Purchasing power and household income suffers greatly due to inflation, particularly in economically disadvantaged semi-urban areas such as Satna. This paper studies the link between inflation, consumer behavior, financial stability, and economic resilience within Satna households. It studies the interplay between increasing price levels, changing patterns of consumption, and incorporating the latter into a longer economic time horizon. The study synthesizes the global and national literature on the causes and consequences of inflation with specific emphasis on the impact on low and middle-income groups. The data illustrates that inflation systematically reduces the real income, allocates the expenditure toward necessity-based goods only and diminishes the amount allocated for discretionary and luxury goods. Regression analysis establishes the relationship of change in household consumption due to the change in the subjective perception of inflation, thus, revealing the hardships of the financially constrained households. Furthermore, the results explain some other lessons which can be drawn from inflation such as the relationship between income distribution and expenditures on social security and the organization of financial systems. The research notes that the vulnerability of poor families in Satna was aggravated by exclusive credit and social security measures, which amplified the negative impact of inflation on those families. By investigating consumer beliefs, spending changes, and inflation on particular areas of goods and services, this study for the authorities offers opportunities to implement policy options. In this context, this paper demonstrates how inflation is not only a factor in the decrease of purchasing power but also a factor that influences the development of consumption structures within Ukrainian households, which makes it necessary to formulate policies that may cut down inflationary trends in the economy within similar socio-economic situations.