This is how spending habits change with age | Smart Switch: Personal Finance

– Annual average spending in 2020 for all consumer units: $9,826

– Under 25 years: $7,300

– Age 25-34: $10,277

– Age 35-44: $12,617

– Age 45-54: $12,316

– Age 55-64: $10,287

– Age 65-74: $7,676

– Over 75 years old: $4,205

The auto industry has been on a wild ride since COVID-19 hit. In April 2020, US sales fell 47%. With in-person restrictions making it difficult to visit dealerships, many shoppers made their purchases online. Still, there was the issue of supply versus demand, with supply chain problems and microchip shortages adding to the delays. And with fewer people commuting to work, the need for a vehicle wasn’t as great for many.

Another trend that grew out of this was the sale of used cars. People ages 35-44 were the biggest spenders in this category with an average annual spend of $3,573. For car rentals, the 45-54 age group stood out here, spending an average of $952 a year.

Despite limitations in terms of vehicle access, public transport use also did not increase, possibly due to COVID-19 restrictions. The age group that used public transport the most was 35 to 44 years old, spending an average of $335 a year. However, during 2020 some positive changes also began, including a 43% increase in electric vehicles.

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