Midwest Information office

    The percentage of the total budget spent by a typical Milwaukee
household for food, housing, and transportation was 64.5
percent-close to the 65 percent spent by the average U.S. household.
(See table 1.)  Among three other major metropolitan areas in the
Midwest chosen for comparison-Chicago, Detroit, and Minneapolis-St.
Paul-households in Minneapolis-St. Paul spent a smaller than average
percentage of their budget (60.9 percent) on these three major
components, while those in Chicago (66 percent) and Detroit (65.8
percent) had shares closer to that for the nation.

     This report contains annual data averaged over a two-year
period-2002 and 2003.  The data are from the Consumer Expenditure
Survey, which is collected on an ongoing basis by the U.S. Census
Bureau for the Bureau of Labor Statistics (BLS).  The Consumer
Expenditure Survey is the only national survey that provides both
complete data on household expenditures and the demographic
characteristics of those households.  Survey data cannot be used to
make cost of living comparisons between areas.  Expenditures vary
among areas not only because of economic factors such as the prices
of goods and services and family income, but also because of
differences such as the age of the population, climate, consumer
tastes, family size, etc.  However, expenditure shares, or the
percentage of a consumer unit's budget spent on a particular
category, can be used to compare spending patterns across areas.  The
survey provides average expenditures for consumer units.  An
individual consumer unit may spend more or less than the average,
depending on its particular characteristics.

     Housing, the largest expenditure category, accounted for 35.1
percent of the budget in Milwaukee, above the national average of
32.8 percent.  Among the other three Midwest metropolitan areas, only
Chicago had an expenditure share (36.3 percent) surpassing that for
the nation.  The majority of housing costs in Milwaukee (61.2
percent) went for shelter, which includes mortgage interest, property
taxes, repairs, and rent, among other items; this was above the U.S.
average of 58.8 percent.  (See table A.)  Utilities, fuels and public
services accounted for 17.8 percent of total housing expenditures.
The rate of home ownership in Milwaukee, at 61 percent, was below the
national average of 67 percent.  Milwaukee was the only one of the
four selected areas in the Midwest where the percentage of homeowners
fell below the U.S. norm.

Table A.  Percent distribution of housing expenditures U.S. and 
selected metropolitan areas, 2002-2003
----------------------------------------------------------------------
                         | United |  Mil-  |        |        | Mpls-
           Item          | States | waukee |Chicago |Detroit |St. Paul
----------------------------------------------------------------------
Total housing            |  100.0 |  100.0 |  100.0 |  100.0 |  100.0 
 Shelter                 |   58.8 |   61.2 |   60.3 |   61.1 |   60.6
 Utilities, fuels & serv.|   20.6 |   17.8 |   18.7 |   20.2 |   15.9
 Household operations    |    5.3 |    4.3 |    5.1 |    5.1 |    4.9
 Housekeeping supplies   |    4.0 |    4.2 |    3.7 |    3.7 |    4.2
 Household furnishings   |   11.3 |   12.5 |   12.2 |   10.0 |   14.5
----------------------------------------------------------------------

    At 16.6 percent of total spending, transportation was the
second largest expenditure category in both Milwaukee and the nation;
nationally, transportation' share averaged 19.1 percent.  Among the
other three large areas in the Midwest, expenditure shares for
transportation were also lower than average in Chicago (16.9 percent)
and Minneapolis-St. Paul (17.2 percent), but above that for the
nation in Detroit (20.5 percent).  Of the $6,797 annual expenditure
on transportation in Milwaukee, 94.6 percent was spent buying and
maintaining private vehicles.  (See table 2 for detailed expenditure
levels.)  The remaining 5.4 percent of a Milwaukee household's
transportation budget was spent on public transit which includes
taxis, buses, trains, and planes; this was close to the national
share of 5.0 percent.  The average number of vehicles per household
in Milwaukee matched the national average at 2.0.  Of the other three
selected midwestern areas, Minneapolis-St. Paul had the highest
number of vehicles per household at 2.6.

