Insights » COVID-19 Changes in Consumer Spending and Saving Habits

A Year of COVID-19: Changes in Consumer Spending and Saving Habits

Feature image for doxoINSIGHTS Consumer Insights Report

Today, doxo released new survey data on Americans’ habits around bill pay and financial health after year of COVID-19. doxoINSIGHTS’ new report, “Household Bills and Financial Health After a Year of COVID-19: Changes in Consumer Saving and Spending Habits,” presents this survey data. The report shows where households saw the biggest change in their bills since March of last year. It also shows how these changes impacted consumers’ spending and saving habits, both in the short and long term. Additionally, it sheds light on whether the series of stimulus checks distributed by the government brought financial relief.

Key findings from the report include:

95% of Americans said stimulus checks helped improve their financial health over the past year

  • Over 9 in 10 people said the stimulus checks helped them between “a little” and “a great deal.”
  • 90% of people feel confident that stimulus payments will help the U.S. economy improve between “a little” and “a great deal.”
  • 63% of people believe their financial health will recover within a year.
  • 74% of people believe the economy will take more than a year to recover.

The majority of stimulus funds were used towards reducing household bills

  • 3 in 5 Americans (60%) who received stimulus payments over the past year used them to pay household bills.
    • Of those, the most popular category to pay by far was Utilities, which households paid in 70% of cases.
    • The next most popular were Mobile Phone and Cable & Internet bills, which were paid in 41% and 39% of cases.
  • Paying down debt, at 17%, was the second most popular use.
  • 10% of Americans put their stimulus money in savings.

70% of consumers cut back spending in at least one household bill category due to the pandemic

  • Nearly half (48%) of this group brought their Cable & Internet bill down.
  • 46% of those who reduced at least one bill cut back on expenses in Utilities.

7/27/21 UPDATE: doxoINSIGHTS has released a second report on the financial impact of the pandemic. This report considers the changes in consumer spending on the household bills most affected by remote work. These affected bill categories are Utilities, Mobile Phone, and Cable & Internet. Download the report: A Year of COVID-19: The Financial Impact of Working From Home.