Insights » Minnesota cities with highest and lowest 2023 household expenses

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

Minnesota skyline

How does living in the NorthStar state affect your wallet? doxo breaks down key insights about Minnesota’s household expenses, with a close eye to how bills differ in towns and cities across the state. The average household in Minnesota, doxo’s data reveals, pays $2,079 in bills per month.

doxo’s data also has infographics for 67 cities and towns across Minnesota, 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 Minnesota and how it changes according to location.

The data sheds light on Minnesota’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.

Minnesota residents pay $2,079 in household bills a month

The average Minnesota household pays $2,079 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.

Minnesota residents, overall, get a good deal on their bills: the state ranks 20th out of 50 states in terms of average monthly spending. Utah ranks 19th, with annual monthly expenses of $2,097, and Arizona ranks 21st, at $2,053.

Minnesota’s household expenses, on average, are 1.6% higher 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. Minnesota households spend 33% of their income on household bills.

Annually, Minnesota residents pay $52 billion in household bills. See more data about bill pay in Minnesota by clicking on the infographic link below.

Data: doxo INSIGHTS’ bill pay infographic about Minnesota

  • Average Bill Cost per HH: $2,079 per month
  • State Bill Pay Market Size: $52 billion
  • doxoINSIGHTS State Rank: 20 out of 50
  • Percent of HHI Used for Bills: 33%
  • Difference from the National Average: 1.6% higher

Housing bill category drives Minnesota’s low monthly bill expenses

The average Minnesota household pays $2,079 in the 10 most common household bills per month. Rent expenses drive savings, due to being considerably lower than the national average. The average rent is $1,096, compared to the national average rent bill of $1,191. All while the average mortgage payment in Minnesota is $1,510, compared to the national average mortgage bill of $1,321.

Other than housing-related expenses, auto loan bills are the most significant of the 10 most common bills for Minnesota residents. Still, these expenses are lower than the national average. The average auto loan bill in Minnesota is $447 a month, compared to the national average of $467.

Compared to the national average, health insurance bills are a notably higher expense for residents of Minnesota. The average household in the state pays $155 a month for health insurance, compared to the national average of $120.

Utilities, by contrast, is more affordable in Minnesota. While US residents on average spend $351 per month on utilities, in Minnesota they spend just $294.

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 Minnesota Household Bill Spending

Bill CategoryAverage Minnesota Monthly BillNational Average Monthly BillMinnesota Percent +/- National Average ($2,046)
Mortgage$1,510$1,32114% higher
Rent$1,096$1,1918% lower
Auto Loan$447$4674% lower
Utilities$294$35116% lower
Auto Insurance$193$2077% lower
Cable & Internet$113$1184% lower
Health Insurance$155$12029% higher
Mobile Phone$109$1198% lower
Alarm & Security$100$8419% higher
Life Insurance$102$8915% higher
Total$2,079$2,0461.6% higher

Excelsior tops the list of most expensive cities for Minnesota’s household bills

Residents of Excelsior pay the highest household bills in the state of Minnesota, at an average of $3,056 per month. Shakopee comes second in the rankings, with residents paying $2,933 on average per month.

In proportion to household income, however, Shakopee’s bills are costlier than ones in Excelsior. While Excelsior’s monthly bill basket makes up 26% of average household income there, Shakopee’s bill basket accounts for 40% 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 Minnesota Cities for Household Bills

Rank
(1-10 out of 67)
CityMonthly Bill Expenses Per Household*Percent of Household Income Used for Bills
1Excelsior$3,05626%
2Shakopee$2,93340%
3Wayzata$2,71326%
4Eden Prairie$2,55826%
5Minnetonka$2,49427%
6Savage$2,47225%
7Lakeville$2,46026%
8Maple Grove$2,46022%
9Chanhassen$2,44324%
10Farmington$2,43529%

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

Albert Lea is the most affordable Minnesota city for household bills

Out of 67 cities and towns, Albert Lea is the most affordable place in Minnesota, with residents paying $1,645 on average for household bills. Household bills account for 40% of local income in Albert Lea.

Fairmont comes in at the second most affordable town or city in Minnesota, with residents paying $1,683 per month on average.

Also on the list of 10 least expensive cities in Minnesota are Marshall ($1,725 per month), Hutchinson ($1,740 per month), and Saint Cloud ($1,750 per month).

10 Most Affordable Minnesota Cities for Household Bills

Rank
(58-67 out of 67)
CityMonthly Bill Expenses Per HouseholdPercent of Household Income Used for Bills
58New Ulm$1,82435%
59Fergus Falls$1,80942%
60Grand Rapids$1,80438%
61Little Falls$1,75540%
62Thief River Falls$1,75234%
63Saint Cloud$1,75039%
64Hutchinson$1,74034%
65Marshall$1,72539%
66Fairmont$1,68340%
67Albert Lea$1,64540%

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 Minnesota’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 4,200 towns and cities across the country.