1. Inflation in the last year was 4.2%. If you get (or got) a raise less than that, then you got a pay cut
Reminder that usually a “cost of living” raise is to match inflation, usually 2%. So getting a 3% raise is usually just a little more than cost of living.
The report came out today that in the last year, inflation was 4.2%. That means if you got a 3% raise, your purchasing power is less than this time last year.
I know that a lot of people are unemployed, but a lot also took pay cuts or pay freezes or crappy raises last year (and probably more work to offset layoffs, but that’s for a different discussion). Now that the job market is picking up, inflation is definitely something to consider.
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