield Hills. While Birmingham’s monthly bill basket makes up 26% of average household income there, Bloomfield Hills’ bill basket accounts for just 25% of average household income in that area.

Access detailed infographics about each city or town by clicking on the hyperlinks in the “City” column in the tables below. You can also browse doxoINSIGHTS’ regional bill comparison database to see infographics about more than 4,200 cities and towns across all 50 states in the US.

10 Most Expensive Michigan Cities for Household Bills

Rank
(1-10 out of 167)
CityMonthly Bill Expenses Per Household*Percent of Household Income Used for Bills
1Bloomfield Hills$2,78825%
2Birmingham$2,77526%
3Traverse City$2,61848%
4Ada$2,57122%
5Dexter$2,51426%
6Northville$2,49424%
7West Bloomfield$2,45027%
8Ann Arbor$2,40336%
9Franklin$2,40221%
10Canton$2,33928%

*Household Bill Pay Expense averages shown above reflect the ten most common bills paid, including housing (rent/mortgage).

Menominee is the most affordable Michigan city for household bills

Out of 167 cities and towns, Menominee is the most affordable place in Michigan, with residents paying $1,302 on average for household bills. Household bills account for 35% of local income in Menominee.

Harrison comes in at the second most affordable town or city in Michigan, with residents paying $1,304 per month on average.

Also on the list of 10 least expensive cities in Michigan are Alpena ($1,309 per month), Muskegon ($1,369 per month), and Hamtramck ($1,385 per month).

10 Most Affordable Michigan Cities for Household Bills

Rank
(158-167 out of 167)
CityMonthly Bill Expenses Per HouseholdPercent of Household Income Used for Bills
158Dowagiac$1,47937%
159Gladwin$1,46238%
160Battle Creek$1,43836%
161Big Rapids$1,42841%
162Cedar Springs$1,41926%
163Hamtramck$1,38557%
164Muskegon$1,36933%
165Alpena$1,30937%
166Harrison$1,30444%
167Menominee$1,30235%

Some individuals may be deciding whether to move from a more expensive city to a less expensive one. doxoINSIGHTS can be a valuable resource for consumers seeking to make key decisions like this, allowing them to compare Michigan’s household expenses against average bills in different cities and states across the country. They can also use doxoINSIGHTS’ regional bill comparison database to compare average costs for over 900 towns and cities across the country.