PRESS RELEASE from the
ILLINOIS POLICY INSTITUTE 

CONTACT: Melanie Krakauer (312) 607-4977

Inflation gives Illinoisans a $2,200 pay cut
Shopping, dining, housing and living in Illinois cost an extra $4,233 in 2022

CHICAGO (June 1, 2022) – Illinoisans are feeling the pain of the highest inflation rates in 40 years.

According to the Illinois Policy Institute, the average Illinois worker needed a pay raise of $5,360 to keep up with inflation costs on goods, services and living this past year. Instead, on average, workers only received a little more than $3,164 in raises. So, essentially the average Illinoisan took a $2,200 pay cut in 2022.

On an annual basis, the average Illinois worker will pay:

• $1,021 more for gasoline this year.
• $844 more for housing.
• $454 more for groceries.
• $264 more for utilities.

With other expenses, the total cost adds up to more than $4,233 this year compared to last year.

Illinois Policy Institute experts say record spending and widespread federal stimulus coupled with supply chain disruptions, pent-up demand from COVID-19, and large returns in the stock and housing markets created the current inflationary environment. This phenomenon may continue with prices increasing for longer.

“Workers can’t just stop their daily commute, buy less food for their family, or stop heating and cooling their homes,” said Bryce Hill, senior research analyst for the Illinois Policy Institute. “A large portion of these expenses are necessary, so high inflation means Illinoisans are stuck paying higher bills. Especially low-income families who spend a larger share of their incomes on these necessities than other Illinoisans. That leads to cutbacks in other recreational and leisure activities and reduced savings, which ultimately lower Illinoisans’ quality of life today and in the future.”

To read more about the increase in the cost of living, visit illin.is/inflation.

For bookings or interviews, contact Melanie Krakauer at media@illinoispolicy.org or 312-607-4977.