Let’s fast-forward six months or a year and imagine that the country remains in the grips of a wave of inflation. The amount of money you spend weekly to put food on your family’s table has increased 50 percent. Gasoline is $5.39 a gallon. It cost $1,350 to fill your propane tank and you know you usually have to fill it at least three times over the winter. You don’t have to be a budgeting genius to realize you have to do something different or you will run out of money leaving your belly, your gas tank, or the propane tank empty.
What will you do?
First, don’t panic. It accomplishes nothing and leads to despair. There are steps most families can take to reduce their expenditures, and hopefully you only have to do it for a couple years before things stabilize and your financial situation improves.
Second, you must accept the fact that you cannot continue to live like you have been. Some sacrifices will need to be made and the sooner that you accept that and move on, the better. It’s going to be an adjustment, but it’s better to pick where you will sacrifice rather than going hungry when the cupboards are bare.Continue reading “How to Cut Back on Spending and Live Frugally During Inflation”