(WGNO) – The latest economic report shows inflation’s grip on the nation isn’t weakening.
Inflation rose 0.4% in September and 8.2% compared to this time last year.
With an 8.2% inflation rate, the Federal Reserve may once again raise interest rates to fix the demand.
Inflation is the highest it’s been in decades, but you don’t have to tell some shoppers.
“Oh, definitely, definitely,” shopper Kevin Poser said. “I’ve noticed it at the gas pump, of course, and food, especially, I was like ‘wow.’ How much I used to pay for milk, for instance, which was like $2.”
According to Gregory Ricks, the CEO and founder of Gregory Ricks and Associates, the grocery store is where you will see the most price changes with food prices jumping 0.8%.
“Probably food is the most important place they’re seeing it,” Ricks explained. “They are still feeling it at the gas pumps, and we think there’s going to be a little bit more increase in gas prices, which is going to continue to keep upward pressure on food prices.”
Some shoppers say they have already implemented ways to lessen the pressure on their pockets.
“I just go to different places and look around at different prices, and I try to not get upset about it and realize that there are places that you can get less expensive things if you really look,” shopper Dina Schaefer said.
Ricks says the high-inflation trend will continue a little while longer.
“Now, if we look in the past of late ’70s, early ’80s, we expect this to probably go for another year,” Ricks said. “Be prepared for high inflation but not at the past 12-month rate.”
Here are some tips from Gregory Ricks and Associates:
Stay Invested
• Essentially, an 8.2% inflation rate means your dollar has lost 8.2% in value, which is a loss you’ll never be able to recover from savings returns.
• Wall Street may look uncertain, but stocks remain the most likely way to beat inflation in the long run because of the potential for long-term gains.
• A good financial strategy does not let short-term volatility impact a long-term approach.
• Working with a financial professional can help prevent you from making a knee-jerk reaction and keep you on track.
Update Your Income Plan
• You’re paying more for almost everything now, which means last year’s spending plan is probably not going to work for you and your family anymore.
• If inflation is causing you to spend more than you earn, review your budget and update it accordingly.
• Think about where you can cut costs. Do you really need all those streaming service subscriptions? Can you wait to take a vacation until next year? Can you carpool with a coworker?
Meet With A Professional
• Now might be a great time to meet with a financial advisor. They can look at your current financial situation and your goals for the future to create a customized financial plan that addresses inflation issues now and in the future.
• At Gregory Ricks & Associates, we use our unique Guided Planning System® to navigate clients to and through retirement.
• You can learn more about our planning process on our website, gregoryricks.com.
• During times of high inflation, market volatility or general uncertainty, a financial advisor is a great resource of information about what’s happening, why it’s happening and what investments or strategies are available to you to maximize your money.
