Inflation dropped slightly in April, yet it’s still close to a 40-year high, with consumer prices rising at an annual rate of 8.3%. Rising costs for housing, food, airfares and new cars were the biggest contributors to that key gauge of inflation.
The typical American family is spending about $450 more per month for goods and services than a year ago, according to Moody’s Analytics Chief Economist Mark Zandi. Yet you may not be “typical.” We don’t all spend the same amount on the same things.
To figure out how much inflation is actually impacting your wallet depends on how much you are spending and where you’re spending it. You need to calculate your own personal inflation rate. Here’s how to do it: