Ameer Randolph
With the cost of fuel rising, Americans are feeling the pinch at the pump. Fuel is one of the biggest expenses in a person's life, and in the US, motor gasoline is one of the most consumed fuels, with Americans using about 135.73 billion gallons of gasoline in 2022. The average American spends around $166 a month on gas, totalling just under $2,000 a year, but this varies depending on location and income. In 2023, Americans spent $2,449 on average, with fuel accounting for 3.2% of their total budget. This is a significant expense, and with gas prices fluctuating, Americans are looking for ways to save money at the pump.
| Characteristics | Values |
|---|---|
| Average money spent on gas per year by an American driver | $3,000 |
| Average monthly gas cost across the 50 US states | $177.85 |
| Average cost of gas per gallon in 2025 | $3.13 |
| Lowest weekly national average in 2025 | $3.03 |
| Average cost of gas per gallon in 2024 | $3.62 |
| Average cost of gas per gallon in 2023 | $3.52 |
| Average cost of gas per gallon in 2022 | $4.27 |
| Highest recorded average price of regular gas | $5.06 per gallon (June 2022) |
| Lowest annual average cost for a gallon of gas | $2.19 (2020) |
| Highest average gas prices by state | California and Hawaii |
| Lowest average gas prices by state | Mississippi and Tennessee |
| Highest average gas prices by ZIP code | Western states |
| Lowest average gas prices by ZIP code | Southeastern states |
| Highest average gas prices by vehicle model | Ram 2500 ($106.12 in 2024) |
| Lowest average gas prices by vehicle model | Honda Civic and Toyota Corolla Cross ($41.12 in 2024) |
| Ways to reduce fuel costs | Walking, biking, public transport, carpooling, driving smaller cars, driving cars with less powerful engines, properly tuning the engine, fixing car maintenance problems, keeping tires inflated to the right levels, etc. |
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What You'll Learn
Average fuel costs per year
Fuel costs in the United States vary widely and are dependent on several factors. These factors include local taxes, refinery access, and supply disruptions. The day of the week can also impact fuel costs, with a survey by GasBuddy finding that gas is typically cheapest on Mondays and most expensive on Fridays and Saturdays.
In 2023, the average price of gasoline in the United States was $3.52 per gallon, a decrease of almost 10.89% from $3.95 in 2022. Gasoline prices in the United States have been steadily declining since 2022 due to slowing demand. Despite this recent decrease, gasoline prices in the United States have historically been volatile. Between 2008 and 2011, during a period of global economic slowdown and recovery, gasoline prices in the United States peaked at $3.62 per gallon in 2012. While there was a dip in 2013, prices remained above $3 per gallon throughout 2014.
However, in 2015, crude oil prices plummeted, resulting in a significant drop in gasoline prices. By 2016, the average price of gasoline in the United States had fallen to a record low of $2.14 per gallon. It's worth noting that gasoline prices in the United States are significantly lower than in many other countries. For example, in October 2022, customers in Norway paid approximately $8.10 per gallon, making it one of the most expensive countries for gasoline prices globally.
To provide a more detailed estimate of annual fuel costs in the United States, we would need to consider various factors, such as the average fuel economy of vehicles, the number of miles driven per year, and the distribution of fuel prices across different states. Additionally, it's important to remember that fuel costs can be reduced through strategic purchasing and the use of rewards programs or cash-back credit cards. By taking advantage of loyalty programs and planning fuel stops in advance, individuals can further reduce their average fuel costs per year.
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Fuel costs by state
Fuel costs in the US vary by state and are subject to fluctuations. Several factors influence fuel costs, including taxes, transportation costs, supply chains, and local regulations. States with higher fuel taxes or limited access to refineries tend to have higher prices, while those with lower taxes or an abundant local supply often have cheaper rates.
According to a report from June 2025, California had the highest average fuel prices in the nation at $4.50 per gallon. Hawaii, Washington, Oregon, and Nevada followed closely, with prices ranging from $4.48 to $3.75 per gallon. On the other hand, Mississippi, Tennessee, Oklahoma, Texas, and Arkansas boasted some of the lowest fuel prices, with rates between $2.72 and $2.79 per gallon.
The cost of driving varies depending on whether one drives a traditional gas-powered vehicle or an electric vehicle (EV). For example, a 2024 Honda Pilot FWD consumes about $1,704 in gasoline annually in Texas, whereas a resident of the same state could save around $1,235 in fuel costs each year by switching to an EV. California has the largest number of public charging stations for EVs, with 18,955 stations in total. However, Vermont leads the country in terms of charging stations per resident, with one station for every 1,262 people.
To save money on fuel, consumers can use tools like GasBuddy, which helps users find cheap gas by zip code and provides real-time price information for nearby gas stations. Additionally, consumers can maximize their savings by using cash-back credit cards or purchasing gas on Mondays, which is typically the cheapest day of the week.
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Fuel costs by car model
Fuel costs vary significantly across vehicle types. Driving a smaller car, such as a sedan, can reduce fuel costs by up to half compared to a large SUV. For instance, the Honda Civic and Toyota Corolla Cross cost around $41.12 to fill up, while the Toyota Camry, another sedan, costs $52.39 to fuel. In contrast, the Jeep Grand Cherokee and Toyota 4Runner, both SUVs, cost $81.50 to fill. The most expensive model to fill up is the Ram 2500, costing $106.12 at the pump in 2024.
The US Energy Information Administration (EIA) projects that by 2025, the fuel economy of midsize passenger cars using gasoline will increase to more than 53 miles per gallon (mpg) from about 35 mpg today. This improvement is due to the addition of fuel efficiency technology, including micro and mild hybridization.
