Welcome to Money Matters. If you thought your budget was stable, think again: “the impact of the new tariffs is estimated to be more than $5,000 per year for the average household,” according to Lifehacker. All the careful planning you’ve done could be upended as prices rise across the board.

Here’s how to stay ahead. Tariff rates vary, but you can expect consumer prices to climb somewhere between 3 percent and 10 percent. A simple rule of thumb is to set aside an extra 5 percent of what you already spend on groceries and everyday items. For example, if you spend about $500 a month on food, socking away roughly $300 a year should cushion you against most increases.

Don’t forget big purchases. Consumer Reports warns appliance prices could jump 30 to 40 percent in the next nine months. That $2,000 fridge you’ve been eyeing? Plan for an extra $600 to $800.

If you want extra peace of mind, consider building a separate tariff emergency fund of up to $5,000. Keep it distinct from your regular emergency savings so you’re prepared for whatever comes next.
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