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Entries in Cost (6)

Friday
Dec282012

Eight Things That Will Cost More in 2013

George Doyle/Stockbyte(NEW YORK) -- Happy New Year! Your life just got more expensive.

While Congress frets over the looming fiscal cliff and taxpayers brace themselves for higher tax rates, consumers should prepare for certain goods to become pricier in 2013.

Groceries, fuel-efficient cars and health care are all expected to get a little more costly next year, according to Dealnews.

But, there might be an alternative for some purchases.

“The easiest way to dodge some of these rising costs is to buy used,” Dan de Grandpre, CEO of Dealnews.com, told ABC News.

“A used car may not get as good mileage as a new one, but you’ll never save enough money at the pump to offset the money you’ll save buying used. Consider a used or refurbished iPhone 4 or 4S for the same reasons,” said Grandpre. “Not only will you dodge the full price of a newer iPhone, but you’ll be able to use older cables and speaker docks that are hitting their best prices in history as manufacturers move to Apple’s newer Lightning connector.”

Here’s a look at a few of the items compiled by DealNews that will increase at the beginning of the year:

Fuel Efficiency Ratchets Up the Cost of Cars

The price of engines is expected to drive up the cost of fuel-efficient vehicles, according to Dealnews.  Consumers can expect to see an increase in prices for the Toyota Camry and Lexus CT. The Camry is expected to receive a $175 price hike, compared to the previous year, and buyers can expect to pay $3,000 more for the 2013 Lexus CT 200h.

Grocery Prices to Increase by as Much as 4 Percent

Last summer’s drought is expected to effect the price tag of meat, poultry and dairy. Cereal and bakery products will cost more next year as a result of the drought. According to Dealnews, food prices are expected to rise 3.5 percent to 4 percent in 2013.

Health Care Premiums on the Rise

Employers are expected to pass along the cost of higher premiums in the New Year. Health care premiums are expected to rise to 6.3 percent in 2013, up from 5.7 percent, according to Aon Hewitt, a human resource consulting firm. According to Aon Hewitt, Philadelphia area residents will shell out close to $13,000 on average in health care costs.

High-End TVs and Home Theater Systems

According to Dealnews, Ultra HD TVs with their high pixel density already sell for $20,000 to $25,000 and that may go up. High-end audio manufacturers will raise prices too, “as they incorporate premium features like Apple Airplay or standard DLNA that lets users control the entire system wirelessly. These features can drive up the cost of AV equipment in an instant.”

Computers Push High-End Features

The increasing popularity of tablet computers is bad news for the personal computer industry and likely means PCs will go up in price.

Copper Will Be in Demand and Beer Prices Will Suffer

The metal used in water pipes, pots, kettles and equipment for making beer could see price spikes after the SEC approved a fund to trade the metal. As a result, consumers may see the price of beer, candy and other liquors increase in the new year.

Say Goodbye to Subsidies for Smartphones

T-Mobile has already announced its decision to bid adieu to its smartphone subsidies. Instead, the mobile company will charge customers an upfront fee and bill them in monthly installments for the remaining balance in 2013.  But it’s often cheaper to pay for the phone than get hit with much higher monthly rates at carriers that bundle in the price of the phone.

Tuition Goes Up as States Cut College Subsidies

Each year, tuition rises well ahead of inflation, which has been running at less than 3 percent.  In 2013,  in-state tuition at public colleges will rise to 4.8 percent, according to the College Board Advocacy & Policy Center.

Copyright 2012 ABC News Radio

Thursday
Apr262012

Here Comes the Bill -- What Guests Spend at Weddings

Comstock/Thinkstock(NEW YORK) -- Wedding season will soon be in full bloom and with it, rapidly depleted back accounts, not just for the people paying for the events but also those invited to them.

But on the bright side, as a survey by American Express Spending and Saving Tracker discovered, guests will be spending quite a bit less on average this year than in 2011.

The price tag for gifts, travel, clothing and wedding preparations will amount to about $339 -- which sounds steep, but really isn’t given that the cost this time last year was a whopping $490.

