Household spending rose 0.6% in September 2026, according to the ABS Monthly Household Spending Indicator for September 2026, released on 4 November. Transport and health led the rise, and the ABS says the transport increase came from fuel, vehicle repairs and maintenance, and domestic air travel.
If you are planning a car purchase and drafted your budget a few months ago, these figures are a prompt to update it before you compare finance quotes. This article sets out what the September data shows, what it does not cover, and a worksheet for refreshing your numbers.
What the September 2026 household spending figures show
All figures below are seasonally adjusted, current price estimates from the ABS September 2026 release:
- Total household spending rose 0.6% in September and was 6.8% higher than in September 2025.
- August was revised to a fall of 0.1%, after the first estimate showed no change.
- Transport and health both rose 1.5%, and recreation and culture rose 0.8%. Six of the nine categories increased.
- Non-discretionary spending rose 1.2% in the month and 6.5% over the year. The ABS names motoring goods, health services and motor vehicle repair, maintenance and miscellaneous expenditure as the drivers.
- Discretionary spending rose 0.3% in the month and 6.9% over the year.
- Spending rose in every state and territory, led by the Northern Territory (1.2%), Western Australia (1.1%) and Victoria (1.0%).
Fuel: paying more for less
The ABS media release says fuel spending rose 5.4% in September, reflecting higher global oil prices and the end of the fuel excise relief on 3 August. Experimental ABS data suggests the volume of fuel bought fell 2.2% in the same month.
Put those two figures together and the average price paid for the fuel households bought rose by roughly 7.8% in a single month. That is our arithmetic (1.054 divided by 0.978), not an ABS figure, and the volume series is experimental, so treat it as a guide to direction rather than a precise fuel price.
For a buyer, the practical point is simple: a fuel line written into your budget in July or August is probably too low now, even if you drive the same distance.
Dollars up 6.8%, volumes up 3.2%
The September release also includes the quarterly volume estimate, which removes the effect of price changes. Household spending volumes rose 0.7% in the September quarter and 3.2% compared with the September quarter of 2025, according to the ABS release.
The 6.8% annual rise in dollar spending is a monthly comparison and the 3.2% volume rise is a quarterly one, so the two are not directly comparable. Read together, they suggest that a large part of the growth in what households spend reflects higher prices rather than people buying more. That is an interpretation, not an ABS statement.
What these figures do not include
The ABS media notes say the indicator covers nine of the thirteen spending divisions. It excludes housing, water, electricity, gas and other fuels, communications and education services. Rent, mortgage repayments, energy bills, phone plans and school fees are therefore outside these numbers, so check them separately from your own bills.
A worked example: what a 6.5% rise in essentials is worth
This example uses assumed figures to show the size of the change. It is not a lender assessment or a quote.
- Assume your essential spending outside housing and energy was $2,500 a month in September 2025.
- If it grew at the national non-discretionary rate of 6.5%, it would now be about $2,662.50 a month, an extra $162.50.
- At an assumed 8% a year over five years with no fees, $162.50 a month is roughly the repayment on $8,000 of borrowing.
Your own figures will differ, and the national average does not describe any one household. The point of the exercise is that a budget built on last year's spending can overstate the room left for a repayment. You can test different loan amounts and terms with the Loanseekers calculators and see how the arithmetic works in how car loan repayments are calculated.
Refresh your car budget: a pre-application worksheet
Use your last three months of bank statements, since lenders generally review recent account activity. What lenders check on your bank statements explains what they look for.
- Fuel or charging: take the actual monthly average from September and October, not an older estimate.
- Servicing and repairs: check the manufacturer service schedule and any recent quotes. The ABS named vehicle repairs and maintenance as a driver of September spending.
- Registration and insurance: use the renewal amounts for the vehicle you are actually considering.
- Health and other essentials: compare the last three months with what you wrote down originally.
- Housing, energy, phone and education: check these from your own bills, because the ABS indicator does not cover them.
- Your reserve: decide how much cash stays untouched after the deposit, separate from the running budget.
- The repayment: compare complete written quotes, including fees, against what is left once every line above is updated.
The car allowance budget worksheet covers the same ownership lines for buyers whose package includes a vehicle allowance.
How this connects to your loan application
When you apply, you will usually be asked to list your living expenses. If the figure you declare is well below what your statements show, the lender may query it, which can slow the application. Household expenses and your loan application covers how lenders use those numbers.
The September figures sit alongside the September 2026 inflation figures and last month's August household spending report. For running costs specifically, see car running costs and your car loan budget.
Next steps
When your budget reflects current costs, you can compare car loan options and individual lender profiles against a repayment you know you can carry. This article is general information only and does not consider your personal circumstances.
