5 Great Places To Start Cutting Expenses In 2022

Just recently, I signed up for a Paramount Plus free trial. There was a documentary my wife and I wanted to watch, and a prequel series to Yellowstone I fancied sinking my teeth intoFast forward a few weeks, and you guessed it? I forgot to cancel the subscription. And with inflation being what it is, the last thing on my docket (and everyone else?s) is unnecessary expenses. 

Price tags in 2022 are hard to look at, but they can?t be ignored. Instead, it?s best to face expenses head on and focus on what you can control. By doing this you?ll develop new-and-improved habits that?ll keep you weathering this economic storm. 

By identifying key areas affected by recent inflation, you?ll uncover opportunities to change up and save big. So together we?ll review 5 places where inflation is likely hitting you hardest, what actions you can take, and how you can plan more effectively in the future. 

1) Driving 

One of the biggest sources of pain is found at the pump. The U.S. has seen gas prices jump 48% due to factors like the Ukrainian war, consumer demand, and lingering supply chain issues carried over from the pandemic.1 

And for those in the market for new and used cars, matters are only made worse. This year, we?ve seen new car prices jump over 12%, and over 40% for used ones.2 So take advantage of working from home and local hangouts! 

Cutting down your driving could save you hundreds a month in gas. And the lack of extra miles will do wonders for your car?s wear and tear. Because if there?s anywhere you don?t want to be driving right now, it?s to a dealership for a new or used car. 

2) Groceries

Trips to the grocery store haven?t been too pleasant either. Just recently, we saw an 8.8% year-over-year increase in the food price index.3 

But not all areas have been affected equally. We?ve seen a range of price spikes across grocery items. These include, but are not limited to milk (13.3%), eggs (11.2%), meat (13.8%), bread (7.1%), fruits (10.1%), and vegetables (5.9%).3 

If you aren?t doing so already, it?d be a good time to start having a grocery list and sticking to it. Going in without a plan leaves you vulnerable to impulsive shopping. And take your momma?s advice and eat your vegetables. 

3) Utilities

Being conservative with your energy consumption isn?t just good for the planet. It?s good for your wallet. And that?s especially true when you consider your latest utility bills.  

Since 2019, utilities have outpaced inflation. This includes price increases for electricity (12%), piped gas (27%), propane, kerosene, and firewood (34%).4

So stop leaving the lights on and taking overly long hot showers. And if it starts feeling chilly, consider reaching for a sweatshirt instead of a thermostat. It?ll save you in the long run regardless of inflation. And as someone who just recently had natural gas inserts installed, all I can say is? damn you Putin!

4) Eating Out

The total you?ll see in the checkout aisle may be rough, but it pales in comparison to the one the waiter drops off. Eating out was plenty expensive before record-breaking inflation. Now it?s even more so. 

Full-service restaurants have seen prices jump 7.1% over the past year.5 And if you think inflation fares better at the golden arches, you?re mistaken. Limited-service restaurants like Starbucks and McDonald?s have seen their prices pop 8%.5 

By sticking to the grocery store you?ll have food at home. This means less temptation to go out and order in. Self-discipline is key, and the numbers don?t lie. Sadly that includes the ones telling me weight after I relapse at a drive-thru. 

5) Home Improvement Projects

Unfortunately, it looks like we?ll be stuck with a lot of the remodeling trends from 2021. That means supply shortages, labor shortages, and staggering home improvement costs.  

January 2022, saw significant year-over-year price spikes for various home improvement items. These included, but were not limited to window coverings (16.2%), floor coverings (7.2%), appliances (8.5%), and living room/kitchen/dining room furniture (19.9%).6  

As someone who personally dealt with this, let me tell you? it?s no joke. And the uncertainty about future prices can be a double-edged sword. Will it be cheaper now or later? But whether or not you can afford it now is still the real question.  

If you?re not looking to put your home on the market, or truly need it, analyze if you can still afford the improvements you want to make. We?re having so many conversations with clients right now on this very issue. We?ve often found holding off is still an option, and doing so might just save you some serious financial stress in the future. 

6) Subscriptions (Bonus)

It turns out I?m far from alone in the subscription struggle. Several recent surveys have shown many Americans are failing to manage their subscription costs. And in the digital age, that?s a problem that adds up fast. 

A Bankrate survey found that 51% of its U.S. adult respondents had incurred unwanted subscription charges (ex: forgetting to cancel).7 Another survey conducted by Chase found that 71% of its U.S. respondents were wasting over $50 a month on subscriptions they didn?t even want.7 

So take inventory of your subscriptions, and be honest with yourself. I know I cut the cable cord, but don?t seem to be saving as much anymore. Are you getting enough value out of your subscriptions to justify their monthly costs? If not, it?s time to drop the service and put that money to better use.

How Crafted Finance Can Help 

Time?s are tighter than usual, which is cause for more mindful spending. By controlling your expenses where you can, you help buck the trend of rising inflation. And by focusing on the areas most relevant to you, you can buck even harder. 

So what are the costs associated with inflation? Well right now, they?re ones seen majorly at the gas station, grocery store, restaurant, and home. But if you can adjust your spending habits in each of these areas, you?re going to take back the power of your wealth. And don?t worry, you?re not alone in figuring it out. 

