According to a new projection from Moody’s, families will end up spending an additional $5,520 per year, or $460 per month in 2022 due to inflation reaching a record 40 year high.

That projection is up from March, when Bloomberg called it at $5,200, or $433 per month.

Moody’s Analytics senior economist Ryan Sweet said, “Having inflation at 8.5% on a year-ago basis, compared with the 2.1% average growth in 2018 and 2019, is costing the average household $346.67 per month to purchase the same basket of goods and services as they did last year. However, the pure cost for households for having inflation running at 8.5% is $460.42 per month.”

June’s BMO Real Financial Progress Index survey showed the additional costs are altering consumer behavior. According to the survey, 42% are now shopping for groceries differently, buying generic labels and avoiding anything that is not essential. 46% have either reduced dining out, or are spending less when dining out. 31% have reduced driving to save on gas. 23% have reduced vacation spending or have stopped taking vacations altogether. 22% are canceling subscriptions such as cable TV, fitness gyms, or online streaming services.

A large source of inflation is the soaring energy prices. Electricity is up  12% over a year ago, gasoline is up 48%, propane kerosene, and firewood are all up 28%, and piped gas service is up 30%.

Meanwhile food has increased as well, with apples up 6%, dried beans up 10%, peas up 10%, lentils are up 10%, and Potatoes are up 8%.