LEXINGTON, Ky. (LEX 18) — The numbers are tough to chew on. New data shows Americans are spending the most they have on food in more than 30 years. Combined with record-setting credit card debt, it may feel nearly impossible to stick to a budget, and many people are struggling.
"We are at levels of debt not seen in our country's history," said Quint Tatro of Joule Financial. He has more than 20 years of experience as a financial advisor and runs a popular podcast called DIY Money.
"It is a concern of mine to see credit card spending at all-time highs," he told LEX 18. "The thought is, if somebody loses their job, that bill is still going to be there and they're going to have to pay that bill. "
Data shows the average American is carrying close to $6,000 in credit card debt.
They're also facing rising prices at the grocery store and beyond.
"It is a real challenge out there for the American public," said Tatro. "Unfortunately, until we go through a recessionary period when prices come down, I believe it's here to stay."
He says one of the best ways to protect yourself against inflation is by getting rid of as much consumer debt as possible. If you want to pay down debt, start by tracking what you spend.
Then Tatro says consider finding a second source of income, or a side hustle. Finally, he says if you're paying off debt, it's important to learn to say no. In fact, you'll likely find others in the same situation.
"You are not alone," he said. "Own it, be okay with it, express it, and I promise you in a few years you'll look back and be so glad you did."
