At the close of 2020, when the economy shrunk due to the Covid-19 pandemic, inflation in India was deemed at an alarming 4.6 per cent. It went past the 5 per cent mark in February. We all know what this sentence means, don’t we? From a macroeconomic perspective, rising inflation and its impacts are well spoken about and understood. However, the way this situation affects each individual and their personal finances is quite different. This is where the concept of ‘personal inflation’ comes in.