Inflation Continues to Chew Up Your Paycheck
Inflation continues to chew up your paycheck.
While consumer prices rose 0.7% in January, income from all sources, including wages, salaries, interest dividends, rental income, unemployment, Social Security, etc. was essentially flat.
And when adjusted for inflation, real personal income fell by 0.5%.
In other words, you didn’t put any more money in your pocket in January. But you’re paying more — for everything.
Looking at the bigger picture, real incomes have fallen 7.5% from stimulus-inflated 2021. Going back to January 2020, real incomes are up a paltry 3.7%.
Keep in mind, this is aggregate data. There are more people in America than there were last year. Adjusted for population growth, the numbers become bleaker. Real personal income fell 10.1% from a year ago and was only up 1.8% from January 2020.