If you think you’re paying more for everyday things — you’re right. Inflation is creeping higher and pushing up the cost of everything from a big mac to a pizza.
Companies are facing rising labor and transportation costs and they’re increasingly passing those costs along to consumers in the form of price hikes.
A big mac costs 4.7% more today than a year ago, according to the Wall Street Journal.
Over at Domino’s the journal says the price of a large ultimate pepperoni pizza is up 5.9% from a year ago.
And the trade war with China is having an effect. Companies are paying more for steel and aluminum thanks to tariffs in those materials.
And airlines from Delta to Jet Blue have boosted air fares as a way to pass along higher fuel costs.
Rising inflation is why economists expect the federal reserve to keep nudging its key interest rate higher. Higher interest rates are how the fed keeps inflation in check and prevents the economy from overheating.
So depending on how fast your pay has been increasing, you may see a squeeze in your monthly budget as prices rise.
One of the ways to combat higher prices — smart shopping. Keep an eye open for sales and clip those coupons!