The cost of living has been on the rise, affecting consumers worldwide, including Ireland. Factors such as the COVID-19 pandemic, Brexit, and supply chain disruptions have contributed to the inflationary pressure, resulting in higher prices for essential and non-essential goods and services. In this article, we will explore the impact of inflation on personal finances and provide practical tips to help you manage the increased cost of living.
Inflation is the term used to describe the rise in prices over time, which diminishes the value of money. This means that you can purchase fewer goods and services for the same amount of money than before. With inflation reaching 9.5% in Ireland as of October 2022, it is crucial to be aware of its implications on your finances.
Strategies to Manage the Increased Cost of Living
Make a budget: Creating a monthly budget allows you to track your expenses and identify areas where you can reduce costs. The 50/30/20 rule is a helpful budgeting guideline that suggests allocating 50% of your income to essential items, 30% to wants, and …