Unrelenting Inflation Biting Austin Homeowners in 2024

On Wednesday, a reading on inflation for March – as measured by the Consumer Price Index (CPI) was higher than originally forecast. The report confirmed what you and I have known for a long while: inflation continues to take shark-sized bites from our finances.

The results? The Dow Jones Industrial Average suffered its worst week in over 12 months. The bond market pushed rates higher causing the thirty-year mortgage percentage to rise above 7%.

Where to start?

Create a plan. A recent Fortune Headline captured it well, “Americans have never been more concerned about their finances. But that doesn’t mean they have a plan to cut back.” What to do? Quit living in denial and start reading. After researching, call a family meeting. “Here is where we are. Here are our options. Here is what we are going to do about it. We will begin (set a date).

In the meantime, let’s start with some basics.

Your Wallet

Total credit card debt in the U.S. surpassed $1 trillion for the first time. If you are carrying credit card debt, check out how much your provider is charging you. In a Forbes March 28, 2024, article entitled, “Credit Card Statistics and Trends 2024,” the average credit card interest rate is 27.89%. No wonder new bank buildings are appointed so well.

What to do? I practice the principles set forth by Dave Ramsey, which I find to be most effective. You can find his strategy here.

Your Glove Box

Motor vehicle insurance rates rose 20.6% this last year. AAA’s 2023 Your Driving Costs study found that the average cost to own and operate a 2023 model was $12,182.00.

What to do? Calculate your total costs by referencing AAA’s report. Consider using Bankrate’s Car Insurance guide to comparing rates found here.

Your Pantry

Before grocery shopping, confirm what you already have. Minimize your shopping trips (this will save on gas). Add a grocery store app that will assist you in organizing what you need, when you need it. Create a menu for each day of the week. Buy according to the menu, not by the samples you tasted while at the store. Pay attention to price and portions. Try out generic labels. If you shop in volume, consider a wholesale membership – but be aware – how long will it take to use 50lbs of rice?

Your Fun

Ruts are easy to fall into – especially when it comes to entertainment. Why not mix it up? For instance, instead of taking in a ballgame at the Dell Diamond, what about a UT baseball game or a UT softball game for $6.00? Another idea – on Thursday, check out www.do512family.com for a list of free/inexpensive weekend options. Another great resource is www.communityimpact.com – where, if you looked on the Georgetown edition, would find all the details about next week’s Red Poppy Festival.

Your Apps

Restrict online shopping. Impulsive shopping is second nature to many of us. We see an item on our phone, we hit the app and the next thing you know, we have our ninth pair of black slacks. Check out this link for more insight:

Your Cell Phone

My husband’s iPhone 10 started having issues. He visited a couple of cell phone providers and gathered data. Eventually, he signed a contract through Costco. Clark Howard provides savings tips galore. Here is his latest on cell phone savings.

Your Cancelations

Recently, my husband and I reviewed our monthly credit card statements. We detected six charges from different services we no longer needed. We canceled them.

Your Promotional Codes

While I do not endorse Honey or Coupert, I have heard a few positive comments about Capital One Shopping. Be sure to perform due diligence before downloading any app to your phone.