UTAH (ABC4) – With President Biden signing the inflation reduction act into law, you might ask how does this affects me?
Mountain America Credit Union said it aims to cater to people on fixed incomes and those on Medicare.
But relief won’t be seen for a while.
“For Utahns, we’re likely not going to feel immediate impact for this a lot of the provisions in this bill won’t even kick in till the next year or two, even up to 2025,” said Jeremy Blair, Vice President of Finance Mountain America Credit Union.
For some, that’s not soon enough.
“Something needs to be done now,” said Utahn Laura Kelly-Gonzalez. “We can’t keep going. My kids can’t afford to buy a home, afford to live.”
There are things that will help your wallet — the bill incentivizes the use of clean energy.
“If you have a home that has a very inefficient, very old heating and cooling system that needs a new heat pump, they’re going to pay you back for what you paid for that,” said Blair.
But that means purchasing energy-efficient household items.
“When buying more, that’s stimulative which tends to kind of contribute to inflation,” explains Blair. “Now over the long run, we may see some benefit from that by reducing the need for energy in the system overall but in the short run, things are going to be a little bit rocky.”
The law will also help Utahns on Medicare with the cost of medication and lowers the cost of healthcare, especially for older Utahns.
“Any movement to try and help come to some type of reduction in pharmaceutical costs I think is welcome,” said Tanjie Northrup, Deputy Commissioner of the Utah Insurance Department.
For now, Utahns still feel the effects of inflation.
“It’s hard to go to the grocery store and see the prices and what used to cost me $55 to fill up my tank now costs me $72,” said Kelly-Gonzalez.
But Blair advised people to rely on their own budgeting before relying on the government.
“I would never encourage anybody to wait for lawmakers to take care of things like this for you,” said Blair. “We have to take action as a community. We have to take action as a consumer economy. The best way to do that is to look at our budgets and make sure we’re sticking to them.”
That means maybe not going out as often, eating at home, taking one less vacation or taking simple steps to stay within your budget.