Mar 22, 2024
The Bureau of Labor Statistics has been saying that inflation is cooling. It’s no longer at 9.1%, like it was in June 2022, but it’s now hovering around roughly 3%.
However, Americans still feel the burn. Kenneth Turner (@kyinsurance) recently went viral on TikTok after explaining how much he’s suffering under these soaring prices.
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“Has anyone noticed that it’s literally becoming impossible to live a normal life because of the inflation that’s going on?” the Kentucky-based insurance advisor asks.
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Turner’s video details how rent, food and insurance are eating away at his wallet — and he’s not the only one. But there are ways to manage these skyrocketing prices.
How to manage soaring rent rates
Turner says that his rent has increased from $800 to $1400 in the past few years. That’s a 75% increase.
Turner lives in Lexington, Kentucky, which has become the third most expensive city for young homebuyers, according to a recent study by Point2. Though Turner is renting, home prices have a big impact on rent rates.
Point2 also discovered that Lexington saw a 30% increase in average rental prices between June 2021 and November 2023: jumping from $953 to $1,246. This is a somewhat similar price increase to Turner’s own rent.
However, Lexington rent remains below the national average. As of February 2024, Rent.com reports that the national median monthly rent price is $1,964.
Turner is already utilizing one of the best ways to save money on rent: living in a lower-cost state. But the easiest way to cut down even more on rent is to split the apartment with someone.
Turner doesn’t mention if he lives with roommates, family or a partner. But if he doesn’t, he definitely should look into it. Splitting rent is an easy, effective way to avoid the dreaded "singles tax" and decrease a major cost while splitting other bills, like utilities and groceries.
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How to manage the cost of food
Turner can’t believe how much a shopping trip at Kroger costs him.
“I feel like I go in there with $100 and I come out with a gallon of milk and two pieces of toast,” he says.
Though the Consumer Price Index says that the food price inflation has dramatically decreased, Americans are still feeling the effects of the high inflation that occurred between 2020 and 2022.
Food prices have gotten so out of control that the number of food insecure families with seniors have doubled in the last 20 years. Turner and his contemporaries may not be over the age of 60, but they’re also struggling.
“I sit here with no water because I chose food this month,” reads one comment on Turner’s video.
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Less than half the population (40.5%) reveal they can comfortably afford food, while the remaining 59.5% are struggling to put food on the table to some degree, according to a 2023 study by research platform Attest.
Due to the prevalence of this situation, TikTokers are giving out grocery hacks, such as the cheapest fish to buy or how to make the most out of coupons.
How to manage auto insurance
Turner says that his car insurance has increased by 28%. A recent MarketWatch survey says that Kentucky residents pay an average of roughly $2,522 per year on car insurance — $514 more than the national average.
Car insurance costs skyrocketed to a 47-year high in December 2023, jumping by 20.6% from a year earlier, according to Bureau of Labor Statistics inflation data.
The pandemic’s inflation levels have created this massive car insurance hike. Car and car part prices increased during the pandemic due to supply chain issues. The prices never reverted because people have started driving more, now that the lockdowns ended.
The best thing you can do to keep your car insurance low is to shop around. Get at least three quotes to ensure that you’re not getting inflated prices. You can do this all online now, which makes it easy and fast.
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Sabina Wex is a writer and podcast producer in Toronto. Her work has appeared in Business Insider, Fast Company, CBC and more.
