o one wants to see their earnings decrease by inflation. At the same time, few people know how to deal with inflation and how to stop it from hurting them.
What Is Inflation?
Inflation is the rate at which the price of goods and services is rising. It's what happens when your money seems to shrink in value over time. Inflation can increase the cost of things you buy, such as groceries and gas, while wages remain stagnant.
You may not notice this theft because it tends to be gradual: inflation usually creeps up on us slowly so we don't realize how much money we're losing until it's too late.
How to Save Money Fighting High Inflation
Inflation is a big problem for many people, so you may be looking for ways to save money.
Here are some helpful tips:
- Buy things in bulk when possible. The more you buy at once, the more money you save on each item. And don’t forget that buying in bulk will also save time!
- Eat at home more often than going out to eat—even if it means eating leftovers from last night or cooking something simple like spaghetti from scratch instead of ordering pizza or Chinese food from the delivery service down the road from your apartment building; these kinds of meals are usually much cheaper than going out for dinner with friends or family members (not to mention healthier).
- Opt for generic brands instead of name brands to save money.
- Learn how to cook! It's much cheaper to make your own food than buy it at restaurants or fast food places. Try one of our cooking classes to get you started: Healthy Meals on a Budget or Healthy Breakfast Ideas and Recipes.
- Try making your own cleaning supplies instead of buying them at the store—it will save you a lot of money!
- Turn off lights when you leave a room (and turn them back on again when returning), unplug electronics when not in use rather than leaving them plugged into their chargers all day long.
- When shopping online, use cash-back shopping sites or browser extensions to save you money. Some sites will give you up to 5% cash back when you buy items from their partners, which can add up quickly over time!
- Don't buy what you don't need; instead, wait until there's a sale or special deal on something that seems like a good deal. This will help keep your expenses down while still providing access to high-quality items when they're needed most (like during the holiday season).
- Make a budget. If you haven't yet, make a budget that includes all of your bills, including the ones without fixed payments (like utilities). Include food and gas in your monthly budget as well. You'll need to keep track of what you're spending so that you can see where your money is going.
- Save for emergencies and unexpected expenses. If something happens unexpectedly (like an auto repair), having some cash set aside will help alleviate some stress—and possibly even save money on interest payments if it means not putting more debt on credit cards.
We hope these tips help you in your journey to save money! If you want to hear more budgeting tips and tricks to help you combat inflation, check out our class: Financial Fitness: Budgeting Basics.