The study investigated the impact of transport costs on household income the case of Nkonkobe Local Municipality. The objective of the study was to establish the impact of transport costs on household income. To achieve the objective, the study hypothesized that transport costs have a negative impact of household income. The research design of the study that was used include research instrument, research technique, sample size, population and data analysis procedure. However the research instrument that was followed was the questionnaire which contains a set of questions whilst the research technique used to collect primary data was the self-administered questionnaire. The results of the study revealed that households in Nkonkobe Local Municipality were spending more of their income on transport. Finally, the study recommended that subsidies for poor households must be provided by the government.