Cost Of Living Rising After Inflation, Uptick In Consumer Price Index
The consumer price index rose four tenths of a percent in September, 5.4 percent higher than what it was last year according to the U.S. Labor Department.
LOS ANGELES (CBSLA) – Anyone who has been to the store or done some online shopping recently knows inflation is taking a toll.
The consumer price index rose four tenths of a percent in September, 5.4 percent higher than what it was last year according to the U.S. Labor Department. As a result, social security recipients will get the biggest increase in 40 years.
But as the economy recovers from the domino effect caused by the pandemic, the price for daily essentials continues to climb. Supply chain issues and shortages are contributing to that rise.
According to the U.S. Bureau of Labor Statistics, in just the last year, food prices have gone up by 3.7 percent, energy is up by 25 percent and electricity bills rose by 5.2 percent, the largest 12-month increase since March 2014.
As a result, consumers are feeling the weight of inflation directly in their wallets.
“I always tell people spend some time reviewing your finances,” budgeting expert Andrea Woroch said. “You can’t really make a change until you take a look at where your money is going in the first place.”
Woroch tells CBS2 and KCAL 9 Reporter Jake Reiner that with the uncertainty of the economy, it’s more critical than ever for people to review receipts, and bank statements.
In addition, changing up daily routines like doing meal planning, shopping for used and refurbished electronics and constantly looking for cheaper insurance prices can save some extra money.
“Last year I noticed the price went up on my home owner’s insurance policy so I did a quick search and was able to switch, get better coverage and save over $1,000 on my annual premium – now that’s real money a lot of people can do with that thousand dollars,” Woroch said.
Inflation is also forcing people to make changes to their weekly routines, lifestyle.
“Just gotta sacrifice some things to pay for necessities really – it’s usually the fun stuff you have to sacrifice,” Jamie Boulanger said.