Prices are rising faster than paychecks are increasing, meaning real wages are once again declining.
HOUSTON — It’s no secret — prices are rising yet again for everything from groceries, to electric bills, to gas prices.
On Tuesday, President Donald Trump suggested prices will drop once the war with Iran is over, but there’s no official end in sight right now.
Prices are rising faster than paychecks are increasing, meaning real wages are once again declining.
For many, the biggest problem is climbing energy costs. Energy prices were up 3.8% in April from the previous month after March showed a 10.9% jump. The overall energy index is 17.9% highter than it was a year ago.
Gasoline prices also jumped 28.4% annually in the latest inflation data. AAA reports gas prices are up $1.30 per gallon in Houston compared to this time last year. That means a family filling up two SUVs weekly could easily spend an extra $150 to $250 or more per month.
Delivery fees and food transportation costs are also on the rise.
A financial analyst weighed in on why some people feel like they just can’t catch up compared to others.
“People who are earning the highest, they’re more likely to probably still be outpacing inflation,” said Bankrate Financial Analyst Stephen Kates. “But the people who are making the least, they have not been for months, and this is only going to be worse for them.”
Some solutions to help save on your electric bill include raising your thermostat to 76 or 78 degrees during the day, using ceiling fans, and installing blackout curtains to keep heat out. You can also avoid using your washer, dryer and dishwasher during high-heat peak hours.
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