Knock, Knock, Who’s There? INFLATION!!
As a direct product and protégé of Jim Lunney, you know that I must also be a social scientist, as I have been asked my observations of people, places, and things for the majority of my life.
So, here’s a good one:
The McDonalds on the way up the hill to the mountains in Colorado is paying their employees $18/hour. PLUS, if they hold the job for 3 months, McDonalds will buy them a new iPhone!
Even better, I’ve never seen this location without at LEAST five cars waiting in the drive through. And I travel up and down that highway often.
A few things going on here:
- $18/hour to work at McDonalds…inflation much???
- $18/hour to work at McDonalds…talk about trying to convince stimulus check dwellers to get back to work!
- Who is going to pay for that…you and I, the consumer!
- Trying to get folks to hold a job for 3 months is clearly difficult. Understandable for the fast-food industry, but clearly even more heightened now across all sectors.
The breakfast meal we ordered, which I remember being closer to a total of $16, now cost us $28 at the window. So, McDonalds isn’t paying those wages my friends, the consumer is.
This isn’t new news, but definitely reappearing and confirmation that inflation is here, and here to stay for the foreseeable future.
Inflation isn’t knocking on our doors; it is in our homes and people are beginning to take notice.
I expect to see 6% inflation each year for the next 3 years. We have adjusted our processes and clients’ investment allocations accordingly.
I am interested in your thoughts, comments, and questions!
Brittany Jarocki, CFP®
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