Inflation has put a strain on many families, while it may be cooling a little bit from all-time highs. Prices on just about everything are still high.
News Center 7 Consumer Reporter Xavier Hershovitz looks at some ways you can beat inflation and even make it work for you.
Diamond Hodges said, “It’s just crazy to me how much prices are going up.”
For the Judson family, it put a strain on their family. “Everything seems to keep going up. Interest rates and credit cards, whatever, you know, gas prices and food.
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They continue by saying, “It’s very hard especially when you have a family that you’re trying to support, and the prices just keep on rising.”
Hodges said she still can’t believe the prices at the grocery store. “It’s crazy how fast it just went up and then how much it went up.”
So, how can you fight back against inflation? News Center 7 turned to Consumer Advisor Clark Howard for the answer.
“Grocery prices are much higher than they were four years ago, but the sales going on are at normal activity levels,” Howard said.
To save on groceries, Howard said to research sale ads and build your grocery list based on what is on sale. Now, when it comes to stretching your money further, it really comes down to those monthly charges, like subscriptions or the Internet.
“You want to re-shop your monthlies. If you at each of them, one at a time, you should be able to bring hundreds of dollars back into your wallet every month,” Howard said.
While inflation has hit so many wallets hard, it can work for you.
“Inflation is working for us right now if you are a saver,” Howard said.
Because of the inflationary pressures in the economy, you can earn more money through your savings than any time in the last 15 years.
“We’re finally earning real money on our savings either putting our savings to work through a bank or a credit union or discount broker. And of those channels will get you really good deals,” Howard said.
And the one thing you shouldn’t be doing right now – “Where we hurt ourselves so much with inflation is impulse buying,” Howard said.
He said now more than ever it’s important to budget.
“So being very, very careful and budget-oriented with what we’re buying is going to be the best way to get power back in your own wallet,” Howard said.
That is how the Judson’s have gotten by.
“Budget, budget, budget,” Howard said.
Hodges is also keeping a close eye on those purchases too.
“It comes to a point where I have to literally just save my money every day in order to make that big purchase that I want at end of the week,” Howard said.
Another area prices have soared are vehicles and rent.
Howard said you should keep your car for as long as you can, while you should shop around for the cheapest rent.
There are not many incentives to get a new or used car right now, but there are some incentives for new rental leases.