In 2012, gifts alone for close family members averaged $196, but that's now down to $166. The amount spent for newlyweds considered close friends drops to $105, while co-workers who get married are only worth $56 on average per gift from guests.

About four in ten guests say they determine what to spend based on their relationship to the couple, while a third say their personal budgets will dictate how much the gift will cost.

Overall, guests are more inclined to purchase gifts from a registry -- probably because it requires less thought -- even as couples would really prefer cash instead.

As far as what they regard as the best part of the wedding, just over 60 percent of the 1,500 adults surveyed say food is what they look forward to the most, with the venue, entertainment and wedding cake following the meal in importance.

Guests also say that the happy couple could help themselves financially by eliminating things like "save the dates," transportation for the wedding party or guests and party favors.

Copyright 2012 ABC News Radio

Thursday
Jun092011

How Much Does It Cost to Raise a Child?

Medioimages/Photodisc/Thinkstock(WASHINGTON) -- So you're having a baby. Congratulations! That little bundle of joy is going to cost you.

The U.S. Department of Agriculture estimates it costs $226,920 for a middle income family to raise a child for 17 years.

The agency's annual report finds the cost of raising a child rose 2 percent in 2010.

The largest expenditures are housing costs, followed by child care, education, and food.

Copyright 2011 ABC News Radio

Monday
Apr182011

Gas Prices Spike to $3.84

Jupiterimages/Thinkstock(WASHINGTON) -- The Energy Information Administration reports that the average price of a gallon of gasoline now stands at $3.84 in the U.S., up a little more than five cents from a week ago and nearly $1 from a year ago.  That’s the highest price since August 2008 and the highest price ever reported in the month of April (data in this series going back to 1990).
 
The price of gas is inching closer to the high set in July 2008.  Monday’s price is the 12th-highest nominal gas price in the history of the government gas price survey.

Copyright 2011 ABC News Radio

Wednesday
Jan262011

Consumers to Pay More with Rising Cost of Commodities

Photo Courtesy - Getty Images(NEW YORK) -- A trip to McDonald's, a late-night cable movie and latte will cost you a little more money this year. The price of commodities is going up, and the prices of some of your favorite things are rising to the top along with them.

"Companies are already anticipating raising prices in spring and fall because there is a lag time," said Al Ferrara, partner at professional services firm BDO USA, LLP. "It takes three to nine months for those cost increases to be felt in the marketplace."

"You will see increases but they don't happen overnight because of the lag time it takes to get products into the hands of consumers," Ferrara said.

Cell phone plans, cable prices, XBox Live Gold, coffee, McDonald's, gas prices and Netflix are among the companies and items that have already been affected by price hikes.

Copyright 2011 ABC News Radio

Monday
Jan172011

College Student Pays Tuition in Dollar Bills

Photo Courtesy - Getty Images(DENVER) -- University of Colorado-Boulder student Nic Ramos made his point about the rising cost of education Friday morning when he paid his $14,000 tuition entirely in $1 bills, reports Denver ABC affiliate KMGH.

The 20-year-old economics major packed 33 pounds of cash that he had withdrawn from several different bank branches over two days into a duffel bag and delivered the cash to the CU business office Friday morning.

The large cash payment has drawn an even larger amount of attention since the Boulder Daily Camera posted an interview with Ramos on YouTube.

"It might seem like it's kind of a useless cause," Ramos said in the video.  But, he said, "Just the sheer volume [of cash], just looking at this really sends a message.  Money does talk.  Tuition is extremely high for out-of-state [students] and it's only going up for in-state [students].  Maybe...people will kind of think of how much it really does cost to go to CU."

Ramos continued to tell the Boulder Daily Camera that he wanted to show the school "how much people are willing to give up" and "how much education really does cost for just one semester."

Bronson Hilliard, a spokesman for the university, told The New York Times it took three clerks nearly an hour to count the money.

Copyright 2011 ABC News Radio







ABC News Radio