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Staff Writer
Consumer prices rose 7.9% in February compared with a year ago according to the U.S. Department of Labor. The Bureau of Labor
The Economics Daily on March 15, 2022, confirms and lists several other consumer index increases. The Consumer Price Index for All Urban Consumers (CPI-U) increased 0.8 percent in February on a seasonally adjusted basis after rising 0.6 percent in January.
The U.S. Bureau of Labor Statistics recently reported, over the last 12 months, the all-items index increased 7.9 percent before a seasonal adjustment.
Increases in the indexes for gasoline, shelter, and food were the largest contributors to the seasonally adjusted all-items increase.
What does that mean?
A Moody’s Analytics analysis found it to represent a $296 expense added to your budget. Moody’s Analytics is a top-tier analysis group offering coverage of credit ratings, world events, and worldwide risk factors. See chart: Consumer Price Index for All Urban Consumers
What Should You Do?
1. Save on gas by planning multiple trips in one event. Drive to the bank, the grocery store, post office, a hardware store, and drug store all in one trip. That means you have to plan your meals, write out checks and correspondence, know what you’re going to need to fix something around the house, and check on up-and-coming prescriptions. Organize! It’s worth the $300.00 or more in countering inflation.
2. Shop wisely. If you don’t absolutely need it don’t buy it! Also, look at comparison-shopping. Some stores will price match. Buy items in bulk in a warehouse store like Sam’s Club, BJ’s, or Costco. It might help you around a price hike. Collect discount coupons in-store or online. Get them from your credit card rewards program. Check out internet browser extensions like Rakuten and Honey that automatically search for coupon codes and apply them at checkout.
3. Since prices are increasing daily, make and review your
budget weekly. Its like counting calories or steps. The mere act of checking keeps you aware of your intake and exercise regimen. A budget keeps you aware of your spending.
Credit Cards and Savings
1. Zero tolerance on credit card debt! It’s easy to ride out the storm on borrowed money, but it’s simply not smart. Interest rates are well over 16% according to Creditcards.com. They are expected to rise as the Federal Reserve hikes interest rates to curb inflation.
2. Don’t neglect your savings. If you are not setting aside funds for the future then start now, and don’t stop! Be consistent. Twenty years from now things will be twice as expensive.
It takes discipline to achieve success. It will take discipline to get through these tough times.
