LYNCHBURG, Va. – If you notice your wallet is taking a harder hit these days, you’re not alone.
New numbers released Tuesday show we haven’t seen inflation this bad since the early 80s.
The Bureau of Labor Statistics Consumer Price Index reports an 8.5% jump from last March — the highest annual increase since 1981 — and experts expect inflation to continue.
“I’m guessing another year to a year-and-a-half of higher prices, pretty much across the board,” said Frank Whitehouse Jr, a management and marketing professor at the University of Lynchburg.
He says the Consumer Price Index may be the primary statistic used, but he has some suspicions.
“My guess is it’s an underestimate of where we truly are right now.”
Whitehouse says that’s because the rate is calculated differently from the previous peak four decades ago.
“If you go back and use the same methodology, using the same inputs, as was used in the 1980s, the inflation rate’s really running closer to 15 percent.”
Regardless, higher prices are pounding your wallet.
The advice is to shop on a budget, create a meal plan and be prepared to substitute for cheaper items at the grocery store.
“Shop very carefully. Don’t go to just one outlet, go to multiple outlets and take advantage of sale pricing.”