Business
Americans spend $179 on fuel each month—here’s how to spend less
Owning a vehicle comes with a whole host of costs—from insurance and maintenance to parking and tolls. And if the past year has proven anything, it’s that another cost associated with vehicle use—namely fuel—can fluctuate wildly, putting further strain on your bank account for an already costly necessity.
CoPilot looked into the Bureau of Labor Statistics’ Consumer Expenditure Surveys to see how much Americans spend on fuel for their vehicles and used sources from insurance companies, transportation fleet managers, and government agencies to determine some ways to lower that expenditure.
On average, Americans spent $179 per month (or $2,148 annually) on gasoline, other fuels, and motor oils in 2021, accounting for around 3% of overall annual expenses. In terms of finding decisive ways to cut that cost, one front-of-mind idea might be to consider an electric vehicle. EVs are gaining in popularity, the major automakers are investing heavily in an electric future, and the government incentivizes most EV buyers.
While switching to a car with better fuel economy, such as a hybrid or fully electric vehicle, can lead to big reductions in monthly fuel expenses, hybrids and EVs often cost more than their gasoline-only counterparts, and the fuel savings may not offset that difference for a number of years. What’s more, the infrastructure EVs depend on for charging remains in something of a developmental stage, making them a limited alternative to gas-powered vehicles—at least for now.
There are approximately 250 million cars and trucks on U.S. roadways; less than 1% are electric. So for those either not in the market for a new vehicle or simply content to stick with the reliability of gasoline-powered travel, the following list offers a wide range of suggestions, best practices, and easy lifestyle adjustments that can reduce the monthly costs associated with fueling a personal vehicle.
CoPilot
Wealthy households spend more than twice as much on gasoline
Even as gas prices were at their highest since 2014 (adjusted for inflation), spending on fuel in 2021 increased from 2019 levels by only $54 per year on average. And while the drastic reduction in driving brought on during the height of the COVID-19 pandemic in 2020 had a great impact on fuel spending that year, it does not seem to have extended to significantly changed habits in the following year—driving in 2021 dropped by only 1% when compared with 2019 levels.
Though average spending on fuel in 2021 was high, the lack of an even more dramatic increase due to high gas prices can be attributed mainly to the steady rise in the fuel efficiency of vehicles over the past decade.
Another important consideration raised by this is whether or not the burden of those fuel expenses is felt equally across income levels. Bureau of Labor Statistics data suggests it does not. For those in the lowest income quintile, spending on fuel represented 3.6% of total expenses. The burden decreased for each subsequent income bracket; in the highest quintile, it represented just 2.4% of total costs.
While this disparity might seem minimal when considering the upper limit of the lower quintile’s household earnings is just over $27,000, and the lower limit (or floor) of the highest quintile is $141,000, that 1.2% difference comes starkly into focus.
So while the increase in the fuel economy of newer cars seems to have a relative equalizing force on fuel expenses when taken on average, income disparity implies that those in lower income quintiles do not reap the benefits of those improvements in automotive engineering.
Canva
Consider alternative forms of transportation
From their walkability to the accessibility and affordability of public transit, urban areas such as cities offer residents, especially those living in city centers, alternatives to using personal vehicles to get around. This isn’t just beneficial to their health and that of the environment; it also helps people reduce fuel costs.
Overall, those who live in urban areas spent $3,303 less on transportation than those in rural areas in 2021. Fuel expenses accounted for roughly 13% of transportation costs, meaning even those who owned cars in urban areas spent on average $39 less per month on fuel than those in rural settings.
This is not to say, however, that rural or micropolitan areas cannot take advantage of alternative forms of transportation. Small towns across the U.S. have begun to see the value in investing in bike-share programs, using its infrastructure funding to add bike-protected lanes on their streets. This is especially true in smaller college towns, where foot and bike traffic tends to be high.
So whether it’s via bike, scooter, or sneakers, tackling short-distance trips by means other than your vehicle can translate to more cash in your pocket.
Canva
Keep a close eye on how you’re using your vehicle’s features
The data is clear: Sensible driving makes a meaningful impact on the efficiency of your car.
