What Services Are Considered Utility Bills?
Gain clarity on the diverse recurring services that typically make up a household or business utility bill.
A utility bill represents a recurring cost for essential services to operate a household or business. These services are fundamental for daily living and maintaining a functional property. Utility bills itemize charges for resources consumed, enabling consumers to track and manage expenses.
Core Utility Services
Electricity powers lighting, appliances, heating, and cooling systems. Bills typically include charges for energy consumed (kilowatt-hours), transmission and distribution fees, and a fixed customer charge. The average residential electric bill in the U.S. was approximately $137 per month in 2023.
Water service provides clean water for drinking, cooking, cleaning, and sanitation. Water bills often consist of fixed service charges and variable charges based on volume (gallons or cubic feet). Some water bills may include sewer service charges. The average family spends around $83 per month on water costs.
Natural gas is used for heating, cooking, and powering household appliances. Natural gas bills typically break down costs into the commodity price and delivery charges (therms). These bills also include fixed customer charges and taxes. The average residential gas bill was about $80 per month in 2022.
Other Essential Home Services
Sewer services manage wastewater and sewage disposal, often appearing on the same bill as water. These charges cover maintenance of sewage and stormwater drains and wastewater treatment. While sometimes bundled with water, sewer is a separate expense ensuring proper household sanitation.
Trash and garbage collection services are considered utilities for maintaining property cleanliness and public health. These services involve regular removal of household waste and recyclables. Trash collection may be a separate bill or included in municipal taxes or homeowner association fees.
Internet and broadband services are essential for daily activities, including work, education, and communication. While not regulated like traditional utilities, there is discussion about classifying internet as an essential service. Internet bills are typically recurring monthly charges for connectivity, with average costs ranging from $60 to $90 for standard broadband.
Context-Specific Services
Heating oil or other delivered fuels are utilities in regions without natural gas lines. These fuels, often delivered by tank truck, are used for space and water heating. Payment for heating oil is typically made upon delivery, and costs fluctuate based on market prices and seasonal demand.
Landline phone services, though less common, historically functioned as a utility providing communication access. While many rely on mobile phones, landlines are considered a utility for fixed communication, such as for security systems or in areas with unreliable mobile service. Bills for landlines are a fixed monthly charge.
Security system monitoring can be viewed as a utility, especially if it provides an essential safety function. These services involve continuous surveillance and alert systems. Recurring monthly fees for monitoring typically range from $30 to $60.
Cable television, often bundled with internet, can be considered a utility in certain living arrangements or by landlords. It provides access to broadcast and premium channels, though its essentiality is debated as streaming services gain popularity. Cable TV packages typically cost between $65 and $150 monthly, varying by channel selection.