Posted on 01/19/2023 1:43:10 PM PST by fluorescence
Consumer spending slowed and household finances weakened across all income levels last month. But households earning $100,000 a year or more reported shaving more off their spending than less well-off households did, according to a report released this week by Morning Consult, a decision intelligence company.
The report also found that real monthly spending among U.S. adults fell by 4.3% from November to December. Even so, 21.3% of U.S. adults said their monthly expenses exceeded their monthly income in December, up from 19.2% in November.
On average, households earning $100,000 a year or more said they spent about 10% less in real terms in December than they did the previous month. Households earning $50,000 to $99,999 and those earning less than $50,000 a year, meanwhile, reported that they cut their monthly spending bills by no more than 5% on average.
Across the board, households are cutting back on recreation, alcohol, vehicle insurance, and other services in December, while spending more on hotels, gas and airfares, the report found.
One theory on the spending cutbacks: Higher earners typically have more discretionary income, and likely have decided to exercise more fiscal caution after seven interest-rate hikes by the Federal Reserve last year. (On Wednesday, St. Louis Fed President James Bullard told The Wall Street Journal in a live-streamed interview that the Federal Reserve should not “stall” on raising its benchmark rates until they are above 5%.)
The Morning Consult report did cite inflationary pressures. “Heightened budgetary pressures brought on by persistently high inflation are forcing trade-offs for consumers, leading to reallocation across categories,” it said. “For instance, as food grew more expensive over the past year, U.S. households accommodated an increase in grocery purchases by spending less at restaurants.
(Excerpt) Read more at marketwatch.com ...
Kegs are about 25% of the cost of bottled or canned beer.
I used to keep beer in an old coke machine in 12 ounce bottles. 80 bottles filled it up. Way too expensive and way too easy to empty it.
Yep. Stockpiling cash and hard assets.
Check the store brand for extra sugar or salt.
Store brands in my neck of the woods usually have more of either or both.
That’s a deal breaker for us.
Another possibility, which is true for me, is to cut back on collision and comprehensive. My car is 16yo and any dent is going to "total" it, with remuneration below $1k, so that portion of the insurance isn't worth it; I'll drive carefully and sock away the difference.
Yes - or jarred - minced or crushed.
I prefer the jarred (or fresh) over powder in my omelettes, particularly.
And when stir-frying as well.
Stanley Tucci has the only way to make sauce on his cooking videos. He specifically addresses the Oregano problem. Look them up on YouTube. Best ever. The guy knows kitchen and bar. He also advises against spaghetti in favor of shells, rigatoni, etc....Spaghetti doesn’t deliver the wonderful volume of sauce in each bite. The other pastas do. They hold a volume of the sauce.
Spaghetti Sauce
1 ½ lb spare ribs (NOT country style)
1 ½ lb sausage
Olive oil to cover bottom, medium heat, brown & stir
8 cloves garlic 10 minutes (grey-brown)
3 x 28 oz crushed tomato
2 x 6 oz tomato paste
2 x 8 oz tomato sauce
Rinse cans to get all tomato into pot
Dash or two salt
Heaping tsp garlic salt
¾ tbsp basil, ¼ tbsp parsley
Medium heat, turn down to simmer after bubbling
If tangy, add sugar (after it’s simmered for a while)
Exactly. Great sauce (gravy) slides right off spaghetti.
We are in the nearly $200K range.
I’m cutting back because my food bill almost doubled.
I have kids to feed. That comes before all the extras.
And yes, aggressively stockpiling and saving.
I don’t trust these clowns with the economy. Waiting for it to tank hard, frankly.
Thank you all for your recipes and ideas! FReepers are the best!
and oregano
Math is hard ...
One of my nephews likes to make "Scarborough Fair Chicken". You can guess what herbs he uses.
i decided on a 14yo vehicle to drop collision.
We spend no more or no less. I’ve always used coupons and discounts regardless of our income.
They are aware of the presence of that ominous person, Ian Flation, just like everybody else.
Well lets just say 100k does not make you rich. Whats going on is every single thing i buy is still 10% more expensive than it was 😂
If your car is paid off, you can cut costs by upping your deductibles and dropping collision. Collision is bought to cover your cost in an at-fault accident (your comprehensive covers their car, and if it is their fault, you owe nothing). Both my paid-off cars have over 100K and we are both retired now and drive a lot less.
According to statistics, we each have a 1% chance of an at-fault accident (neither my wife or I have had one in all our years of driving). We were paying $600 to cover both cars and according to the Bluebook, the maximum payout is $8,000, minus the $500 deductible. We were paying $600 for the 2% chance (counting both drivers) to collect $7,500 (assumes one of us could have an accident in any given year). In my case, the smart bet is to bet on ourselves and drop the collision.
Now I make my dough and bake my breads. It's not as easy as you'd think. I prefer the French Baguette or Italian loaf. Haven't gotten the texture just right yet.
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