     Milwaukee households spent 12.8 percent of their budget on
food, not very different from the national share of 13.1 percent.
In fact, none of the selected metropolitan areas in the Midwest had
an expenditure share for food exceeding the national average, and of
the four, Minneapolis-St. Paul's was the lowest, at 11.5 percent.  Of
the $5,234 annual food expenditure, households in Milwaukee spent
55.1 percent on food prepared at home, joining the other three areas
with shares lower than the 58.1 percent national average.  On the
other hand, Milwaukee households spent a larger share of their food
budget, 44.9 percent, on food prepared away from home (such as
restaurant meals, carry-outs, board at school, and catered affairs)
than did the average U.S. household at 41.9 percent.

     Payments for personal insurance and pensions accounted for 9.8
percent of the typical Milwaukee household's budget, matching the
share spent nationally.  Detroit households also matched the national
percentage, while those in Minneapolis-St. Paul were well above the
national average at 12.9 percent.

     Out-of-pocket health care expenses, which include health
insurance premiums, medical services, drugs (prescription and
nonprescription), and medical care supplies, accounted for 5.9
percent of a Milwaukee household's budget.  This was the highest
share among the four areas in the Midwest and matched the national
average.

     Milwaukee area households spent 5.2 percent of their budget on
entertainment, about the same as the 5.1-percent share allocated
nationally.  At 6.6 percent, Minneapolis-St. Paul households spent
the largest share among the four selected Midwest areas.

     Spending on apparel and related services accounted for 4.6
percent of total expenditures in Milwaukee; the national average was
4.2 percent.  Of the four selected areas, only households in
Minneapolis-St. Paul (3.8 percent) allocated a smaller than average
percentage of their budget for clothing.  Detroit had the highest
expenditure share for clothing (5.6 percent) among these Midwest
areas.

     Cash contributions accounted for 3.3 percent of a consumer
unit's spending in Milwaukee, close to the national average of 3.2
percent.  Expenditure shares in the other three large Midwest areas
ranged from 2.6 percent in Detroit to 3.6 percent in Minneapolis-St.
Paul.

                                # # #


Additional Data Available

     Data tables are available for the four Census regions and for
the national average.  These tables may be obtained from the
Bureau's automated Fax-on-Demand service.  See below.  Additional
tables are offered under the heading "Tables Created by BLS" on the
BLS Internet site www.bls.gov/cex.



                             Technical Note

    The current Consumer Expenditure Survey (CE) program began in
1980.  Its principal objective is to collect information on the
buying habits of American consumers.  The consumer expenditure data
are used in a wide variety of research by government, business,
labor, and academic analysts.  The data are also required for
periodic revision of the Consumer Price Index (CPI).

    The survey consists of two components, a diary or recordkeeping
survey, and an interview survey.  The Diary Survey, completed by
participating consumer units for two consecutive 1-week periods,
collects data on frequently purchased smaller items.  The Interview
Survey, in which the expenditures of consumer units are obtained in
five interviews conducted every 3 months, collects data for larger-
cost items and expenditures that occur on a regular basis.  The U.S.
Census Bureau collects the survey data.

    Each component of the survey queries an independent sample of
consumer units which is representative of the U.S. population.  Over
the year, about 7,500 consumer units are sampled for the Diary
Survey.  The Interview sample is conducted on a rotating panel basis,
with about 7,500 consumer units participating each quarter.  The data
are collected on an ongoing basis in 105 areas of the country.

    The integrated data from the BLS Diary and Interview Surveys
provide a complete accounting of consumer expenditures and income,
which neither survey component alone is designed to do.  Due to
changes in the survey sample frame, metropolitan area data in this
release are not directly comparable to those prior to 1996.

    The expenditure data in this release should be interpreted with
care.  The expenditures are averages for consumer units with the
specified characteristics, regardless of whether or not a specific
unit incurred an expense for that specific item during the recording
period.  The average expenditure may be considerably lower than the
expenditure by those consumer units that purchased the item.  This
study is not intended as a comparative cost of living survey as
neither the quantity nor the quality of goods and services has been
held constant among areas.  Differences may result from variations in
consumer unit preferences or characteristics such as consumer unit
size, age, income levels, etc.  Users should keep in mind that prices
for many goods and services have risen since the survey was
conducted.

