Thanksgiving is about gratitude and family (or framily, i.e. the friends you consider family). But, let’s face it, the main event for most of us Americans is dinner.
And this year, that traditional feast will cost us about 20% more, according to the American Farm Bureau’s annual Thanksgiving dinner survey.
That’s like adding two extra plates to last year’s celebration!
Here’s how inflation has affected each of the items in a traditional Thanksgiving feast between 2021 and 2022, based on feeding 10 of your nearest and dearest:
If you’ve been following inflation news, these price hikes may not come as a surprise. Overall, food prices were up 10.9% year-over-year in October, according to the Consumer Price Index (CPI).
But not all food prices move up or down together.
In October, for example, frozen turkey prices had climbed 73% year-over-year, due to causes that range from high costs for feed and fuel to an outbreak of avian flu, which killed near-record levels of turkeys in the US this year.
Fortunately, prices began to drop over the past few weeks as retailers offered promotions to boost sales of the seasonal bird.
Holiday cooks may also be surprised by the cost of stuffing, with prices up almost 70% since last year. That’s related to a global wheat shortage caused by Russia’s invasion of Ukraine and a ban on exports by India, the world’s second largest wheat producer.
The wheat shortage is also hurting the cost of dinner rolls and that tasty pumpkin pie. (But gluten-free guests, there’s no point in gloating. The cost of gluten-free food is still 183% more than gluten-containing foods.)
There’s no denying that traditional Thanksgiving dishes are more expensive this year. So, how can we cope? (Other than filling up on cranberry sauce – the only traditional Thanksgiving dish that’s cheaper this year.)
Remember the spirit of Thanksgiving. Enjoy our friends and family, spend within your budget and consider donating to a local food bank to help those who are hurting the most.
This article is for informational purposes only and is not a substitute for individualized professional advice. Individuals should consult their own tax advisor for matters specific to their own taxes and nothing communicated to you herein should be considered tax advice. This article was prepared by and approved by Marcus by Goldman Sachs, but does not reflect the institutional opinions of Goldman Sachs Bank USA, Goldman Sachs Group, Inc. or any of their affiliates, subsidiaries or division. Goldman Sachs Bank USA does not provide any financial, economic, legal, accounting, tax or other recommendation in this article. Information and opinions expressed in this article are as of the date of this material only and subject to change without notice. Information contained in this article does not constitute the provision of investment advice by Goldman Sachs Bank USA or any its affiliates. Neither Goldman Sachs Bank USA nor any of its affiliates makes any representations or warranties, express or implied, as to the accuracy or completeness of the statements or any information contained in this document and any liability therefore is expressly disclaimed.
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