Budgeting Tips – How Much Do People Spend on Vices? The new Bankrate survey reveals that over 4 in 5 Americans (84 percent) spend money on at least one of six common vices: alcohol, lottery tickets, casino games, tobacco/cigarettes/e-cigarettes, sports betting, or marijuana/recreational cannabis. The survey of 2,115 U.S. adults found that nearly 1 in 3 (32 percent) spend on these at least once a week, and 11 percent have gone into debt to pay for them.

Key insights from the survey include:

Most Americans engage in vice spending: 84 percent spend on at least one of the six categories.

Spending prevalence: Roughly 2 in 3 buy alcohol (66 percent) and lottery tickets (64 percent), followed by casino games (40 percent), tobacco (30 percent), sports betting (29 percent), and marijuana (28 percent).

Demographic differences: High-income households are more likely to spend on alcohol and gambling, while low-income households are more likely to prefer tobacco and marijuana. Gen Xers are most likely to buy lottery tickets, Gen Zers on sports betting, and millennials on tobacco and marijuana.

Payment methods: Cash is the most common payment method for five of the six vices, with debit cards being slightly more popular for alcohol.

Financial risks: Three red flags indicate vice spending may be problematic: taking on debt (11 percent of users do), being unable to save money, and getting stuck in a cycle of use due to short-lived dopamine release.

Budgeting tips: Bankrate suggests budgeting for recreational costs by adding up necessary expenses, setting aside money for savings and debt repayment, and considering switching to cash for vice spending to limit overspending.

The survey highlights the prevalence of spending on common vices and offers insights into potential financial risks and budgeting strategies. Bankrate emphasizes the importance of balancing discretionary spending with financial priorities like saving and debt repayment. Bankrate, founded in 1976, is an independent, advertising-supported comparison service committed to providing objective and accurate financial information. The survey was conducted by YouGov Plc in December 2024.