Fuel subsidy in Nigeria has been a controversial subject for many years. This study was conducted to evaluate the impact of fuel subsidy removal on households spending in Mubi, Adamawa State Nigeria. A sample of 150 respondents was selected from eight communities. Using multi-stage and random sampling techniques. Descriptive statistics and multiple regressions were employed for data analysis. The findings revealed that (65.3%) of the respondents were household heads and they were found between the age bracket of 30 years and above. (66%) were married with 53.3% household size ranging from 4 – 6 persons. The dominant source of livelihood was civil/public service (64.7%), with 64.7% having attended tertiary education. 42.7% have monthly income of less than #50,000. 68% of the respondents strongly agreed that fuel subsidy removal adversely led to high-cost food items, 52.7%and28.7% agreed and strongly agreed high cost of transportation and health care is due to fuel subsidy removal. 33% of the respondents strongly disagreed that foul subsidy removal has led to increase in saving while 42% agreed that it leads to decreased in savings. Furthermore, 39.3% of the respondents disagreed that fuel subsidy removal did not lead to increase assets, while 48% strongly agreed that fuel subsidy removal has led to decrease in asset. The coefficient of determination (R2) indicates that 78% of the total coefficient of explanatory variables has influence on the dependent variable (household spending). This study recommended that There should be an improve wages through minimum wage by the government and create a conducive environment for business to reduce hardship accompanied by fuel subsidy removal. Government should put in place measures to subsidies transportation services in other to reduce the hardship of increase in price of petroleum products which relatively causes the increase of price of goods and services and Government should also intervene in addressing the challenges faced by people by price control on goods and services.