5 Everyday Expenses That Cost More Than They Did 5 Years Ago — and How People Are Adapting
Written by
Laura Bogart
Edited by
Kristen Mae
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A lot can change in five years. Fashion trends shift. Social media pumps new slang. Global leaders come and go. Prices move in the wrong direction — up. From stocking your cupboards to raising your kids, you’ve likely noticed that parts of daily life are much more expensive now than they were five years ago.
Understanding which items, services and choices have surged in price is only half the battle for your budget. Adapting to those changes is essential to your family’s financial future — but knowing where to begin can be difficult. Fortunately, GOBankingRates did some research to shed light on everyday expenses that have spiked over the past five years — and how families can keep up.
1. Groceries
If your grocery bill feels like it’s taking a bigger bite out of your paycheck, you’re far from alone. According to Bureau of Labor Statistics data, grocery prices rose 29% between early 2020 and late 2025. NPR reporting attributes the spike to a mix of factors, including the pandemic, Russia’s invasion of Ukraine, avian flu and tariffs imposed by the Trump administration on imported foods such as bananas and coffee.
How to adapt: Shoppers willing to put in extra effort are splitting their trips between traditional grocery stores and dollar stores, especially for nonperishable items. Many families are also cooking meals in bulk to stretch leftovers through the week. Cutting back on fast food or restaurant meals can also free up room in the overall grocery budget.
2. Planning a Family Vacation
Yearly vacations were once a staple of American family life. Today, the cost of travel can feel nearly as exhausting as the kids asking, “Are we there yet?”
When Sleeping Giants Financial crunched the numbers, it found that the cost of airfare, accommodations and other travel expenses has climbed over the past five years — particularly during peak summer months. Rising gas prices and higher rental car costs mean even road trips aren’t as affordable as they once were.
The firm noted that “eating out three times a day and paying for tourist attractions, activities and souvenirs can add up quickly. For a family of four, these costs can easily run into hundreds of dollars per day.”
How to adapt: A good old-fashioned staycation may be in order. The team at Sleeping Giants Financial points to the savings of staying closer to home. Planning vacations in the off-season, using reward points and booking well in advance also can help trim travel costs.
3. Buying a Car
For many Americans, owning a car is essential — after all, teleportation isn’t an option for getting to work, school or kids’ activities. Still, the cost of buying and maintaining a vehicle feels significantly higher than it did just five years ago.
NPR traced these affordability woes to pandemic-era supply chain disruptions that triggered a global chip shortage, reducing new-vehicle supply. Automakers responded by prioritizing higher-margin models. As a result, the average new car now costs more than $50,000 — a record, according to Kelley Blue Book.
Ironically, higher new-car prices drove more buyers into the used market, pushing those prices up as well. NPR reported that used vehicles now average more than $25,000.
How to adapt: Rather than upgrading, many drivers are holding onto their vehicles longer — even if that means paying for repairs to avoid higher monthly payments. Some two-car households are scaling back to one car, relying more on carpools or public transit where available. In cities with reliable mass transit, families may be able to go car-free or reduce mileage to save on maintenance, insurance and gas.
4. Raising Children
While raising a family has never been cheap, the past five years have brought particularly steep increases in child-related expenses.
The evidence extends beyond parenting group chats. Topline findings from the 2025 American Family Survey show that 70% of respondents believe raising children is too expensive. Child care costs alone — especially center-based care — have seen steep increases, outpacing general inflation and accounting for a meaningful share of household budgets.
Behind the numbers is a growing sense of anxiety. Beyond covering day-to-day expenses, many parents worry about teaching their children strong money habits that will help them stay financially confident and independent in an uncertain economy.
How to adapt: While parents can’t reverse broader economic trends, they can help kids build financial skills early through family-focused money apps and tools for teens, like Cash App’s “Families” feature. These kinds of apps give young people real-world experience with money management while helping parents guide discussions about budgeting, saving and responsible spending.
5. Dining Out
Even the most frugal families likely dine out a few times a month. But those “nobody feels like cooking” or “we deserve a treat” meals have become much more expensive over the past five years.
The National Restaurant Association confirmed the trend in a January 2026 report: “In 2025, prices for food away from home averaged monthly growth of 0.4%. On a year-over-year basis, menu prices rose 4.1% since December 2024 — the highest growth rate since July 2024.”
How to adapt: Cooking at home more often is the simplest way to reduce food spending. When you do dine out, limiting restaurant meals to special occasions — and choosing less expensive formats like lunch instead of dinner or fast-casual vs. sit-down service — can help keep those costs in check.
The Bottom Line
Life is more expensive now than it was even five years ago, especially in a few key areas of everyday spending. Still, families willing to stay flexible and adapt their habits can position themselves for greater financial stability in the long run.
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