What I'm Doing to Protect My Family's Budget From High Inflation

Revered investor Warren Buffett has said this about inflation: "The arithmetic makes it plain that inflation is a far more devastating tax than anything that has been enacted by our legislature. The inflation tax has a fantastic ability to simply consume capital." The current rate of inflation in the U.S. is 3.8%, and even if that sounds manageable, it can do a number on your finances. Let's say your monthly expenses are $3,000. After one year, a 3.8% inflation rate means those expenses will cost $3,114. If inflation remains at 3.8% over five years, you'll be looking at monthly expenses of $3,617. Image source: Getty Images.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool