Did you know that on average, working families are spending nearly 30% of their incomes on transportation? In some cases, transportation costs are exceeding those of even housing. To see the breakdown in 29 regions, take a look at the above graphic from Penny Wise, Pound Fuelish, a report published by the Center for Neighborhood Technology.
If that isn’t outrageous enough, according to the American Automobile Association’s 2010 Your Driving Costs report, the average cost to own and operate a mid-sized sedan has risen 4.8 percent from last year, to 56.6 cents per mile, or $8,487 per year (based on 15,000 miles of annual driving).
I’d bet that many people have no idea they’re spending such a high percentage of their hard-earned cash on transportation (and automobiles specifically). If a person is able to do it, eliminating a car and using alternative transportation is the most obvious way to dramatically cut costs and operate more efficiently in these times of shrinking household budgets.