LOUISVILLE, Ky. — The Bureau of Labor Statistics recently reported inflation rose to 9.1% last month, the highest yearly jump since 1981.
The Bureau also reported the price of gas is up almost 60%, rent went up 5.6% over last June and food at home or dining out increased 10.4%.
In addition to that 9.1% increase in the last year, on a month-to-month basis, June saw a 1.3% increase in the consumer price index. That index directly reflects the prices consumers are paying for goods.
"We're three weeks into selling a product that used to cost us $10 and now it costs us $14," said Adam Steckler, the general manager of Harvey's Cheese.
A statement many small businesses feel they can relate to.
"The packaging that they send us is more expensive, the milk is more expensive. Every aspect is more expensive right now," said Steckler.
Jose Fernandez, the economics chair at UofL, says the 9.1% increase will reflect in your paycheck.
"It means that your take-home pay is really a lot less than you think it is. So you're going to pull back on some spending," Fernandez said.
It's not just food costs and interest rates; people are also changing their spending habits.
"I have seen a slowdown in traffic coming into the market and really coming into my shop. So that has affected me," said Sarah Kinder, the owner of The Kinder Artist.
She said her prices aren't changing, but her traffic is less steady.
"I'm about halfway towards my goal. And right now I'm only about a third of that, which is, like, kind of a big deal to me, because this is like market season. You know, this is when people are out shopping," said Kinder.
She said she knows her product may not be a necessity but she's working hard to keep up with big box retailers.
"I'm gonna have to continue making adjustments because it's not," Kinder said. "I feel like it's gonna get worse before it gets better."
When it comes to those increases in prices, Fernandez said he doesn't necessarily see it getting worse but more stagnant.
"I don't expect them to go down, I do expect them to flatten out. And we'll just have to get readjusted to this new normal," Fernandez said.
For now, each business owner says they plan to keep doing what they can to make sure their customers stay happy.