TAMPA, Fla — Expect a few double-takes on some of the price tags in 2022 as economists project some items will be more expensive.
So what will you be paying more for?
"Candy, mayo, mustard, cookies…you name it. There are lots of consumer goods that will have higher prices in 2022," Victor Claar said.
As a professor of economy at Florida Gulf Coast University, Claar said the rising costs are mostly due to the broken supply chain. You will likely notice costs increasing at the grocery store.
More factors that will add to tough financial situations include paying back federal student loans. The Biden Administration just extended the deadline to May 1, 2022. That means as summer approaches, millions will have to account for paying back their loans.
Other factors include the changes to federal aid, like the monthly child tax credit. The child tax credit program is expiring. That means families won't get the monthly payments that helped cut poverty.
Claar said some families may even owe money.
"We received child tax credits throughout 2021, and it’s important to remember they were advanced payments, money that people were expected to get in 2022 based on their tax income filings all the way back to the end of tax year 2020. Because those payments were based on a previous tax year, if things have changed for you a little bit at the margin, it’s possible you might owe more than you might expect," Claar explained.
Claar said it's great to save money if you can. If you don't have the finances to put money aside, he says to make sure you're spending your money on things you need.
"I think one of the most important things any of us can do is ask ourselves, do we really need it? Remind ourselves, like our parents did, just because it’s on sale doesn’t mean it’s a worthwhile purchase for you right now," Claar added.