The removal of Nigeria’s petrol subsidy in 2023 altered transportation and energy costs and generated concerns about household purchasing power, disposable income, consumption and livelihood security. This study examined household experiences of income and economic wellbeing following the subsidy removal in Lafia Local Government Area (LGA), Nasarawa State. A convergent parallel mixed-methods design was used. A minimum sample of 400 was estimated using the Taro Yamane procedure and increased to 440 to accommodate non-response. Of the 440 questionnaires administered, 417 usable responses were obtained, representing a usable response rate of 94.8%. Respondents were selected through a multistage procedure across the 13 political wards, while qualitative evidence was obtained through in-depth interviews with household heads, business owners, community leaders and other relevant stakeholders. Quantitative data were analysed using frequencies, percentages and multiple regression in SPSS version 27; interview data were analysed thematically. The descriptive results showed that 72.7% of respondents reported reduced disposable income, 84.2% reported spending a larger proportion of household income on transportation and energy, 79.9% reported weakened purchasing power, 66.2% reported greater difficulty meeting basic needs, 69.3% reported reduced savings, and 76.0% reported a negative influence on household income. The reported regression model was statistically significant, R = .868, R² = .753, adjusted R² = .748, F(8, 408) = 162.333, p < .001. The largest standardized coefficients were observed for difficulty travelling to work, school or business (β = .230), reduced transportation affordability (β = .218), and reduced frequency of trips (β = .206). Interview accounts reinforced the quantitative pattern, particularly through descriptions of reduced discretionary spending, tighter household budgeting, food adjustments, delayed health-care visits and reduced savings. The findings indicate substantial perceived economic strain following the reform, while the cross-sectional design does not permit causal attribution to subsidy removal alone. The study recommends targeted social protection, affordable transportation, livelihood support and household financial-strengthening interventions in Lafia LGA.