Frequent braking and acceleration, fast driving, and A/C overuse are a few habits that can increase the overall cost of travel in your vehicle. Using A/C during hot weather can reduce fuel economy by more than 25%, according to the Department of Energy. Parking your car in shade, rolling down your windows at low speeds, and preemptively letting hot air out of the cabin as you begin your journey are a few ways to decrease the impact of heat and make your car more comfortable A/C-free.
The power of a car’s acceleration is something many, if not most, drivers love, and many car buyers put a particular value on speed capability when making their decision. For most vehicles, however, speeding also comes at a cost. For every 5 mph above 50, the cost per gallon of gas increases, depending on your vehicle’s make, model, and year.
Suppose you are driving a 2020 Ford F-150 4WD (incidentally, the bestselling truck in the U.S. since the late 1970s); the difference between going 65 mph and 80 mph is approximately $1 per gallon of gas—meaning what it costs you per 100 miles to hit the highway at 80 is equivalent to the price of an additional gallon of gas or more. Considering the average person drives 13,476 miles per year, keeping to the lower speed (on average) translates into more than $440 in fuel savings.
Coupled with the 15%-30% decrease in fuel economy brought on by frequent braking and acceleration, maintaining steady speeds, accelerating and braking gently, using cruise control, and leaving ample space between your car and the one in front of you can cut your fuel costs while also keeping you safer on the road.
Canva
Properly maintain your vehicle
In addition to benefiting its life span, properly maintaining and organizing your vehicle can lead to a small but mighty decrease in monthly fuel expenses.
Keeping your tires inflated to recommended levels, reducing excess weight, and using the recommended grade of motor oil all benefit fuel economy, according to the DOE.
Moreover, and as per basic physics, your car’s fuel use is greatly impacted by aerodynamics; so, while it might seem handy to keep that cargo pod on your roof, or that bicycle rack on your bumper, it can decrease your car’s efficiency by as much as 8% when you’re just tooling around town and as much as 25% on the interstate.
T. Schneider // Shutterstock
Purchase fuel with purpose
An ongoing myth is that premium fuels will make your car more efficient. While they won’t hurt your vehicle’s performance, premium fuel makes no difference for most cars.
There are ways to get more out of your gas purchases through grocery store, gas station, and credit card reward and money-back programs. If you know your habits well enough, you’ll be able to make such programs worthwhile. As per capita gas consumption has hovered in the 350-450 gallon range over the past 20 years, using such programs can translate to big savings.
One of the more effective ways to minimize the price of gas is by using apps and services that, when combined with a little forward planning, allow you to chart out your gas refuels at stations you know will have favorable prices.
Gas prices can fluctuate wildly within a relatively small area. Apps like GasBuddy are built specifically to help you plan around gas price variance and minimize its impact on long trips or high monthly usage. Most navigation tools like Waze or Google Maps also come with built-in gas price features as well.
Canva
Avoid driving altogether
This might seem a rather extreme recommendation, but even if you don’t live near public transit, there are still ways you can reduce the time you spend driving and, therefore, the amount you spend on driving.
Carpooling even a few times a week can lead to many positives, including a decreased carbon footprint and lower fuel expenses. Moreover, carpooling is often supported by corporate incentive programs, so it’s worth looking into at your place of work.
Other options to reduce your reliance on a personal vehicle include riding a bike or e-bike, walking when possible, reducing the number of cars in your household, and coordinating your errands to minimize individual car usage. These alternatives can make a substantive difference not only for your budget but for your health and well-being as well.
Finally, the easiest way to lower your spending on fuel is to spend no money on fuel whatsoever. If you’re able to consider ditching your car entirely, the widespread availability of ride-share and taxi services and car rental agencies can help fill your personal transportation needs when and if they arise.
This story originally appeared on CoPilot and was produced and
distributed in partnership with Stacker Studio.
You walk into a fast-food restaurant on your lunch break. You don’t see a cashier but instead a self-service kiosk, a technology that is becoming the new norm in eateries across the country. The kiosks usually offer customers a menu to scroll through and pictures of meals and specials with prompts to select their food and submit their payment in one place.
