McDonalds price freeze to end in June

[brandonb]

My roommate is friends with a corporate director for McDonalds. He says McDonalds currently has a price freeze on their products which is going to expire in June. He expects the prices will jump to nearly $6 for a meal deal (From the average of $4.50 in my area), even though he doesn't have any concrete numbers at this point.

I remember in 1994 when I was a senior in High School, meal deals costs $2.99.

I've already quit eating Arby's due the price.

Since the fast food industry is highly competitive and being dependant on agriculture industry, as well as minimium wage, I find this market to be a real indicator of inflation.

All I know its time to pull out my cash in my 401k. Its growing at 1.65% (yearly rate) but its going to be completely worthless in 10 years at this rate. I might as well use what I can from it now.

 

[imported_Imp]

Wow, didn't know they were frozen in the first place. If it starts costing the same as healthier stuff, goodbye.

 

[lozina]

Originally posted by: brandonb

Since the fast food industry is highly competitive and being dependant on agriculture industry, as well as minimium wage, I find this market to be a real indicator of inflation.

You missed the biggest factor: fuel costs. Transporting all those cheap foods around constantly with big trucks after oil tripled in price in the last decade is no easy matter.

But yeah, it's inflation. And don't believe the government posted numbers for inflation that's all hogwash. They dont factor in energy costs, housing and food. lol

 

[Jaskalas]

Originally posted by: brandonb
My roommate is friends with a corporate director for McDonalds. He says McDonalds currently has a price freeze on their products which is going to expire in June. He expects the prices will jump to nearly $6 for a meal deal (From the average of $4.50 in my area), even though he doesn't have any concrete numbers at this point.

I remember in 1994 when I was a senior in High School, meal deals costs $2.99.

I've already quit eating Arby's due the price.

Since the fast food industry is highly competitive and being dependant on agriculture industry, as well as minimium wage, I find this market to be a real indicator of inflation.

All I know its time to pull out my cash in my 401k. Its growing at 1.65% (yearly rate) but its going to be completely worthless in 10 years at this rate. I might as well use what I can from it now.

They're really just keeping up with inflation. As always though, wages will not follow suit.

 

[Engineer]

Originally posted by: Jaskalas


They're really just keeping up with inflation. As always though, wages will not follow suit.

For 99% of the population, no. Top 1%...absolutely (statistically 100% true for the last 6 years after adjusting for inflation).

 

[bamacre]

Originally posted by: Engineer

Originally posted by: Jaskalas


They're really just keeping up with inflation. As always though, wages will not follow suit.

For 99% of the population, no. Top 1%...absolutely (statistically 100% true for the last 6 years after adjusting for inflation).

And yet none of the candidates talk about this.

 

[fleshconsumed]

Originally posted by: brandonb
All I know its time to pull out my cash in my 401k. Its growing at 1.65% (yearly rate) but its going to be completely worthless in 10 years at this rate. I might as well use what I can from it now.

That's why you should put optimal amount in your 401K to maximize company match if any. Say if you company matched 50% up to 6% then you should put 6% of your salary into 401K.

Of course if your company does not match, then you have no reason to contribute to 401K at all (unless you have no will at all and would spend them otherwise).

 

[maddogchen]

Originally posted by: brandonb
All I know its time to pull out my cash in my 401k. Its growing at 1.65% (yearly rate) but its going to be completely worthless in 10 years at this rate. I might as well use what I can from it now.

1.65% is very low especially since the markets have done well the last few years. either you have a 401k with high fees, poor fund options, or didn't invest properly. Try TIPS?


edit: inflation is bound to go up as the Fed cuts rates. What would be a bigger worry for you is not inflation but the economy as a whole and whether your job is secure the next few years.

 

[brandonb]

Originally posted by: fleshconsumed

Of course if your company does not match, then you have no reason to contribute to 401K at all (unless you have no will at all and would spend them otherwise).

Right. A savings account with a credit union at 5% is better for me than the 401k. Which is why I need to withdrawl it and open an acct. My company does not match.

 

[brandonb]

Originally posted by: maddogchen

1.65% is very low especially since the markets have done well the last few years. either you have a 401k with high fees, poor fund options, or didn't invest properly. Try TIPS?

It's just not going up. I have The Hartford and its been doing absolutely horrible. Before I had Putnam (before my employer changed companies on me) and that was actually doing fairly well. With Putnam, I picked all the funds, options, etc. When the company changed over to Hardford, I didn't have options for jack crap, the company just moved it without my knowledge or giving me any information/option to change or stay with Putnam. All my statements say the money is all tied up in "Stable Val/Money Mkt 100%".

I guess this is partly my problem for allowing my employer to have any sort of control over anything I am supposed to "own"...

