doxoINSIGHTS » Cost of Utilities in 2025

New Report Shows what Americans Really Pay for Utilities

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doxoINISIGHTS 2025 Utility Reports reveal the most and least costly cities and states for utilities, with Americans spending $532 billion annually on their utility bills.

With AI energy demands, tariffs, and shifts towards renewable energy creating uncertainty in the utilities industry, five new reports released by doxo reveal how much individual Americans are actually paying for their utilities. A statistical analysis of actual household payments toward four main utilities categories (Energy, Gas, Waste & Recycle, and Water & Sewer) across 97% of U.S. zip codes. The 2025 U.S. Utilities Market Size and Household Spending Report found that U.S. households with utility bills spend a median of $347 per month, or $4,168 per year. 

The reports break out the household spending market size; percentage of households that pay each bill; and median monthly and annual bill pay costs by state, as well as the 50 largest U.S. cities (based on the number of households), and those cities with 40k or more residents.

Key findings from doxoINSIGHTS 2025 Utilities Reports:

Cost of Utilities in the U.S.
  • Americans spend a total of $532 billion a year on Utilities 
  • The median annual cost per household is $4,168 a year for total Utilities
  • Utilities bills amount to 5% of annual household income

Read combined report →

Electric Utilities Market Size and Household Spending

  • Total Electric Utilities Market Size: $217 billion per year
  • Median Monthly/Annual Bill Payment: $120 per month; $1,440 per year
  • Percent of Households: 90% of U.S. households pay Electric Utilities
  • Percent of Household Bill Pay Expense: Electric Utilities bills amount to 5% of consumers’ household bill pay costs per year

Water & Sewer Utilities Market Size and Household Spending

  • Total Water & Sewer Utilities Market Size: $129 billion per year
  • Median Monthly/Annual Bill Payment: $86 per month; $1,036 per year
  • Percent of Households: 72% of U.S. households pay Water & Sewer Utilities
  • Percent of Household Bill Pay Expense: Water & Sewer Utilities bills amount to 3% of consumers’ household bill pay costs per year

Gas Utilities Market Size and Household Spending

  • Total Gas Utilities Market Size: $110 billion per year
  • Median Monthly/Annual Bill Payment: $71 per month; $852 per year
  • Percent of Households: 66% of U.S. households pay Gas Utilities
  • Percent of Household Bill Pay Expense: Gas Utilities bills amount to 2% of consumers’ household bill pay costs per year

Waste & Recycle Utilities Market Size and Household Spending

  • Total Waste & Recycle Utilities Market Size: $75 billion per year
  • Median Monthly/Annual Bill Payment: $70 per month; $840 per year
  • Percent of Households: 53% of U.S. households pay Waste & recycle Utilities
  • Percent of Household Bill Pay Expense: Waste & recycle Utilities bills amount to 2% of consumers’ household bill pay costs per year

Concerns of impending increases in utilities prices compound already considerable increases over the last year. Electricity prices have increased 6.2% since 2024 and Gas utility prices have increased a staggering 13.8%, a result of demand surges, massive infrastructure spending, and rising fuel and material costs. Water & Sewer and Waste & Recycle face similar trends with 4.8% and 6.5% increase respectively. 

Over the past five years, U.S. household utility costs have risen roughly 15%, driven largely by volatile energy markets. Gas utilities saw the steepest climb—up 25%—following pandemic-era supply shortages and the global fuel disruptions of 2022–2023, before easing in 2024. Electricity prices increased nearly 20% overall, with a 7% rise in 2025 tied to higher demand from AI data centers and grid investments. Meanwhile, water & sewer, and waste & recycling services rose more steadily in line with inflation and infrastructure costs.

“American families are navigating a perfect storm of rising utility costs,” said Steve Shivers, Co-founder and CEO of doxo. “Sweeping infrastructure transformation and increasing energy demand are converging, resulting in more costs being passed to households. That’s why we’re committed to empowering consumers with the tools and transparency they need to better track and manage essential bill payments, regardless of how or where they choose to pay.”

Top 10 Most Expensive States for Utilities 

StateMonthly Electric Median BillMonthly Gas Median BillMonthly Waste & Recycling Median BillMonthly Water & Sewer Median BillMonthly Total Utilities Median Bill
Maryland$150$80$127$189$546
Connecticut$129$100$124$134$488
Massachusetts$136$117$127$100$481
Washington$120$99$86$162$466
Hawaii$197$80$34$136$447
Alaska$121$136$70$118$445
Rhode Island$184$107$71$76$438
New Jersey$124$100$111$100$435
Maine$150$82$85$113$430
Vermont$137$89$69$131$425

Top 10 Most Expensive Large U.S. Cities for Utilities 

CityMonthly Electric Median BillMonthly Gas Median BillMonthly Waste & Recycling Median BillMonthly Water & Sewer Median BillMonthly Total Utilities Median Bill
New York, NY$130$85$517$121$853
Milwaukee, WI$110$98$179$200$588
San Jose, CA$119$158$152$150$579
San Francisco, CA$100$166$133$146$545
Baltimore, MD$165$123$115$100$503
Memphis, TN$174$171$71$81$497
Seattle, WA$102$78$150$162$493
Washington, DC$100$83$159$137$478
San Diego, CA$100$121$104$144$469
Detroit, MI$145$150$86$80$461

*Median Monthly Electric Bill + Median Monthly Gas Bill + Median Monthly Waste/Recycling Bill + Median Monthly Water/Sewer Bill = Monthly Total Utilities Bill

The information presented above and in the reports is derived from the doxoINSIGHTS 2025 U.S. Household Bill Pay Report, which reflects a 12-month overview of actual consumer payment data from March 2024 to March 2025. To access the latest analysis of household bill expenses, click on the state or city hyperlinks within the chart. Alternatively, you can visit www.doxo.com/w/explore and select a state to explore household bill expense data for each state, county, and city.