How to Stretch Your Dollar During Times of Inflation

When it comes to rising prices, it can often feel like your money just doesn’t stretch as far as it used to. While broader economic factors like inflation and changes in the market are often beyond our control, your financial stability doesn’t have to be. During periods of inflation, it can be empowering to focus on what is in your control: your financial approach.

During periods of high inflation, it's easy to feel overwhelmed. But the good news is that small, thoughtful changes can make a real difference. Whether you're trying to cut back on monthly expenses or stretch your weekly grocery budget a little further, here are practical ways to stay grounded and in control, even when prices rise.

Start with a Solid Budget

Let’s begin with the foundation: your budget. Think of it as your personal roadmap- not a restriction, but a tool to help you align your spending with what matters most to you. When you have a clear picture of your income and expenses, you can make more intentional decisions and find opportunities to adjust when needed.

If you’ve never created a budget before, here’s a guide to help you get started.

Find and Fix the Leaks

A well-planned budget can reveal a few leaks in your spending. Sometimes, it’s the small, unnoticed expenses that add up over time. A few areas to look at:

• Subscription overload: If you’re paying for multiple streaming services, try “subscription hopping” - subscribe to one, watch what you want, cancel, and move on to the next.
• Frequent takeout: Dining out can be convenient, but it adds up fast. Try setting a weekly amount in your budget that you’re comfortable with or planning a few extra home-cooked meals each week.
• Service bills: It’s always worth checking in with your internet or insurance provider to see if any promotions or discounts are available.
• Energy use: Reduce your utility bill by unplugging electronics when they’re not in use and saving high-energy tasks (like laundry or dishwashing) for off-peak hours.

Shop Smarter at the Grocery Store

Food prices are one of the first areas where people feel the impact of inflation, but smart shopping strategies can help you save without sacrificing quality.

• Buy in bulk for items you use regularly, like rice, pasta, or canned goods.
• Stick to your list and build meals around weekly store sales.
• Try store brands. Many are produced in the same facilities as name brands and offer the same quality at a better price.
• Repurpose ingredients throughout the week. One roasted chicken can turn into tacos, salads, sandwiches, and/or soup.

Tap into Community Resources

Sometimes the best ideas come from the people around us. When budgets tighten, leaning into your community can help you save while staying connected.

• Join “Buy Nothing” groups in your area to trade clothes, books, toys, and household items.
• Take on a no-spend weekend challenge with friends or family to discover fun, free ways to spend time together.
• Sell unused items to declutter and put a little extra cash into savings.
• Most importantly, share your wins and learn from others. Community motivation can go a long way.

Plan for the Unexpected and Celebrate Progress

Inflation or not, life always throws in a few surprises. That’s why it’s helpful to build some flexibility into your financial plan.

• Set aside funds for unexpected expenses like car repairs or medical bills. Adding a miscellaneous category in your budget can provide a cushion between your finances and life’s surprises.
• Automate your savings by setting up regular transfers from your checking to your savings account.
• • And don’t forget to acknowledge your progress, whether you stuck to your grocery budget, paid down a bill, or canceled a subscription you no longer use. Those small victories matter and add up over time.

We may not be able to predict every twist and turn in the economy, but we can still make smart, informed choices that strengthen our financial well-being. Inflation doesn’t have to derail your progress to financial peace of mind. With a proactive mindset and a few smart strategies, your money can still go a long way.

Looking for more ways to feel confident about your finances? Explore more articles like this on our Financial Well-Being Blog, or meet with a Financial Well-Being Coach. We’re here to support you every step of the way.