Similarly, the projected compliance fuel economy for fully hybrid electric vehicles (HEVs) is expected to increase from around 50 mpg in 2010 to 71 mpg in 2025. While the vehicle cost remains high, at just over $30,000, the improved fuel efficiency will result in significant savings.
For vehicles driven 12,000 miles annually, a midsize car today will save 116 gallons of fuel per year compared to a midsize car from 2012, amounting to $408 in savings if gasoline costs $3.50 per gallon. While diesel vehicles achieve slightly higher fuel economy, the higher cost of diesel fuel means the annual fuel cost can be higher than for a standard gasoline car.
Additionally, the cost of driving varies depending on the state and the type of vehicle, with electric vehicles (EVs) often being a more cost-effective option. For example, a 2024 Tesla Model Y Performance AWD EV costs approximately $469 to charge annually in Texas, while a 2024 Honda Pilot FWD consumes about $1,704 in gasoline during the same period.
To reduce fuel costs, there are several strategies that drivers can employ. These include choosing a smaller car with a less powerful engine, ensuring proper engine tuning and maintenance, and avoiding unnecessary accessories that increase drag, such as deck-lid spoilers. Maintaining proper tire inflation, using the recommended grade of motor oil, and planning routes to minimize distance and traffic can also help optimize fuel efficiency.
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Fuel costs by engine size
Fuel costs in the United States vary depending on several factors, including the type of vehicle, engine size, fuel type, driving distance, and fuel efficiency. The average American driver spends approximately $3,000 per year on gas, with prices fluctuating across different states. California and Hawaii have the highest fuel prices, while Mississippi and Tennessee offer cheaper rates.
When considering fuel costs by engine size, larger engines typically consume more fuel than smaller ones. For instance, a full-size SUV with a V8 engine may average around 13-16 mpg (miles per gallon) in the city and 15-19 mpg on the highway. On the other hand, a smaller car with a four-cylinder engine can provide better fuel efficiency, often reaching about half the fuel cost of a large SUV.
The number of cylinders in an engine also impacts fuel consumption. A light pickup truck with a four-cylinder engine can achieve better fuel efficiency, averaging around 28 mpg, while its V8 counterpart may only manage 13-16 mpg in the city and 15-18 mpg on the highway.
Additionally, proper engine tuning can significantly enhance fuel efficiency. Fixing a car that has failed an emissions test or addressing a faulty oxygen sensor can improve fuel mileage by 4% and up to 40%, respectively. Using the manufacturer's recommended grade of motor oil can also positively impact fuel efficiency by 1-2%.
The type of fuel used also influences fuel costs. Diesel fuel contains approximately 10% more energy per unit volume than gasoline, resulting in reduced fuel consumption for the same power output. For example, the Skoda Octavia, using Volkswagen engines, achieves a combined European fuel efficiency of 5.7 L/100 km (41 mpg) for the 78 kW petrol engine and 4.5 L/100 km (52 mpg) for the equivalent diesel engine.
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Ways to save on fuel
Fuel prices in the US vary across states and are subject to fluctuations due to factors like local taxes, refinery access, and supply disruptions. While the exact amount that fuel costs in America was not readily available, there are several ways to save on fuel, which are outlined below.
- Compare prices using apps or websites: Utilize tools like GasBuddy, Google Maps, or Waze to find the cheapest gas prices in your area.
- Take advantage of rewards programs: Many gas stations and grocery stores offer rewards programs or discounts to loyal customers. For instance, Kroger offers a redemption value of up to 1,000 Fuel Points for $1 off per gallon.
- Use a credit card with rewards or cash back: Some credit cards provide cash back or rewards points when purchasing gas. Just be sure to pay off the balance in full each month to avoid interest charges.
- Pay with cash: Some gas stations offer a lower price per gallon for cash payments instead of credit card transactions, as they avoid card processing fees.
- Plan your trips: Combine trips to take advantage of a warmed-up engine, which improves fuel economy. Proper planning can also help you find more fuel-efficient routes.
- Maintain proper tire inflation and remove unnecessary weight: Keeping your tires properly inflated and removing unnecessary heavy items from your vehicle can help improve fuel efficiency.
- Avoid aggressive driving: Sharp accelerating, braking, and driving in heavy traffic can increase fuel consumption. Instead, practice a smooth driving style with gentle acceleration and coasting.
- Use cruise control on highways: Cruise control helps maintain a steady speed, improving fuel efficiency. However, on hilly terrain, it may be more fuel-efficient to drive without cruise control to avoid unnecessary downshifting.
- Minimize idle time: Turning off your engine when not driving can save fuel. The US federal government estimates that idling can waste up to 3 cents per minute.
- Strategize air conditioning and window usage: Running the air conditioner increases fuel consumption. In hot weather, consider rolling down the windows at low speeds, and use air conditioning only when driving at higher speeds to minimize drag.
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Frequently asked questions
Americans spent an average of $2,449 on fuel in 2023, up from $1,447 in 2020. This amounts to about $204 spent on fuel per month.
Fuel expenditure as a percentage of income varies by income. For the lowest 20% of earners, fuel accounted for 3.7% of their spending in 2023, or $1,233. For the top 20% of earners, fuel took up 2.3% of their budget, and they spent $3,447.
Fuel expenditure varies by state, with Americans in Wyoming spending the most on fuel per month at $206, despite cheaper gas prices. This is because Wyoming residents drive more miles per driver than any other state besides Mississippi. Other states where fuel expenditure is high include Mississippi, New Mexico, Oklahoma, Indiana, and Alabama.
The price of fuel is influenced by supply and demand, as well as the type of fuel and the gas station. Fuel prices can also vary by state and city, with some locations being more expensive and requiring more commuting.
