Connect with us

Personal Finance

With gas above $4, drivers across the U.S. say they’re cutting back

Published

on

Gas prices remain above $4 a gallon nationwide, and drivers across the U.S. say they’re already starting to change their spending habits, if they can.

Some say they have little choice but to keep paying more. “I have to spend—there’s no other way,” said Miranda Alcalá, a Queens resident who drives between boroughs for work.

U.S. gas prices have climbed by nearly $1 a gallon since the beginning of March to a national average of $4.14 as of Tuesday afternoon, according to the American Automobile Association. The increase comes as the war with Iran pushes oil prices higher and raises the risk of supply disruptions.

Around $4 a gallon is often where drivers start to change their behavior: About 59% of Americans say they would change their driving habits or lifestyle at that level, AAA reports. That share rises to roughly three-quarters if prices hit $5.

CNBC spoke with drivers at gas stations across the country who say they’re trying to cut back where they can — driving less, combining trips or trimming other spending — but many say their commutes and daily routines leave little room to avoid higher costs.

New York: ‘There’s no other way’

At a gas station in Brooklyn, regular gas cost about $3.89 per gallon with cash and $4.09 with credit on Thursday.

Alcalá, who works two restaurant jobs and drives between Queens, Brooklyn and Long Island, said she has seen her gas costs nearly double in recent weeks. “I used to pay like 20, 25 bucks for a full tank … now I pay 40, which is crazy,” she said.

The added cost is unavoidable because taking the train isn’t a practical alternative, she said.

Alcalá said rising costs are adding up across her budget, from gas to food. “Now I just cook at home because it’s less expensive,” she said, adding that she may cut back on going out with friends if gas prices keep rising.

At the same gas station, Barbara Skenderis, 53, a Queens mother, said driving isn’t optional. “I need gas. How else am I going to get around — take the train?” she said.

Skenderis said her days often involve long trips across the city, including taking her kids to baseball games and practices, and that she is filling up more frequently as a result.

At a BP station in Queens, regular gas was priced at $4.09 with cash and $4.19 with credit on Thursday. Deron Davis, a Brooklyn-based carpenter who drives daily and covers his own fuel costs, said the price caught him off guard as he pulled up to fill his tank.

The 42-year-old estimates he spends about $60 a week on gas and said prices at the Astoria station were far higher than what he typically pays in Brooklyn. Rather than filling up there, he put in just enough to get back to a cheaper station.

At current levels, Davis said, prices feel high: “Nobody wants to go over $4.”

Washington, D.C.: ‘I have to curtail what I would normally do’

A man looks at gas prices listed on a gas pump at an Exxon station on March 13, 2026 in Washington, DC.

Heather Diehl | Getty Images News | Getty Images

In Logan Circle, just north of downtown Washington, D.C., regular gas was listed at $4.09 a gallon as of Thursday, with premium at $4.79.

Tanner Harris, 31, an attorney who lives in Bethesda, Md., and commutes into the city several days a week, said rising gas prices are already affecting her budget, but her schedule leaves few alternatives.

“I can’t really do anything about the driving because I work late most days,” she said, adding that she’s “hesitant to rely on public transportation” for that reason.

For some, the changes are more discretionary. Zainab Kareem, 70, a retired Washington, D.C., resident who primarily drives for leisure, said she has already begun cutting back.

“I have to curtail what I would normally do in terms of driving different places, because the gas is really too expensive,” she said.

Corinne Candilis, 30, a Washington, D.C., resident who works for the government and drives every workday, said she is limiting driving outside of her commute and is more concerned about how higher fuel costs could affect the price of other goods.

She said she is not cutting back yet, but is preparing to adjust her spending. “I’m definitely looking at my budget to see where I’ll be able to make those cuts,” Candilis said.

Nashville: ‘Ridiculous prices’

At a Kroger Fuel Center about three miles from downtown Nashville, regular gas was priced at $3.89 per gallon on Thursday morning, April 2, after rising sharply in recent weeks, according to AAA.

“Ridiculous prices,” said Mary Sawyers, 63, a retired Nashville resident who helps care for children in her extended family.

NY Fed: Gas price growth expectations hit highest level since March 2022

Sawyers drives a family member’s SUV to shuttle three children between school, daycare and other activities. While she does not usually pay for gas herself, she said the cost would be difficult to absorb.

“If I had my own car right now, I think that I would have moved out of town,” she said.

The children’s mother, who relies on the car for work, has not cut back.