Self-service kiosks are big business. In fact, the market for self-service products is expected to grow from a $40.3 billion market value in 2022 to $63 billion by 2027, according to a report from BCC Research. Consumers do have mixed opinions about the kiosks, but about 3 out of 5 surveyed consumers reported that they were likely to use self-service kiosks, according to the National Restaurant Association. The technology, while expensive, can boost businesses’ bottom lines in the long run.
Task Group summarized the rise in digital ordering over the past couple of years, its acceptance among customers, and a cost analysis of adopting the technology.
Self-service kiosks—digital machines or display booths—are generally placed in high-traffic areas. They can be used for different reasons, including navigating a store or promoting a product. Interactive self-service kiosks in particular are meant for consumers to place orders with little to no assistance from employees.
The idea of kiosks isn’t new. The concept of self-service was first introduced in the 1880s when the first types of kiosks appeared as vending machines selling items like gum and postcards. In the present age of technology, the trend of self-service has only grown. Restaurants such as McDonald’s and Starbucks have already tried out cashierless technology.
From a business perspective, the kiosks offer a huge upside. While many employers are looking for workers, they’re having a hard time finding staff. In the midst of the COVID-19 pandemic, employers struggled with a severe employee shortage. Since then, the problem has continued. In 2022, the National Restaurant Association reported that 65% of restaurant operators didn’t have enough workers on staff to meet consumer demand. With labor shortages running rampant, cashierless technology could help restaurants fill in for the lack of human employees.
The initial investment for the kiosks can be high. The general cost per kiosk is difficult to quantify, with one manufacturer estimating a range of $1,500 to $20,000 per station. However, with the use of kiosks, restaurants may not need as many cashiers or front-end employees, instead reallocating workers’ time to other tasks.
In May 2022, the hourly mean wage for cashiers who worked in restaurants and other eating establishments was $12.99, according to the Bureau of Labor Statistics. Kiosks could cost less money than a cashier in the long run.
But how do the customers themselves feel about the growing trend? According to a Deloitte survey, 62% of respondents report that they were “somewhat likely” to order from a cashierless restaurant if given the chance to do so. The same survey reported that only 19% of respondents had experience with a cashierless restaurant.
What would it mean for society if restaurants did decide to go completely cashierless? Well, millions of positions would likely no longer be necessary. One report suggests 82% of restaurant positions could be replaced by robots, a prospect making automation appealing to owners who can’t find staff to hire.
Due to the ongoing labor shortage, employers have tried raising employee wages. Papa John’s, Texas Roadhouse, and Chipotle were among the restaurant companies that increased employee pay or offered bonuses in an attempt to hire and retain more workers. Meanwhile, some companies have decided to use technology to perform those jobs instead, so that they wouldn’t have to put effort into hiring or focus their existing staff on other roles.
Story editing by Ashleigh Graf and Jeff Inglis. Copy editing by Tim Bruns.
It’s well-documented that the surest, and often best, return on investments comes from playing the long game. But between stocks and real estate, which is the stronger bet?
To find out, financial planning firm Wealth Enhancement Group analyzed data from academic research, Standard and Poor’s, and Nareit to see how real estate compares to stocks as an investment.
Data going back to 1870 shows the well-established power of real estate as a powerful “long-run investment.” From 1870-2015, and after adjusting for inflation, real estate produced an average annual return of 7.05%, compared to 6.89% for equities. These findings, published in the 2019 issue of The Quarterly Journal of Economics, illustrate that stocks can deviate as much as 22% from their average, while housing only spreads out 10%. That’s because despite having comparable returns, stocks are inherently more volatile due to following the whims of the business cycle.
Real estate has inherent benefits, from unlocking cash flow and offering tax breaks to building equity and protecting investors from inflation. Investments here also help to diversify a portfolio, whether via physical properties or a real estate investment trust. Investors can track markets with standard resources that include the S&P CoreLogic Case-Shiller Home Price Indices, which tracks residential real estate prices; the Nareit U.S. Real Estate Index, which gathers data on the real estate investment trust, or REIT, industry; and the S&P 500, which tracks the stocks of 500 of the largest companies in the U.S.
