Most people think that spending 11 years climbing the ladder in your career will give you some breathing room within your budget, but many young professionals find that this is not the case.
Recently, TikTok user Sam (@sam.breezie) received over 314,000 views On TikTok She claims she earned nearly $100,000 more disposable income in 2012 working a minimum wage job than she does now.
do not miss
“The cost of living in 2023 is so bad that I’m pretty sure I was actually better off financially in 2012,” says the British Columbia-based TikToker.
She said in the video that she now pays $1,650 in rent — compared to just $350 in 2012. With student loans and a car to pay for, she says she has almost no money left. While in 2012, she was able to go out to dinner and go shopping.
Commenters overwhelmingly echo her sentiments. “He went from making $36,000 a year at the start of the coronavirus to $80,000 a year,” says one commenter. “I’m precisely. The. Same. Mali. Position.”
Inflation certainly changes the value of the dollar, but does it really matter that much? In this case, the data seems to suggest that although prices are rising, it’s not that dramatic across the board. Regardless of the Americans Feel They stressed their finances. Here’s how to find savings on three major living expenses that were strangled by inflation last year.
grocery shop
Here, Sam was right on the money. 2023 brings food prices that would have blown our minds in 2012. The Consumer Price Index (CPI) for food rose 4.3% this year, according to the Bureau of Labor Statistics.
This has led to widespread food insecurity for many Americans. With ground beef up 20%, orange juice costing $10 per gallon, and Hershey planning to raise chocolate bar prices, it’s no wonder 60% of Americans say they struggle to some degree to comfortably afford groceries, according to a recent study . 2023 report From the research company attest.
But savvy shoppers have options to save. Couponing, food splits and bulk purchases are just that Some of the many styles You can use them to find a little breathing room in your food budget.
Read more: Thanks to Jeff Bezos, now you can Use $100 to leverage prime real estate – Without the headache of being the owner. Here’s how
Housing expenses
Finally, baby boomers and post-Millennials can agree on something: No one can afford rent. This year saw the CPI for shelter rise by 7.3%, which hurts both age groups.
The number of seniors experiencing homelessness has increased at a rate “We haven’t seen it since the Great Depression.” Meanwhile, stagnant wages and rising inflation have kept a third of Gen Z living at home, according to A Study 2022 Through the Credit Karma credit score platform.
Even if you are a homeowner, you are not off the hook. the Federal Reserve interest rates rise Create a domino effect Mortgage rates. As a result, many homeowners will not sell their homes now for fear Losing Fixed Rate Mortgage.
Although you can’t control your rent or mortgage rates, you can find other ways to lower your housing expenses. Take your home insurance policy, for example. If you haven’t reviewed your policy in more than six months, you may want to check it out See if you can get a better price.
You might also consider renting any additional space — whether that’s your garage, a spare room, or even your pool. These days are in between Airbnb And Swimblyit’s easier than ever to get a little use out of everything you put in your home.
Gas and energy
Currently, the price of gas is $3,954 per gallon, below its peak in 2012, according to the U.S. Energy Information Administration.
Gas prices aren’t as high as they were in 2022. But the BLS notes that the gasoline index rose 10.6% in August — and Hurricane season The rise in crude oil prices threatens price stability.
So, with winter approaching, you may want to explore other ways to lower your energy/gas bill. Knowing your state’s peak hours and finding drains can help Save a bunch.
Driving less is another option to lower your fuel bill, but that’s not realistic for many Americans. However, there is Some simple ways To cut these expenses without having to commute to get around.
Finally, if you’re feeling a living expense crunch right now, it might be helpful to understand that you’re not alone. This is definitely an issue that many families struggle with — just ask the more than 1,100 commenters on Sam’s TikTok.
What do you read next?
This article provides information only and should not be construed as advice. They are provided without warranty of any kind.