At Crafted Finance we work closely with our clients to develop a financial plan that works for them. We take into account where they?re looking to go, and develop a system they can take action on to get them there. 

Part of this process involves helping you spot inefficiencies in your financial habits, controlling your costs, and maximizing your savings and investments. To see how we might be able to help power your wealth through high-inflation, feel free to reach out to us at (650) 336-0598. You can also fill out a contact card here, and we?ll reach out to you.

Investment Advisory Services are offered through Crafted Finance, LLC, a registered investment adviser. Please remember that securities cannot be purchased, sold or traded via e-mail or voice message system. This advertisement and any documents, files or previous advertisements may contain information that is confidential or legally privileged.  If you are not the intended recipient, you are hereby notified that you must not read this transmission and that any disclosure, copying, printing, distribution, or any action or omission of this transmission is strictly prohibited.  If you have received this advertisement in error, please immediately notify the sender by telephone at (650) 336-0598 or return and delete the original advertisements and its attachments without reading or saving in any manner.

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Kristin Harad

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Jon Fogg is a dynamic and innovative content creator who has been making waves in the digital realm. With a passion for creativity and a flair for storytelling, Jon has captivated the financial world through his engaging and diverse content.

When he’s is not working on an SEO blog or case study, you’ll find him enjoying local art galleries or a phenomenal read. Friends and colleagues often commend him for his clear enthusiasm and dedication, which is evident in every project he undertakes. 

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Meet Kingston Hollman, the compliance guru everyone’s been talking about. With a sharp mind for regulatory ins and outs, Kingston is all about keeping businesses on the straight and narrow. That’s why he’s a go-to in the compliance world!

Sporting an MBA under his belt, Kingston’s not just about book smarts. He knows the fine dance between business strategy and staying in line with the rules. And guess what? He’s mastered it. Ensuring companies sail smoothly through the often-stormy waters of compliance is his game.

From the get-go, Kingston’s been crafting top-tier compliance programs, tailored just right for all sorts of industries. It’s his eye for detail and that knack for spotting the little things that make him stand out. He doesn’t just set up a system; he fosters a whole vibe of staying compliant, making sure everyone’s on board.

Jessica Martineau

Client Operations Manager

Jessica is a seasoned professional with a diverse background, bringing a decade of expertise across multiple industries. A proud graduate of SPU, her journey in the professional world is marked by significant accomplishments.

With nearly eight years dedicated to managing projects in the graphics and built environment sectors, Jessica has honed her skills as a meticulous Project Manager. This tenure has instilled in her a knack for thriving within organized structures while fostering robust client relationships, a hallmark of her professional ethos.

Her experience in the Finance industry spans almost a decade, where she has held pivotal roles as Lead Client Operations Manager and Director of Operations. Notably, her FINRA SIE Certification stands as a testament to her commitment to excellence.

Jessica’s strengths lie in cultivating enduring client connections, fueled by her passion for delivering thorough solutions. She finds joy in understanding and engaging with her colleagues, nurturing a cohesive work culture.

As a Pacific Northwest native, Jessica enjoys hiking, camping, and skiing. She loves reading, attending live music, plays, and comedy shows. Always a foodie, she delights in discovering new restaurants and revisiting old favorites, especially if there is a water view.

Most importantly, Jessica’s world revolves around her family—her amazing husband, Lee, and their two great kids. They are her inspiration and the anchor to her life outside of work.

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Let’s dive into the world of Dionne Kelly! Born in St. Kitts and with her roots deep in Barbados, Dionne’s been globe-trotting from her island homes to Canada, the USA, and Belize. Got a love for tropical spots? So does Dionne. Her passport’s got stamps that tell tales of sun, sea, and a bunch of awesome adventures.

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Oh, and did we mention she’s a foodie? Dionne’s taste buds have danced across diverse culinary landscapes, adding a sprinkle of global flavor to her persona. In the world of executive support, she’s a powerhouse, always two steps ahead and ready to make things happen. 

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Meet Joe Wride, the president and founder of Crafted Finance. With a knack for pension and investment management, insurance, and financial planning, Joe’s all about offering top-notch services without breaking the bank. That’s why he started Crafted Finance!

A proud Finance major from Washington State University, Joe’s got the credentials to back it up as a Chartered Life Underwriter and CERTIFIED FINANCIAL PLANNER™ Professional. Since 2009, he’s been helping individuals, families, and pension plans make sense of their finances. Joe’s even on the board of the Financial Planning Association’s Puget Sound chapter. Check out his LinkedIn profile here.

Joe gets that everyone’s got their own money story. That’s why he’s crafted a unique process to help folks of all stripes manage their finances, whether they’re flying solo, raising a family, or running a company. He’s all about learning and growing to make sure his guidance is just the right fit for his clients.

When he’s not crunching numbers, you’ll find Joe enjoying the Seattle life. He’s into skateboarding at Alki beach, biking, golfing, snowboarding, hiking, and camping. Sports fan? You bet! Joe’s a die-hard supporter of the Cougars, Mariners, Seahawks, and Sonics. But what really matters to him is family time with his wife Jessica, daughter Ocean, and dog Kanga. Joe’s excited to welcome more kiddos into their home through foster care and adoption in the future.

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