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Study shows Arkansas ranks second in the nation for fast food spending

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Little Rock, Arkansas – A new nationwide study is shedding light on the financial impact of grabbing a quick meal, and for Arkansas families, the findings are striking. According to research released Wednesday by the personal finance website WalletHub, Arkansas ranks second in the nation when it comes to fast food spending as a percentage of household income.

The report suggests that even modest fast-food purchases can take a noticeable bite out of a family’s budget. Only Mississippi ranked higher, while Arkansas followed closely behind because of the relationship between local food prices and the state’s relatively low median household income.

To compile the rankings, researchers compared the cost of three common fast-food items — a hamburger, a pizza and a chicken sandwich — in every state. They then measured those prices against each state’s median household income. For the sake of consistency, the study assumed that a household would buy one hamburger, one pizza and one chicken sandwich each month.

Using that formula, WalletHub found that the combined cost of those purchases in Arkansas would represent about 44 percent of a household’s median monthly income. In Mississippi, the figure reached 48 percent, giving it the highest ranking in the country.

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The study points out that the ranking is not necessarily driven by unusually high fast-food prices. In fact, Arkansas stands out for offering some of the least expensive menu items in several categories. Researchers found that the state has the lowest average pizza price among all 50 states and the second-lowest cost for chicken sandwiches. At the same time, however, Arkansas ranks as the fifth-most expensive state for hamburgers.

Those mixed pricing trends, combined with household earnings, help explain the final results. According to the latest figures from the U.S. Census Bureau, Arkansas had a median household income of $60,773 in 2024. That places it among the states with the lowest incomes nationwide, a factor that significantly affects affordability calculations.

The contrast becomes even clearer when compared with states at the other end of the ranking. New Jersey, which finished 50th and was considered the most affordable state in the study, had a median household income of $103,556 during the same period. There, the estimated fast-food purchases represented just 27 percent of a household’s median monthly earnings.

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Researchers also noted that Mississippi claimed the top spot because it combines fast-food prices similar to those in Arkansas with the lowest median household income in the country.

While the report focuses on affordability rather than eating habits, experts say consumers can still take steps to manage spending. Jennifer Logan, Ph.D., CEER Director and Puterbaugh Professor of Economics at Southern Arkansas University, said keeping fast-food costs under control starts with careful planning and budgeting.

She advised consumers to prioritize essential bills before spending on dining out and to limit fast-food purchases by setting aside a fixed amount of cash for those expenses each month. At the same time, Logan acknowledged that resisting the temptation is not always easy, noting that Arkansans are “bombarded” with ads for fast-food options.

The study serves as a reminder that even relatively inexpensive purchases can have a larger financial impact in states where household incomes trail the national average. As food prices and living costs continue to be closely watched, reports like this highlight the balancing act many families face between convenience and affordability.

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