“It doesn’t affect her at all mentally,” Sawyers said of the children’s mother, who is more focused on getting to work and having her kids picked up.

Delaware and Maryland: ‘You have to absorb the cost somewhere’

In Middletown, Del., regular gas was priced at $3.89 per gallon at a Royal Farms station on Wednesday, April 1.

Rebecca Johnson, 66, who is semi-retired and works part-time in social services, said the rise in gas prices has been “a significant increase.”

“It’s affecting me, but not to the point where I have to cut back on medications or food,” Johnson said. “I just watch where I go now.”

Rather than taking the freeway and paying tolls, she now takes the back roads. “Instead of convenience, it takes me a minute or two more, but you have to absorb the cost somewhere,” Johnson said.

Some drivers say they are bracing for even higher prices as they absorb the current jump.

“It’s more money, but no matter what, you need gas so you’re going to pay for it,” said Kyle Fletcher, 34, at a Royal Farms in Cecilton, Md., where the price per gallon of regular gas was $3.99 last Wednesday.

“It’s not something I think about very often. I just pull up and put gas in the car, but of course I’d like to see [the price] come down.”

So far, he said, he hasn’t had to adjust his budget. “But if what they’re predicting for [gas prices] is right, I’m sure that’ll be coming soon,” said Fletcher, who works in construction.

About 10 miles away, at Molly’s Mart in Kennedyville, Md., the price for a gallon of regular gas was $4.19 per gallon.

Mark Garver, 62, said the higher cost “affects all the middle class, in a negative way.”

“They already eat us up on groceries, and now they eat us up on oil,” said Garver, who is an independent Medicare broker.

He said he has responded to the higher prices by driving less. “It’s making sure you take one trip instead of three trips,” he said.

Los Angeles: ‘It’s pretty crazy’ at nearly $7 a gallon

On Monday, at a Shell station in downtown Los Angeles, regular gas was priced at $6.99 per gallon with cash and $7.19 with credit or debit.

Emanuel Gonzalez, 28, a contractor who recently moved from Virginia and works on flooring, painting and drywall projects, said the price difference has been jarring.

“I’m used to $4.20, $4.30 [in Virginia]. So moving to the West Coast and dealing with $6.99, $7.09, I think it’s pretty crazy,” he said.

Gonzalez said his manager has asked workers to avoid filling up in high-cost areas like downtown Los Angeles or Koreatown. But with his tank nearly empty, he said he had little choice.

“I was told to go somewhere else, but when I’m stuck with no gas, I have no choice but to hit the local Shell in downtown LA,” he said. Even so, he added, he only put $10 worth of gas in his tank to make it to a cheaper station.

Rising fuel costs are also changing how jobs are scheduled. Gonzalez said his manager is pushing crews to complete work in a single visit to avoid return trips.

“My manager, he’s telling me, do not waste a lot of time as far as going to properties and having to come back or not finishing the work all the way through to come back, because gas is expensive, man. At that point, we’re just losing profit margins,” he said.

At a USA Gasoline station in the Lincoln Heights neighborhood, regular gas was priced at $5.79 per gallon.

Martín Diaz, 17, who recently graduated from high school and lives in the area, said higher prices have changed how he drives and spends.

“I used to go out and waste money a lot. Now I have to think about, ‘OK, do I really need this?'” he said. He said he is changing how he drives to further stretch each tank of gas.

“It just sucks,” he said. “I’m wondering, when is it gonna go down? I feel like everybody is.”

Choose CNBC as your preferred source on Google and never miss a moment from the most trusted name in business news.

Continue Reading

Personal Finance

Maximizing Returns in High Rate Climate and market uncertainty

Published

on

Maximizing Returns in High-Rate Climate

In the macroeconomic environment of late July 2026, personal cash management requires an active, structured approach to wealth preservation. With central bank benchmark rates remaining elevated to ensure long-term disinflation, conservative yield-bearing vehicles—such as short-term U.S. Treasury bills, money market funds, and high-yield savings accounts (HYSAs)—continue to offer reliable nominal returns between 4% and 5%. For individual investors, maximizing net returns requires moving beyond passive checking accounts and executing a disciplined cash laddering strategy.

Leaving substantial liquid capital in traditional bank deposits creates an invisible drag on personal net worth due to ongoing inflation. By implementing a tiered liquidity framework, individuals can split emergency cash reserves and short-term capital allocations across rolling maturities. Allocating cash into 4-week, 8-week, and 13-week Treasury bills creates a continuous cycle of maturing liquidity, allowing investors to continuously reinvest capital at prevailing market yields while maintaining immediate access to emergency funds.