 

[FoBoT]

Originally posted by: brandonb
All I know its time to pull out my cash in my 401k. Its growing at 1.65% (yearly rate) but its going to be completely worthless in 10 years at this rate. I might as well use what I can from it now.

that is dumb, just reallocate your investments, if you are getting 1.65% you don't have your money in the right places. spending it won't give you a better return

 

[FoBoT]

Originally posted by: brandonb
"Stable Val/Money Mkt 100%".

ah, there you go, 1.65% is ok for a money market fund

but having all assets of a 401(k) in a money market fund is moronic, check with your benefits dept and make sure you don't have other options, that is almost too stupid to be possible that your only option is a money market fund

 

[CPA]

1.65%? What were you invested in? 100% bonds?

 

[Arkaign]

Originally posted by: FoBoT

Originally posted by: brandonb
All I know its time to pull out my cash in my 401k. Its growing at 1.65% (yearly rate) but its going to be completely worthless in 10 years at this rate. I might as well use what I can from it now.

that is dumb, just reallocate your investments, if you are getting 1.65% you don't have your money in the right places. spending it won't give you a better return

Well .. harsh but true. If you're worried about volatility, put it in gold. Look at the history of gold, it spikes sometimes, but never really crashes. And over the decades it holds up well with the world's currencies.

http://www.gold-investment.inf...ory_of_gold_prices.htm

 

[Skitzer]

Originally posted by: brandonb
My roommate is friends with a corporate director for McDonalds. He says McDonalds currently has a price freeze on their products which is going to expire in June. He expects the prices will jump to nearly $6 for a meal deal (From the average of $4.50 in my area), even though he doesn't have any concrete numbers at this point.

I remember in 1994 when I was a senior in High School, meal deals costs $2.99.

I've already quit eating Arby's due the price.

Since the fast food industry is highly competitive and being dependant on agriculture industry, as well as minimium wage, I find this market to be a real indicator of inflation.

All I know its time to pull out my cash in my 401k. Its growing at 1.65% (yearly rate) but its going to be completely worthless in 10 years at this rate. I might as well use what I can from it now.

Pull all your money out of your 401K and invest in McDonalds stock?

 

[alchemize]

You are fretting about the price of McDonalds yet have no clue about the value of a 401(k). Time to edumacate yourself. Pulling your money out of the 401(k) means you will also take a large penalty.

 

[Nitemare]

So are they going to increase the tastiness of the food to match?

 

[bamacre]

Originally posted by: alchemize
You are fretting about the price of McDonalds yet have no clue about the value of a 401(k). Time to edumacate yourself. Pulling your money out of the 401(k) means you will also take a large penalty.

Yup, having your money in cash means you lose, thanks to the enormous inflation tax.

 

[brandonb]

Originally posted by: alchemize
You are fretting about the price of McDonalds yet have no clue about the value of a 401(k). Time to edumacate yourself. Pulling your money out of the 401(k) means you will also take a large penalty.

I have educumated myself. I know prices are going up, be it McDonalds, Grocery Store, Gas, Bills, Taxes, whatever, and my dollar is becoming more worthless. My wage is not increasing at a greater rate than inflation. So me, as a middle income tax payer, is feeling the double edged sword from both sides.

I am willing to take that penalty. Atleast I will have something to show for it now, rather than losing it all when I retire. To be honest, its my opinion that in 40 years I doubt there will be much of a country left, and I'm guessing some Banker will be long gone with my money by then.

Thats edumucation!

 

[Kadarin]

Originally posted by: brandonb
I remember in 1994 when I was a senior in High School, meal deals costs $2.99.

That was probably about the last time I'd actually eaten at a McDonalds...

 

[ahurtt]

Who cares? Who wants to eat that nasty shit anyway?

 

[alchemize]

Originally posted by: brandonb

Originally posted by: alchemize
You are fretting about the price of McDonalds yet have no clue about the value of a 401(k). Time to edumacate yourself. Pulling your money out of the 401(k) means you will also take a large penalty.

I have educumated myself. I know prices are going up, be it McDonalds, Grocery Store, Gas, Bills, Taxes, whatever, and my dollar is becoming more worthless. My wage is not increasing at a greater rate than inflation. So me, as a middle income tax payer, is feeling the double edged sword from both sides.

I am willing to take that penalty. Atleast I will have something to show for it now, rather than losing it all when I retire. To be honest, its my opinion that in 40 years I doubt there will be much of a country left, and I'm guessing some Banker will be long gone with my money by then.

Thats edumucation!

Why, pray tell, will you "lose it all when you retire". Do you have a crystal ball that nobody else has? Oh, there won't be much of a country left in 40 years...well, in that case, I suggest you setup an "anti-US" retirement account. You'll be filthy rich in your currency of choice in 40 years.

 

[babylon5]

I don't think US will disappear or completely blown in 40 years of your time frame. Empire of past, from Spain to British are still here, county-wise. People live there, they got decent living. US will probably be like those former colonial power. But some other countries will be #1, not USA.

 

[compuwiz1]

Since I don't eat there except about 3 times per year, I don't care.

 

[Farang]

It's already too expensive, I don't know why I ever spend $5 for a meal there when a 2-serving meal from the local Chinese joint costs $10. Arby's prices are ridiculous, always have been and that's why I never eat there.