    In addition, sample surveys are subject to two types of errors.
Sampling errors occur because the data are collected from a
representative sample rather than the entire population.  Nonsampling
errors result from the inability or unwillingness or respondents to
provide correct information, differences in interviewer ability,
mistakes in recording or coding, or other processing errors.  The
year-to-year changes are volatile and should be interpreted
carefully.  The survey sample for the nation is much larger than for
individual metropolitan areas, meaning the resulting national
estimates are more reliable than those for the metropolitan areas.

    Some expenditure components are subject to large fluctuations from
one year to the next because these components include expensive items
that relatively few consumers purchase each year.  Thus, shifts from
year to year in the number of consumers making such purchases can
have a large effect on average expenditures.  Examples of these types
of expenses are purchases of new cars and trucks in the
transportation component, and spending on boats and recreational
vehicles in the entertainment component.

    The Metropolitan Statistical Areas (MSAs) and Consolidated
Metropolitan Statistical Areas (CMSAs) covered by the Consumer
Expenditure Survey represent areas designated by the U.S. Office of
Management and Budget and are based on definitions in effect as of
December 1992.  The general concept of an MSA is one of a large
population nucleus, together with adjacent communities which have a
high degree of economic and social integration with that nucleus.
The following metropolitan areas are discussed in this release:

    Chicago-Gary-Kenosha, Illinois-Indiana-Wisconsin CMSA which is
comprised of Cook, DeKalb, DuPage, Grundy, Kane, Kankakee, Kendall,
Lake, McHenry and Will Counties, Illinois; Lake and Porter Counties,
Indiana; and Kenosha County, Wisconsin;

    Cleveland-Akron, Ohio CMSA which is comprised of Ashtabula,
Cuyahoga, Geauga, Lake, Lorain, Medina, Portage, and Summit Counties;

    Detroit-Ann Arbor-Flint, Michigan CMSA which is comprised of
Genesee, Lapeer, Lenawee, Livingston, Macomb, Monroe, Oakland, St.
Clair, Washtenaw, and Wayne Counties; and

    Minneapolis-St. Paul, Minnesota-Wisconsin CMSA which is comprised
of Anoka, Carver, Chisago, Dakota, Hennepin, Isanti, Ramsey, Scott,
Sherburne, Washington, and Wright Counties, Minnesota; and Pierce and
St. Croix Counties, Wisconsin.

    The Consumer Expenditure Survey also provides data for the four
regions of the country as defined by the U.S. Bureau of the Census -
Northeast, South, Midwest, and West.  Data for metropolitan areas
presented in tables 1 and 2 of this release are part of the Midwest
region which includes the states of Illinois, Indiana, Iowa, Kansas,
Michigan, Minnesota, Missouri, Nebraska, North Dakota, Ohio, South
Dakota, and Wisconsin.

                             Definitions

    Consumer unit - members of a household related by blood, marriage,
adoption, or other legal arrangement; a single person living alone or
sharing a household with others but who is financially independent;
or two or more persons living together who share responsibility for
at least 2 out of 3 major types of expenses - food, housing, and
other expenses.  The terms household and consumer unit are used
interchangeably for convenience.

    Complete income reporter - in general, a consumer unit that
provides values for at least one of the major sources of its income
such as wages and salaries, self-employment income, or Social
Security income.  Even complete income reporters may not have
provided a full accounting of all income from all sources.

    Expenditures - consists of the transaction costs, including excise
and sales taxes, of goods and services acquired during the interview
or recordkeeping period.  Expenditure estimates include expenditures
for gifts, but exclude purchases or portions of purchases directly
assignable to business purposes.  Also excluded are periodic credit
or installment payments on goods or services already acquired.  The
full cost of each purchase is recorded even though full payment may
not have been made at the date of purchase.

    Income before taxes - the total money earnings and selected money
receipts during the 12 months prior to the interview date.


