Here's how much people with and without debt spend on 9 common expenses
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Jul 24, 2019, 22:56 IST
Car loans and leases were the biggest luxury expenses for both debtors and non-debtors. However, few respondents said they would be willing to cut back. Only 26% of those in debt said they would be willing to cut their spending in half, versus 22% of those not in debt.
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Leisure travel, not a necessity by any means, cost those in debt an average of $2,211 per year. However, only 1 in 3 respondents who were in debt were willing to cut their travel budget in half to save money.
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Respondents to the poll, both those in debt and not in debt, reported being the most willing to cut their dining and takeout food expenses by half. 48% of debtors and 44% of non-debtors would be willing to do so.
People with credit card debt spent slightly more per year on clothing, shoes, and accessories than those not in debt — $1,892 versus $1,515. They were also slightly more willing to cut back on this expense.
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Cell phones are a must-have item, even for those in credit card debt. Debtors reported spending an average of $1,629 per year on cell phone services and upgrades, while only 25% of survey respondents said they'd be willing to cut their spending in half.
Out-of-home entertainment was less important to survey respondents — 36% of debtors and 33% of non-debtors reported being willing to cut their spending on this expense in half.
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Overall, respondents didn't want to cut back on their fitness expenses. Only 28% of debtors and 18% of non-debtors said they'd be willing to pay half of what they're spending now.
Average spending on subscription services like Netflix, Amazon Prime Video, Hulu, and Spotify was the second-lowest on this list — $1,198 per year for debtors and $1,083 per year for non-debtors. More than 1 in 3 respondents for both groups said they'd be willing to cut their bill in half.
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Respondents spent the least amount of money annually on personal care and beauty services, only $1,146 for debtors and $945 for non-debtors.