Fast-Food Prices Are Higher Than Ever, Even Outpacing Inflation

Fast food has a reputation for being convenient and cheap. However, fast-food menu prices have been accelerating dramatically in recent years, even outpacing the national rate of inflation.

Over the past 10 years, the average price of goods rose 31%. An item with a $100 price tag in 2014 costs $131 today. Yet, it seems fast-food prices have escalated beyond average.

According to data gathered by FinanceBuzz, several fast-food restaurants increased prices by at least 60% in the last decade. McDonald’s and Taco Bell are among the worst offenders, both increasing prices by more than 100% on several popular menu items. Other fast-food eateries, like Burger King and Subway, boosted prices, yet seemingly managed costs better.

Earlier this year, rising fast-food prices sparked nationwide concern. Most of the increases were blamed on mounting operational expenses, specifically the cost of labor after many areas raised the minimum wage rate.

Fast-Food Price Inflation

FinanceBuzz’s information suggests that a McDonald’s customer could buy the Quarter Pounder with Cheese meal for $5.39 in 2014. However, today, many Golden Arches locations list the same meal for $11.99, up 122%. A simple McChicken sandwich costs around $3 right now but was only $1 about 10 years ago.

Meanwhile, rival Burger King also raised prices, but not nearly to the same degree. Burger King’s Whopper meal was listed for $9.99, which is only 73% more than 2014’s $5.79. The smallest increase was the kids meal, going from $3.59 to $4.29, a 19% climb.

Popular Mexican fast-food giant, Taco Bell, also raised prices much faster than general inflation. In 2014, the Cheesy Gordita Crunch was $2.49. Today, the same item costs $4.99, double the price. With an increase of 132%, the Beefy 5-Layer Burrito went from $1.59 to $3.69 in the same period.

Subway’s 6-inch Black Forest Ham increased 50% in 10 years, rising from $3.50 to $5.25. The Footlong BMT sells for about $8.25 now but was only $6 in 2014.

“When Americans think of inflation, they often only consider higher prices in general,” Alex Beene, a financial literacy instructor for the University of Tennessee at Martin, told Newsweek. “They don’t always factor the percentage of price increases to the menu items they purchase over time.”