Louisiana Has The Highest Car Ownership Burden In America
For many Americans, owning a car is a necessity, but the financial burden varies dramatically by state. In the least affordable places, annual vehicle expenses consume nearly one-quarter of the typical household’s income.
This map, via Visual Capitalist’s Dorothy Neufeld, ranks every state by annual car ownership costs as a share of median household income, based on analysis from LendingTree of active auto loan holders. The estimates include financing, insurance, fuel, and maintenance.
The States Where Car Ownership Costs the Most
The table below ranks every state by annual car ownership costs as a share of median household income.
State
Total Costs
Median Household Income
% of Household Income
Louisiana
$14,894
$64,199
23.2%
Mississippi
$13,378
$62,242
21.5%
New Mexico
$14,115
$71,388
19.8%
Arkansas
$12,798
$65,378
19.6%
Alabama
$13,164
$70,171
18.8%
West Virginia
$11,951
$64,001
18.7%
Kentucky
$12,628
$67,925
18.6%
Oklahoma
$12,722
$69,633
18.3%
Florida
$14,546
$81,830
17.8%
Missouri
$13,235
$75,360
17.6%
Arizona
$14,860
$85,779
17.3%
Wyoming
$13,533
$79,511
17.0%
Texas
$14,139
$83,921
16.8%
Nevada
$14,341
$85,408
16.8%
Montana
$13,245
$79,309
16.7%
Georgia
$13,733
$84,205
16.3%
Tennessee
$12,350
$75,790
16.3%
Kansas
$12,941
$79,492
16.3%
Indiana
$12,269
$75,750
16.2%
South Carolina
$12,233
$76,161
16.1%
Michigan
$12,208
$76,202
16.0%
North Dakota
$12,766
$81,973
15.6%
Ohio
$11,574
$76,016
15.2%
Iowa
$11,992
$79,478
15.1%
North Carolina
$11,725
$77,854
15.1%
Nebraska
$12,133
$80,399
15.1%
South Dakota
$12,092
$80,931
14.9%
Wisconsin
$11,947
$81,570
14.6%
New York
$13,183
$90,341
14.6%
Idaho
$12,340
$85,442
14.4%
Pennsylvania
$11,735
$81,630
14.4%
Illinois
$12,549
$87,594
14.3%
Maine
$11,231
$80,469
14.0%
Oregon
$12,528
$89,709
14.0%
Delaware
$12,680
$92,145
13.8%
Rhode Island
$12,042
$87,903
13.7%
Colorado
$13,876
$102,229
13.6%
California
$14,325
$105,425
13.6%
Minnesota
$12,304
$91,706
13.4%
Vermont
$11,542
$87,088
13.3%
Alaska
$13,051
$100,705
13.0%
Washington
$13,558
$104,625
13.0%
Utah
$13,023
$101,750
12.8%
Virginia
$12,214
$96,941
12.6%
New Jersey
$13,708
$109,788
12.5%
Connecticut
$12,630
$101,109
12.5%
Hawaii
$13,193
$106,052
12.4%
Maryland
$13,314
$108,326
12.3%
District of Columbia
$13,205
$115,486
11.4%
New Hampshire
$11,418
$105,038
10.9%
Massachusetts
$11,745
$110,350
10.6%
🇺🇸 U.S. Average
$12,841
$85,759
15.0%
Data is for active auto loan holders. Cost and income figures were adjusted to 2026 dollars.
Louisiana is the nation’s least affordable state for car ownership, with the typical household spending 23.2% of its income, or $14,894 annually, on vehicle expenses. By comparison, Massachusetts households devote just 10.6% of their income to car ownership.
Mississippi, New Mexico, Arkansas, and Alabama round out the top five, with households in each spending roughly one-fifth of their income on car ownership.
Why Car Ownership Is Less Affordable Across the South
The South dominates the least affordable rankings because many states combine relatively modest household incomes with high ownership costs.
Insurance is one major factor. Louisiana and Florida, for example, consistently rank among the country’s most expensive states for auto insurance due to severe weather, litigation costs, and high accident claims.
Drivers in many Southern states also travel more miles each year, increasing spending on fuel, maintenance, and repairs.
America’s Most Affordable States for Car Ownership
Massachusetts has the nation’s lowest car ownership burden, with annual costs equal to 10.6% of median household income, or $11,745.
New Hampshire and Maryland also rank among the most affordable states, helping make the Northeast the country’s least financially burdensome region for car ownership. Higher incomes help keep costs manageable across much of the region, while extensive public transit may allow some households to drive less or own fewer vehicles.
These rankings show that car affordability depends on more than the cost of owning and operating a vehicle. Household income also plays a major role, meaning similar expenses can create very different financial burdens depending on where people live.
To learn more about this topic, check out this graphic on the cheapest car brands to own and maintain.
Tyler Durden
Wed, 08/05/2026 – 21:20
https://www.zerohedge.com/personal-finance/louisiana-has-highest-car-ownership-burden-america