$4 Gas Closer Than You Think

Nov. 12, 2007 — -- Oil prices fell more than $1 a barrel in Asia today after reports the oil exporter group OPEC would discuss increasing its output at its upcoming meeting. After a run-up in oil prices last week, however, U.S. consumers are bracing for more soaring gas prices when the government releases its latest numbers this week.

Usually gas prices spike during the summer and decrease in the winter months. But this year, the national average for regular unleaded has charged ahead. It has reached $3.88 a gallon and an all-time record high could come by Thanksgiving, which is only weeks away.

"These very high gasoline prices are coming at exactly the wrong time for millions of American families," said Geoff Sundstorm, of AAA. "It's a budget buster and it will change their holiday spending patterns."

The nearly $4 price tag for a gallon of gasoline has heavily impacted consumers like Juan Martinez, who said filling up his minivan now costs a fortune.

"This month I'm tracking $538," he said. "I just can't believe it's gone from $260 to over $500 a month. It's doubled."

The increased price for fuel hasn't only affected his gas bill. It also has slithered its way into other aspects of the father of five's life, like groceries.

"I can't just pick up everything the kids want," Martinez said. "I have to cut back on certain things so it's affordable and in our budget."

Now the family vacations will be short hops, and even the holiday gift shopping will be scaled back.

"[They will] not get as many presents as they're accustomed to or would like," he said.

But the most unlikely impact of the increased fuel costs are on the family's relationship with God.

"Our church is approximately 35 to 40 miles away. We've really cut down on the amount of times we go to services since the price went up," Martinez said.

Across the country in places like San Mateo, Calif., the price of gas already is much more than $4. That can get pricey, as the average American family utilizes 100 gallons of gas a month.