Table 1.  Consumer unit characteristics and percent distribution
of expenditures, U.S. and selected metropolitan areas, Consumer
Expenditure Survey, 2002-2003
-----------------------------------------------------------------------
                              | United | Mil-  |       |       | Mpls.
          Item                | States |waukee |Chicago|Detroit|St.Paul
-----------------------------------------------------------------------  
Consumer unit characteristics:
 Income before taxes 1/        $50,302  $48,531 $64,670 $57,541 $69,758
 Age of reference person          48.2     49.9    47.7    48.8    47.4
 
Average number in consumer unit:
 Persons                           2.5      2.5     2.8     2.6     2.4
 Children under 18                  .6       .7      .8      .7      .6
 Persons 65 and over                .3       .3      .2      .3      .2
 Earners                           1.3      1.3     1.5     1.3     1.4
 Vehicles                          2.0      2.0     1.7     2.0     2.6

Percent homeowner                 67.0     61.0    69.0    74.0    71.0

Average annual expenditures     $40,74  $40,890 $47,016 $44,039 $54,088
 Total (percent):                100.0    100.0   100.0   100.0   100.0

Food                              13.1     12.8    12.8    12.5    11.5

Alcoholic beverages                 .9      1.3     1.0     1.0     1.2

Housing                           32.8     35.1    36.3    32.8    32.3

Apparel & services                 4.2      4.6     4.3     5.6     3.8

Transportation                    19.1     16.6    16.9    20.5    17.2

Health Care                        5.9      5.9     5.2     4.5     4.8

Entertainment                      5.1      5.2     4.9     4.4     6.6

Personal care products & serv.     1.3      1.3     1.3     1.4     1.2

Reading                             .3       .4      .3      .3      .4

Education                          1.9      1.6     2.6     1.7     1.9
 
Tobacco products & smoking
 supplies                           .7       .9      .6      .9      .6

Miscellaneous                      1.7      1.3     2.0     1.8     2.1

Cash contributions                 3.2      3.3     3.0     2.6     3.6

Personal insurance & pensions      9.8      9.8     8.7     9.8    12.9
-----------------------------------------------------------------------
1/ Components of income and taxes are derived from "complete income
reporters" only; see definitions.


Table 2.  Average annual expenditures, U.S. and selected metropolitan
areas, Consumer Expenditure Survey, 2002-2003
-----------------------------------------------------------------------
                              | United | Mil-  |       |       | Mpls.
          Item                | States |waukee |Chicago|Detroit|St.Paul
----------------------------------------------------------------------- 
Average annual expenditures:   $40,748  $40,890 $47,016 $44,039 $54,088

Food                             5,357    5,234   6,001   5,511   6,235
 Food at home                    3,114    2,882   3,418   3,073   3,444
 Food away from home             2,243    2,352   2,583   2,439   2,791

Alcoholic beverages                384      536     486     430     634
 
Housing                         13,359   14,364  17,059  14,429  17,451
 Shelter                         7,859    8,786  10,290   8,814  10,575
 Utilities, fuels & public serv. 2,749    2,558   3,190   2,911   2,766
 Household operations              706      622     876     732     849
 Housekeeping supplies             537      601     624     530     730
 Household furnishings           1,508    1,796   2,080   1,442   2,531

Apparel & services               1,694    1,880   2,017   2,473   2,056
 
Transportation                   7,770    6,797   7,961   9,024   9,280
 Vehicle purchases (net outlay)  3,699    3,002   3,570   3,955   4,209
 Gasoline & motor oil            1,285    1,284   1,325   1,354   1,400
 Other vehicle expenses          2,400    2,142   2,410   3,229   3,007
 Public transportation             387      368     657     486     664

Health care                      2,384    2,429   2,462   1,999   2,576

Entertainment                    2,069    2,114   2,326   1,950   3,596

Personal care products & serv.     526      521     588     630     650

Reading                            133      147     138     145     202

Education                          768      634   1,224     767   1,044

Tobacco products & smoking         305      368     300     383     309
 supplies

Miscellaneous                      698      537     945     805   1,126

Cash contributions               1,324    1,342   1,431   1,158   1,937

Personal insurance & pensions    3,978    3,988   4,077   4,335   6,993
 Life & other personal ins.        402      414     324     304     641
 Pensions & Social Security      3,576    3,575   3,754   4,031   6,352
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