Rising costs of gas and groceries make saving harder for Americans

JACKSON, Tenn. — Ongoing global uncertainty is driving up the cost of everyday essentials.

Gas and grocery prices, in particular, have risen over the past few months, making routine spending feel anything but normal.

As warmer months arrive, there is more driving, traveling and outings, making rising costs hit even harder. According to a new NerdWallet report, 24% of Americans say in 2026, essential expenses being too high is a reason they are not saving as much as they’d like.

“The items we’re used to buying just cost more, so it means we have to make a new plan either scale back what we’ve been spending, generate savings elsewhere, and really the biggest thing we can do is just to plan in advance and avoid impulse spending,” said Kimberly Palmer, a personal finance expert at NerdWallet.

In the month since the U.S. and Israel launched strikes on Iran, the widening conflict has roiled global energy markets and pushed gas prices up. While you can’t control the economy, you can control how much you spend.

“Sometimes we are planning vacations or trips, and sometimes parents have to think about the cost of childcare during the summer when school is out,” Palmer said.

Palmer says to plan ahead. Be deliberate when you buy in bulk, don’t skip farmers markets and farm stands, and store-hop to find the best deals. But we all know when times get tough, it’s hard to cut out all the fun.

“Staying home can definitely save money, but you don’t have to,” Palmer said.

The urge to travel and participate in activities, often labeled “fear of missing out” (FOMO), leads to higher spending on non-essentials.

“Look around for free events in your community. Sometimes there are local events concerts, other types of outdoor activities that are completely free,” Palmer said.

To avoid overspending, make a clear plan and stick to it. You can also stack your savings and be intentional on where your money is going.

According to the report, debt payments eat up cash flow. It’s the most common obstacle standing between Americans and saving more.