This may be catching some of by surprise, but gas prices are still climbing! I can look out my office window and keep an eye on changes daily. One recent Saturday morning the owner increased prices six cents within two hours of opening and, no, there was not a truck that made a delivery that morning.
We all know that gas prices are increasing. Unless you have had your head stuck in the sand, you have felt the impact of the increase. People are beginning to talk about reducing or eliminating vacations due to the cost of travel. In addition to your fuel budget, there is virtually nothing that is not impacted. Food, entertainment, heating/cooling, etc – fuel costs really impact your wallet.
Our economy is very fragile right now. Many see that we are turning the corner and starting to come out of the malaise we have been experiencing for the last 4-5 years. Rising fuel prices will not help this recovery!
It is estimated that the US uses 19.6 million barrels of oils each day! At the end of 2008, when oil prices collapsed the last time, a barrel of crude oil was selling for $45/barrel. Right now a barrel of oil is at $106/barrel. When you do the math, look at the money that is taken out of our recovering economy due to this increase. That loss of money hurts anything trying to recover – housing, airlines, retail…..
But what is your impact? What you losing as a result of the rising fuels costs? Yes, I know you are losing your patience and your mind, but what financially? If you are not living by a budget, you may not actually see the impact while you most certainly feel it. Rising fuels prices rob you in so many ways. You struggle harder to get your debt paid off. You lose in trying to keep up with food. Looking long-term, your ability to save for retirement is even greater while you try to keep up with fuel costs and their rising impact across all segments of our economy.
What do you do? Live by a plan and with a purpose. Work to identify where you can cut back as you struggle with the situation. Cut spending in non essential areas including your driving habits, focus on the short term tighter management of your money, and work hard to stay on your longer term plan of dumping debt and building your financial future.
There is only one who controls your economy – you!