Restaurant inflation: Which states spend the most on dining out?

Top 5 states with the biggest increase in restaurant spending

According to U.S. Census Bureau data, American households spent an average of $482 per month on dining out in 2023, a 5.7% increase from $456 in 2022. Below, we list the top five states that experienced the highest increases in restaurant spending from 2022 to 2023.

1. South Carolina

South Carolina is celebrated for its Gullah cuisine and fresh seafood, a culinary heritage that residents cherish. State residents spent 56% more dining out over the year, the highest rate of restaurant spending in the U.S. That increase far outstripped the national average of 5.7%. In 2022, a household of three spent about $80 weekly on dining out; in 2023, it spent $125. South Carolina ranked eighth overall in restaurant spending in 2023.

2. Rhode Island

Rhode Island experienced a 48.4% increase in dining-out spending from 2022 to 2023, a significant rise. In 2022, a household of three spent approximately $80 weekly on dining out in Rhode Island, and then spent $119 in 2023. Although Rhode Island has a higher median household income compared with South Carolina ($84,972 versus $67,804), residents contend with a higher cost of living.

3. Alaska

In Alaska, a household of three spent $127 per week dining out in 2023, 41% higher than the $90 an average household spent in 2022. Alaska’s median household income of $86,631 was about 11% higher than the national median of $77,719, but the grocery costs in the state are markedly higher than in the rest of the U.S. Dining-out expenses, including takeout and delivery, averaged $553 per month in 2023, the sixth highest in the country.

4. Louisiana

A household of three in Louisiana spent $128 per week dining out in 2023, up from $91 in 2022, a 41% increase. This sharp rise occurred in a state where the median household income was $58,229, which was 25% lower than the national median of $77,719. While food  — especially Creole and Cajun cuisine —is a key part of Louisiana's cultural identity, attracting millions of tourists each year, rising costs made it harder for locals to dine out as frequently. On average, households spent $555 per month on food prepared outside the home in 2023, up from $394 per month in 2022.

5. Colorado

Colorado seems to have it all: gorgeous mountain views, breathtaking ski slopes and soothing hot springs. However, the state has increasingly become known for its high cost of living. Restaurant spending for a household of three jumped from $82 per week in 2022 to $115 in 2023; that’s an increase of 41%.

How expensive is it to dine out in your state?

Residents in 34 states spent more at restaurants in 2023 than in 2022, with 23 states seeing a rise in spending of 10% or more. Households in only 16 states and Washington, D.C., reported spending less eating out in 2023 than in 2022.

West Virginia, Iowa, Maryland, Florida and Georgia saw the slowest rate of restaurant spending from 2022 to 2023. The table below provides a detailed overview of restaurant spending by state so you can see how your state compares with others.

Six ways to save money on dining out

Even during periods of high inflation, it's true that regularly treating yourself to a professionally cooked meal can significantly improve your quality of life. Dining out locally supports your community and often offers a chance to enjoy a more varied culinary experience than you might get at home — so treat yourself. Here are six tips that can help you do that while not breaking the bank and overspending.

Join loyalty programs

Many chain restaurants have loyalty programs designed to reward regular diners with discounts or special offers. By signing up, you can accumulate points for every dollar spent, leading to savings on future visits. Many programs offer perks like birthday rewards or exclusive discounts for members.

Seek out happy hours

Unlike loyalty programs, happy hours don't require any commitment beyond showing up. Many restaurants have specific time slots, often in the late afternoon or early evening, when you can enjoy happy hour deals. Check local listings or restaurant websites to find out which places near you offer the best happy hour specials.

Check your credit card offers

Some credit cards come with dining rewards, including cash back on restaurant purchases or discounts at select restaurants. Special offers like double points can provide significant savings and help you earn rewards quickly.

Buy gift cards at a discount

Various sites online allow you to purchase gift cards for popular restaurants at a price lower than face value. For instance, you might find a $50 gift card for only $40. This strategy leads you to more value for your dollar. Make sure to read the terms and conditions of the gift cards so you're aware of any restrictions or expiration dates.

Participate in surveys

Many restaurants value customer input and offer discounts or something free on your next visit in exchange for a completed survey, so think twice before declining a receipt or throwing it away.

Opt for a glass of water

When you’re dining out, it’s easy to overlook how much drinks can add to your bill. Opting for water instead of soft drinks or cocktails is a budget-friendly option that reduces cost. Not only is water typically free, but it's also a healthier option.

Choose lunch over dinner

If you want to save money at your favorite restaurants, head in for lunch instead of dinner. Lunch prices are often lower, and many restaurants offer daytime specials at a good value. Dining out for lunch can also be a great way to take a break during a busy day.

Bottom line

Dining out is more of a pleasure than a necessity for most Americans, providing an enjoyable break from cooking and a chance to socialize and try new things. But the cost has become more expensive — part of an economic landscape that has led some families to seek out personal loans.

It’s important to budget wisely. Allocating a specific amount for dining out each month allows you to indulge in the experience without overspending or feeling guilty. By sticking to your budget and understanding the cost of living in your area, you can continue to relish the joys of eating out without hurting your finances.

Methodology

The ConsumerAffairs Research Team compared restaurant spending differences by state by looking at U.S. Census Household Pulse Survey data from 2022 and 2023. We crunched numbers from the week 51 survey in November 2022 and the week 63 survey in October 2023. We used survey results from three-member households.

For questions about the data or if you'd like to set up an interview, please contact acurls@consumeraffairs.com.

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Article sources

ConsumerAffairs writers primarily rely on government data, industry experts and original research from other reputable publications to inform their work. Specific sources for this article include:

1. U.S. Census Bureau, “Week 51 Household Pulse Survey: November 2 - November 14.” Accessed Oct. 7, 2024.Link Here
2. U.S. Census Bureau, “Week 63 Household Pulse Survey: October 18 - October 30.” Accessed Oct. 7, 2024.Link Here
3. U.S. Census Bureau, “S1901: Income in the Past 12 Months (in 2023 Inflation-Adjusted Dollars).” Accessed Oct. 14, 2024.Link Here
4. U.S. Department of Agriculture, “Food Spending Shifted in Response to Pandemic; Changes for Food Away From Home Continued Through 2022.” Accessed Oct. 14, 2024.Link Here