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Courtesy of Rebecca Chamaa
- When I was growing up, $100 went a long way toward paying for clothes, food, and bills.
- Just paying for the basic necessities like food has become a lot more expensive in recent years.
- I'm cutting back on gift-giving this year — I'll be sticking to homemade fudge instead.
My view of money hasn't changed in decades, but this year has made me realize how I think of money is more suitable for the 70s than 2023.
I'm struggling with the inflation we have experienced in the past few years, and I get sticker shock every time I am required to open my wallet or tap my credit card. And that is one of the reasons my husband and I are forgoing gift-giving this holiday season.
Growing up, $100 was a lot of money
I'm from a generation where $100 was a significant amount of money, and the purchasing power of it went a long way. When I was in junior high, my parents gave me $100 for school clothes. I shopped for sales and went to discount stores to get as many outfits as possible to start the academic year.
I never felt like I didn't have enough clothing, and I never questioned whether the amount my parents decided was suitable for my brother's and my needs.
In college, having $100 in my checking account that wasn't going toward rent, books, or tuition meant that I could easily buy all my friends pizza and still have a cushion left over for any bills that might pop up.
When I made my first mortgage payment, the total bill, including homeowners insurance, was approximately $450. And I worked for $7.25 an hour for several years and didn't think twice about it.
The basic necessities are a luxury now
I can't get over the price of almost everything, from milk and the high-fiber bread to the occasional trip through the drive-thru — over $20 for a couple of veggie burgers and large fries!
Just over three years ago, we bought whatever we wanted to eat at the grocery store, and our weekly bill for two people was between $60 and $80. Now, our weekly bill is $150 or even slightly higher. And that is shopping at a store with deep discounts on most items.
Before the pandemic, we regularly went out for breakfast, lunch, brunch, and dinner. But we have put almost a total freeze on that type of spending. We went out last weekend for breakfast and ordered an omelet, avocado toast, and two coffees, which cost over $50 (including tip).
Now we eat almost every meal at home (except when rescuing food with the Too Good To Go app) or the rare take-out or restaurant trip.
We're skipping holiday gifts this year
I love the gift-giving part of the holidays, but this year, we will skip most of the tradition because of how inflation has reduced the purchasing power of our money. Our budget for holiday spending from previous years won't buy anything suitable to give to the people we typically put on our list.
I wouldn't say I like to spend weekends in the kitchen, but I might instead get out my apron and make some fudge for my local friends. It's one of the easier holiday treats, and everyone I know likes chocolate.
But for most of our family, we will look more like Scrooge this year than Santa. I'm just thankful our nieces and nephews are now adults, so there won't be long faces when we arrive at holiday parties empty-handed.