Rising inflation has made it more expensive to eat at home—here’s how much grocery prices have increased

The Labor Department reported that consumer goods prices rose by 8.5% in March, the largest year-on-year increase in more than 30 years.

The consumer price index increased by 1.2% last month, following a 0.8% increase in February. The main drivers of inflation are gas, food and shelter.

The price of gas increased by 18.3% after rising 6.6% in February. The price of a gallon of gas went up to $4.33 in March, nearly double what it cost in January 2021.

The cost of shelter has gone up as a result of the housing shortage.

The cost of gas and shelter is concerning, but prices for basic food items continue to climb. In the previous six months, food prices have increased by an average of 0.8%.

It is more difficult for consumers to save money by eating out because food prepared at home is 10% more expensive than it was a year ago. The year-over-year cost of takeout and restaurant meals has gone up.

Due to supply chain issues, disrupted harvests and labor costs, the cost for essential food items needed to prepare meals continues to increase. The items have gone up in price in the last year.

• Flour and prepared flour mixes: 14.2%
• Butter and margarine: 14%
• Meat, poultry and fish: 13.8%
• Milk: 13.3%
• Eggs: 11.2%
• Fresh fruits: 10.1%
• Bread: 7.1%
• Fresh vegetables: 5.9%

Matt Dmytryszyn, chief investment officer at financial advisory firm Telemus, says that grocery stores have been more aggressive in raising prices.

We expect pricing to be more balanced between home and away from home.

One silver lining from Tuesday's report is that the index for all items less food and energy rose in March after a small increase in February. Costs for most items are rising, but maybe not as much.

After raising interest rates for the first time in a year in March, the Federal Reserve is expected to keep raising them.

By increasing the cost of borrowing money, the central bank tends to decrease inflation.

Charles Evans, President of the Federal Reserve Bank of Chicago, said on Monday that a more aggressive interest rate increase is possible in May.

Evans said that a 0.50% rate hike is definitely worthy of consideration.

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Here, you can see how much more expensive your groceries are due to inflation.