The Pump Tax
Gas costs relative to weekly earnings are retreating from the 2022 peak.
What is the current The Pump Tax?
American households are spending 0.78% of disposable income on gasoline in the latest reading. The Pump Tax tracks gasoline costs as a share of household income — a direct measure of fuel affordability. While the percentage appears small, gas spending is regressive: lower-income households spend 3-4x this share because they drive older, less efficient vehicles and live farther from work. Source: EIA, BEA.
Gas Affordability Ratio at 0.76% — near pre-pandemic levels
Gas costs relative to weekly earnings are retreating from the 2022 peak.
Explore Further
Is this happening to you?
Is filling up the tank taking a bigger bite out of your budget than it used to?
How has The Pump Tax changed over time?
| Period | Value | YoY Change |
|---|---|---|
| Q1 2026 | 0.8% | −0.0 pts |
| Q4 2025 | 0.8% | −0.0 pts |
| Q3 2025 | 0.84% | −0.1 pts |
| Q2 2025 | 0.84% | −0.1 pts |
| Q1 2025 | 0.83% | −0.1 pts |
| Q4 2024 | 0.82% | −0.1 pts |
| Q3 2024 | 0.91% | −0.1 pts |
| Q2 2024 | 0.97% | −0.0 pts |
| Q1 2024 | 0.88% | −0.0 pts |
| Q4 2023 | 0.91% | −0.1 pts |
| Q3 2023 | 1.02% | −0.1 pts |
| Q2 2023 | 0.98% | −0.3 pts |
Frequently Asked Questions
What is The Pump Tax?
The Pump Tax measures gasoline spending as a percentage of household disposable income. At 0.78%, it captures how much fuel costs burden the average American household.
Why does gas affordability matter for distress?
Gasoline is essential for commuting to work. When fuel costs spike, lower-income households — who already spend a disproportionate share on gas — must cut other spending or take on debt.
Where does this data come from?
Computed from EIA gasoline price data and BEA disposable personal income data.
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