Tax efficiency represents a critical dimension of high-yield cash optimization. For high-earning individuals residing in states with substantial local income taxes, direct holdings in short-term U.S. Treasury instruments often deliver superior net post-tax yields compared to standard commercial bank HYSAs. Because interest earned on federal Treasury bills is strictly exempt from state and local taxation, investors can retain a larger portion of their compounding interest gains without taking on additional credit or market risk.

Ultimately, personal wealth accumulation in mid-2026 relies on intentional capital deployment. Cash should be managed as a productive asset class that generates consistent, risk-free returns. Regularly auditing account yield terms, automating recurring transfers, and leveraging tax-advantaged fixed-income instruments ensures that personal liquidity remains fully optimized against macroeconomic fluctuations.

Continue Reading

Personal Finance

Algorithmic Wealth Management: Balancing Automated Financial Planning with Human Oversight

Published

on

Balancing Automated Financial Planning with Human Oversight

The personal finance industry in July 2026 is experiencing a technological evolution, driven by the wide deployment of next-generation algorithmic wealth management tools. Modern digital financial platforms have expanded far beyond basic automated index investing; today’s robo-advisors utilize real-time tax-loss harvesting, dynamic portfolio rebalancing, and hyper-personalized spending analysis to optimize retail investor outcomes. However, as these digital solutions become ubiquitous, investors face the crucial challenge of balancing automated execution with human strategic judgment.

The core advantage of automated financial planning platforms lies in their ability to remove emotional bias from investment execution. During periods of market volatility or localized sector realignments, automated algorithms systematically rebalance portfolios back to target asset allocations without falling victim to panic selling or speculative enthusiasm. Furthermore, integrated cash-flow monitoring algorithms analyze individual spending patterns in real time, automatically sweeping surplus income into designated retirement or debt-liquidation accounts to accelerate net worth accumulation.

Despite these operational advantages, algorithmic tools have inherent structural limitations when addressing complex, highly personalized financial life events. Decisions involving multi-generational estate planning, highly complex tax strategies, small business exits, or nuanced real estate transactions require contextual human judgment that software models cannot replicate. Relying solely on automated models without periodic human professional review can result in misaligned risk profiles or overlooked tax liabilities during major life transitions.

The optimal approach for personal financial planning in late 2026 is a hybrid advisory model. Individuals should utilize automated platforms for routine asset allocation, continuous tax optimization, and low-cost passive index tracking, while engaging qualified human financial advisors for periodic strategic planning, estate structuring, and qualitative risk evaluations. This dual approach ensures maximum cost efficiency and disciplined execution while retaining essential strategic guidance.

Continue Reading

Personal Finance

High-Yield Optimization: Structuring Personal Cash Reserves in a Sustained Rate Environment

Published

on

Structuring Personal Cash Reserves in a Sustained Rate Environment

In the financial environment of mid-2026, personal cash management has re-emerged as a vital component of holistic wealth building. With central bank policy rates holding firm to maintain long-term price stability, yield-bearing instruments such as money market funds, high-yield savings accounts (HYSAs), and short-term Treasury bills continue to offer compounding returns around 4% to 5%. For individual investors, effectively structuring cash reserves requires shifting away from passive bank deposits toward active yield optimization.

A frequent pitfall in personal asset management is leaving substantial liquid capital in traditional checking or low-yield savings accounts, where real returns are continuously eroded by baseline inflation. By implementing a disciplined ‘cash ladder’ strategy—allocating liquid funds across tiered maturities using ultra-short Treasury instruments and FDIC-insured high-yield accounts—individuals can secure maximal yields while retaining immediate liquidity for emergency expenses or tactical investment opportunities.

Simultaneously, investors must evaluate the tax efficiency of their cash holdings based on their tax bracket and geographic location. For high earners situated in states with high local income taxes, direct holdings in short-term U.S. Treasury bills often yield a higher net post-tax return than standard high-yield savings accounts, as Treasury interest is strictly exempt from state and local taxation. Understanding these nuanced tax distinctions allows individuals to capture significant incremental gains without taking on additional market risk.

Ultimately, personal financial health in late 2026 hinges on intentional liquidity management. Cash reserves should not be viewed merely as static emergency funds, but as a dynamic asset class that contributes positively to net worth growth. Regularly auditing yield terms, automating cash transfers, and optimizing for post-tax efficiency ensures that personal capital remains fully productive across all economic conditions.

Continue Reading

Trending