Plain-English definitions for the terms you'll encounter on your financial journey.
The average cost of the basic necessities required to maintain a certain standard of living in a specific location.
Consumer Price Index is a measure used to track how the average prices of everyday goods like groceries and gas change over time, helping us understand the rate of inflation. Think of it like a monthly shopping basket check; if the total price of that basket goes up, your cost of living is rising.
The possibility that the rising cost of living will reduce the future value and purchasing power of retirement savings.