High interest rates and a competitive market dampened the flurry of real-estate investments made in the last four years. The rise in interest rates equates to a bigger borrowing cost for investors, which can spell big reductions in profit margins. That, combined with the risk of high vacancies, difficult tenants, or hidden structural problems, can make real estate investing a less attractive option—especially for first-time investors.
Keep reading to learn more about whether real estate is a good investment today and how it stacks up against the stock market.
Wealth Enhancement Group
Stocks and housing have both done well
REITs can offer investors the stability of real estate returns without bidding wars or hefty down payments. A hybrid model of stocks and real estate, REITs allow the average person to invest in businesses that finance or own income-generating properties.
REITs delivered slightly better returns than the S&P 500 over the past 20-, 25-, and 50-year blocks. However, in the short term—the last 10 years, for instance—stocks outperformed REITs with a 12% return versus 9.5%, according to data compiled by The Motley Fool investor publication.
Whether a new normal is emerging that stocks will continue to offer higher REITs remains to be seen.
This year, the S&P 500 reached an all-time high, courtesy of investor enthusiasm in speculative tech such as artificial intelligence. However, just seven tech companies, dubbed “The Magnificent 7,” are responsible for an outsized amount of the S&P’s returns last year, creating worry that there may be a tech bubble.
While indexes keep a pulse on investment performance, they don’t always tell the whole story. The Case-Shiller Index only measures housing prices, for example, which leaves out rental income (profit) or maintenance costs (loss) when calculating the return on residential real estate investment.
Wealth Enhancement Group
Housing returns have been strong globally too
Like its American peers, the global real estate market in industrialized nations offers comparable returns to the international stock market.
Over the long term, returns on stocks in industrialized nations is 7%, including dividends, and 7.2% in global real estate, including rental income some investors receive from properties. Investing internationally may have more risk for American buyers, who are less likely to know local rules and regulations in foreign countries; however, global markets may offer opportunities for a higher return. For instance, Portugal’s real estate market is booming due to international visitors deciding to move there for a better quality of life. Portugal’s housing offers a 6.3% return in the long term, versus only 4.3% for its stock market.
For those with deep enough pockets to stay in, investing in housing will almost always bear out as long as the buyer has enough equity to manage unforeseen expenses and wait out vacancies or slumps in the market. Real estate promises to appreciate over the long term, offers an opportunity to collect rent for income, and allows investors to leverage borrowed capital to increase additional returns on investment.
Above all, though, the diversification of assets is the surest way to guarantee a strong return on investments. Spreading investments across different assets increases potential returns and mitigates risk.
Story editing by Nicole Caldwell. Copy editing by Paris Close. Photo selection by Lacy Kerrick.
This story originally appeared on Wealth Enhancement Group and was produced and
distributed in partnership with Stacker Studio.
In today’s digital climate, consuming sports has never been easier. Thanks to a plethora of streaming sites, alternative broadcasts, and advancements to home entertainment systems, the average fan has myriad options to watch and learn about their favorite teams at the touch of a button—all without ever having to leave the couch.
As a result, more and more sports venues have committed to improving and modernizing their facilities and fan experiences to compete with at-home audiences. Consider using mobile ticketing and parking passes, self-service kiosks for entry and ordering food, enhanced video boards, and jumbotrons that supply data analytics and high-definition replays. These innovations and upgrades are meant to draw more revenue and attract various sponsored partners. They also deliver unique and convenient in-person experiences that rival and outmatch traditional ways of enjoying games.
In Los Angeles, the Rams and Chargers’ SoFi Stadium has become the gold standard for football venues. It’s an architectural wonder with closer views, enhanced hospitality, and a translucent roof that cools the stadium’s internal temperature.
The Texas Rangers’ ballpark, Globe Life Field, added field-level suites and lounges that resemble the look and feel of a sports bar. Meanwhile, the Los Angeles Clippers are building a new arena (in addition to retail space, team offices, and an outdoor public plaza) that will seat 18,000 people and feature a fan section called The Wall, which will regulate attire and rooting interest.
It’s no longer acceptable to operate with old-school facilities and technology. Just look at Commanders Field (formerly FedExField), home of the Washington Commanders, which has faced criticism for its faulty barriers, leaking ceilings, poor food options, and long lines. Understandably, the team has been attempting to find a new location to build a state-of-the-art stadium and keep up with the demand for high-end amenities.
