Right now the national average cost for a gallon of regular is $4.28. Financial Strategist Mitch Kramer, with Fluent Financial says it's high enough to make you change your habits! "Paying $4 for gas is causing significant changes! People with more than one car will drive the one that gets the better gas mileage when possible, especially on weekends. They are now buying their gas at a Sam's Club of Costco."
Kramer says two-thirds of the U.S. economy is consumer spending and inflation is even changing our TV habits. "Families that have a lot of cable packages and streaming services are thinking, 'Do we really need all this? We can't watch EVERYTHING!!'" Kramer says many big-ticket items like a vacation or a new car are being postponed.
Have Our Spending Habits Changed?!?
American consumer confidence is fading as inflation is taking a bite out of their budgets - especially the extras we look forward to. Kramer is saying people are once again cooking more and eating left-overs the next day, changing their driving habits to save on gas and "Consumers are also starting to cut back on their discretionary spending. They're not eating out as much, and a lot of families are cutting down on their upcoming summer vacation - either the duration time or how many they will take."
Although Kramer agrees that careful spending habits can potentially slow down the economy, he thinks we're at least a couple of years away for a potential recession.
PHOTO:GettyImages
More budgeting - less spending.Photo: Getty Images