TEMPLE, Texas — Families are really feeling inflation. Propelled by surging costs for gas, food and housing, consumer inflation jumped 7.9 percent over the past year, the sharpest spike since 1982. And it doesn't look to cool anytime soon.
Many Americans will be making financial adjustments. According to the website Statista, inflation in February 2021 was 1.7 percent. One year later in February of 2022, inflation rose to an incredible 7.9 percent.
"This is one of the things that I thought in my career I would never see," said Financial Planner Rolandus Johnson. "I thought that we would see a gradual increase in inflation, over time, it's just kind of how things have been. But to see inflation on this scale, and at this point, it's something that I thought I would never see."
Gas and groceries are something people have really noticed. Last October the national gas average price per gallon was $3.29. Five months later that same national average is $4.22 per gallon.
Meanwhile NBC news monitored the average point-of-sale prices for six popular supermarket items: Orange juice, eggs, chicken breasts, fresh ground beef, bacon and bread. They all went up between 25 cents and a dollar 18.
"That food budget is now going from two hundred to two hundred fifty bucks," said Johnson. "To now a 350.00-400.00 you know you can find yourself short either money or food. And neither one of those are a very good situation to be in!"
Since wages are rising, but aren't keeping up with inflation, Johnson says you should be looking for a way to make more money. "The average change of job is every 5 years or so and most of the industries, some of the industries people are staying longer so the average is every 5 years or so," said Johnson. " And so, if you have time to stay in the same industry for better benefits or better pay, by all means take it."
This type of thinking has led Americans to what has been called the “Great Resignation.” In December alone 455,000 Texans quit their jobs, that lead the country. But many took better higher paying jobs.
Johnson gave 6 News some advice: "I don't want anybody to leave any money on the table. Now the other side of that, my advice would be looking for that better opportunity. And the saying goes that the longer that you stay in any career or industry, not necessarily the job, the longer that you stay in any job or career the more money that you are going to make. Always be on the lookout for that better opportunity."
Remember in the 1970's we had the new term called "Stagflation", which is defined as "persistent inflation combined with stagnant consumer demand and relatively high unemployment." So far consumers are spending and unemployment remains low, so we haven't returned to the 70's … yet.
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