My best estimate for inflation on my own consumer goods basket this year is 21% rather than the official 3%. Product and service quality have dropped noticeably to maintain a price point. Personal incomes have dropped largely because government spending is crowding out private spending. For the first time, imported electronics like cameras are rising in price. Imported optic have been rising in price much faster, to the tune of 40-50% over the last year alone. Personally, I do not find my own lifestyle all that greatly affected, but people who had a tight budget last year are probably in trouble now.
Over the last seventy years, average annual inflation seems to hover around 5%. Late 1970s through 1980 inflation was relatively high, and we may be returning to that state now.