As more organizations audit their stadiums and arenas and keep up with technological innovations, Uniqode compiled a list of the latest tech advancements to coax—and keep—fans inside venues.
Jeff Gritchen/MediaNews Group/Orange County Register // Getty Images
Just Walk Out technology
After successfully installing its first cashierless grocery store in 2020, Amazon has continued to put its tracking technology into practice.
In 2023, the Seahawks incorporated Just Walk Out technology at various merchandise stores throughout Lumen Field, allowing fans to purchase items with a swipe and scan of their palms.
The radio-frequency identification system, which involves overhead cameras and computer vision, is a substitute for cashiers and eliminates long lines.
RFID is now found in a handful of stadiums and arenas nationwide. These stores have already curbed checkout wait times, eliminated theft, and freed up workers to assist shoppers, according to Jon Jenkins, vice president of Just Walk Out tech.
Billie Weiss/Boston Red Sox // Getty Images
Self-serve kiosks
In the same vein as Amazon’s self-scanning technology, self-serve kiosks have become a more integrated part of professional stadiums and arenas over the last few years. Some of these function as top-tier vending machines with canned beers and nonalcoholic drinks, shuffling lines quicker with virtual bartenders capable of spinning cocktails and mixed drinks.
The kiosks extend past beverages, as many college and professional venues have started using them to scan printed and digital tickets for more efficient entrance. It’s an effort to cut down lines and limit the more tedious aspects of in-person attendance, and it’s led various competing kiosk brands to provide their specific conveniences.
Kyle Rivas // Getty Images
Mobile ordering
Is there anything worse than navigating the concourse for food and alcohol and subsequently missing a go-ahead home run, clutch double play, or diving catch?
Within the last few years, more stadiums have eliminated those worries thanks to contactless mobile ordering. Fans can select food and drink items online on their phones to be delivered right to their seats. Nearly half of consumers said mobile app ordering would influence them to make more restaurant purchases, according to a 2020 study at PYMNTS. Another study showed a 22% increase in order size.
Many venues, including Yankee Stadium, have taken notice and now offer personalized deliveries in certain sections and established mobile order pick-up zones throughout the ballpark.
Darrian Traynor // Getty Images
QR codes at seats
Need to remember a player’s name? Want to look up an opponent’s statistics at halftime? The team at Digital Seat Media has you covered.
Thus far, the company has added seat tags to more than 50 venues—including two NFL stadiums—with QR codes to promote more engagement with the product on the field. After scanning the code, fans can access augmented reality features, look up rosters and scores, participate in sponsorship integrations, and answer fan polls on the mobile platform.
Boris Streubel/Getty Images for DFL // Getty Images
Real-time data analytics and generative AI
As more venues look to reinvigorate the in-stadium experience, some have started using generative artificial intelligence and real-time data analytics. Though not used widely yet, generative AI tools can create new content—text, imagery, or music—in conjunction with the game, providing updates, instant replays, and location-based dining suggestions
Last year, the Masters golf tournament even began including AI score projections in its mobile app. Real-time data is streamlining various stadium pitfalls, allowing operation managers to monitor staffing issues at busy food spots, adjust parking flows, and alert custodians to dirty or damaged bathrooms. The data also helps with security measures. Open up an app at a venue like the Honda Center in Anaheim, California, and report safety issues or belligerent fans to help better target disruptions and preserve an enjoyable experience.
Story editing by Nicole Caldwell. Copy editing by Paris Close. Photo selection by Lacy Kerrick.
This story originally appeared on Uniqode and was produced and
distributed in partnership with Stacker Studio.
-
Business5 months agomesh conference goes deep on AI, with experts focusing in on training, ethics, and risk
-
Business4 months agoSkill-based hiring is the answer to labour shortages, BCG report finds
-
People4 months agoHow connected technologies trim rework and boost worker safety in hands-on industries
-
Events3 months agoThe Northern Lights Technology & Innovation Forum comes to Calgary next month
-
Events6 months agoTop 5 tech and digital transformation events to wrap up 2023