Watching Your Wallet: How to combat inflation

FRESNO, Calif. (KFSN) -- From cautious spending habits to managing debt, inflation continues to shape consumer behavior.

Because the increase of goods over time is inevitable, factor it into your finances.

"There are actually ways to use inflation to your advantage," says Chief Investment Officer Taylor Whelan of Whelan Financial in northwest Fresno.

Whelan says everyone's financial picture is unique, but there is one constant: planning is key.

"Every year, there's going to be aberrations," Whelan said. "Sometimes, the stock market will be up. Sometimes, the stock market will be down. Inflation will be higher. These are all things over time that we can see. Historically, there's a good median but we know that's not going to be the case every single year."

Whelan says a well-tailored financial plan considers each of those aspects.

"You have to have your money positioned correctly so it's in a place where those unknowns won't hurt you," he said.

In addition to High Yield Savings Accounts, Commodities and Certificates of Deposit, there is also a special bond option.

"The U.S. Treasury Department issues something called I-Bonds, and when inflation goes up, I-Bonds pay you more money, so it allows you to keep your dollar at a dollar even if the cost of things goes up," Whelan said.

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