While the government says inflation is receding (2.7% in the latest report), I’m not feeling it in my pocketbook. Nothing I spend money on—utilities, clothing, travel, subscriptions, and especially, food—seems to be getting any less expensive.
And food is a big part of consumers’ monthly outlay (12.8% of income), following transportation (16.8%) and housing (33.3%), according to the U.S. Bureau of Labor Statistics (BLS).
In fact, the BLS reports that the cost of food at home is up 1.6% and the cost of eating out has risen 3.6% in the past year.
The following chart shows just how much the price of food has risen since 1950.
This website gives you graphic comparisons of major food categories, as well as utilities, gas, and electricity.
You’ll notice that eggs and meat have seen the largest price hikes.
I don’t know about you, but in my neighborhood, the prices I’m seeing have jumped far higher than those numbers.
For instance, I was going to buy a box of cereal the other day. I only eat cereal once every couple of months or so, so I was looking for a small box of Honey Nut Cheerios. Well, I didn’t buy any because: 1) I couldn’t find a small box, and I knew I couldn’t finish off a 15.5-ounce box before it went bad, and 2) No way am I going to pay $6.99 for a box of cereal!
Another case in point; I took some of my real estate agents out for a holiday lunch last week. The cost for five people at an okay restaurant was $211. Now, understand that this is in a very small rural town, and last year, the same luncheon was 30% less! Oh, and no alcohol was purchased!
And lastly, I did not buy a one-pound package of ground chuck that was on sale—for $5.99, which I think is highway robbery—thank goodness I’m not a big meat eater!
That’s my local story; I don’t know where the government is surveying, but it’s sure not in my neck of the woods!
Where to Shop for the Best Food Bargains
As the chart below depicts, two decades ago, our grocery store choices were somewhat limited—mostly local and regional stores and some of the bigger chains if you lived near a large city or metro area.
Drug stores sold pharmacy items, not food. There was no Dollar Tree or Dollar General in Dayton, Ohio, where I mostly grew up. And while Walmart had grown to at least one store in every state by the early 1990s, the big box stores—Costco, Sam’s and BJ’s—and the specialty retailers—Amazon, Aldi, Trader Joe’s, and Whole Foods were names of the future back then.
Today, our choices are numerous.
And as you can see from the chart below, Walmart, the big box and specialty stores have all cut into the traditional territories once owned by the pure-play grocers.
So, the question is, where can we get the best deals on food?
Every year, someone does a comparison shop at various stores, and each time, the results are different. I recently spotted the following research for stores in Chicago and Phoenix, comparing prices for twenty-six popular products (milk, eggs, chicken, etc.) at each store.
Phoenix grocery stores used for data: Aldi, Trader Joe’s, Whole Foods, Albertsons, and Frys (Kroger)
Chicago grocery stores used for data: Aldi, Trader Joe’s, Whole Foods, Jewel-Osco (Albertsons), and Mariano’s (Kroger)
Here is the comparison of a few items:
The study’s conclusion: “Aldi is BY FAR the cheapest place to buy all of your groceries. They don’t offer as many organic products, so if you prefer organic, you’ll have to head over to Trader Joe’s or Whole Foods. Contrary to popular belief, Trader Joe’s and Whole Foods are really affordable. In fact, it’s cheaper to shop at Trader Joe’s or Whole Foods than it is to shop at Kroger or Albertsons. While you can’t pick up Oreos, Pizza Rolls, and other junk food big brand items, you can grab all your dairy, meat, and produce for a fraction of the price you’d find at Kroger or Albertsons.”
Hmm. I found that interesting. I agree that Aldi’s is less expensive on a host of products in my area of the country, especially produce. But since I don’t buy a lot of organic foods, I can’t attest to Whole Foods and Trader Joe’s being more affordable in that category. However, I have found on non-organic items that both Whole Foods and Trader Joe’s are more expensive than the regular grocery stores. Here, in Tennessee, my best deals are at Kroger and Food City. I love Publix but mostly buy meat there, as they tend to be more expensive than the others.
I frequent Walmart about once a month for staples like flour and canned veggies, because they are often 20%-30% cheaper than the big grocers. And Costco is my go-to for household items like detergent, dog treats, and cleaning products.
Use a Grocery Comparison App for Targeted Savings
I love to shop for groceries and don’t mind going to several stores to find the best prices—when I have the time. However, time is money, as they say, so perhaps the best way to make sure that you are getting the most for your money is to try one of the shopping comparison apps that you can download to your smartphone.
I found a few that look interesting:
These apps are FREE to download, but some of them also offer premium add-ons.
Plan to Eat at Home More Often
I love to cook, and I’m a pretty good cook. In fact, I actually write the food column for a local paper.
And since I’m a decent chef, I’m pretty picky about the food that I eat at a restaurant. Frankly, it just ticks me off to pay a lot of money for a mediocre meal and/or so-so service.
But many people prefer to eat out, for numerous reasons. A recent study by Public Health Nutrition reported that “8% of Americans reported never cooking dinner, 43% sometimes cooking dinner and 49% always cooking dinner at home.”
COVID-19 changed that for a while, as restaurant closings and fear of the pandemic kept people at home. The U.S. Department of Agriculture’s Economic Research Service says that food at home (FAH) spending in 2020 “reached its highest level since 1997 at 51.70% of total food expenditure, while food away from home (FAFH) was at an all-time low of 48.30%.”
Since then, eating at home has pulled back. FAH spending in 2023 reached an all-time low of 44.30%, while FAFH was at an all-time high of 55.70%.
The USDA also concluded that the amount Americans are spending on FAFH is also accelerating faster than FAH spending, increasing by 3.37%.
That makes sense as the average restaurant meal can cost $15-$20 per person, while a home-cooked meal can be made for around $4-$6 per person. I don’t have to tell you that frequently eating out can really put a dent in your disposable income.
And money aside, consider the nutritional value of eating at home. When I cook, I know exactly what is going into my food. In a restaurant, I really have no idea. The menu may list the major components of the meal, but have you ever seen one that told you how much butter, sodium, or sugar made it taste so good?
Just take a look at the following chart if you want to get real about what you are actually putting into your body. Honestly, did you know that a Cobb Salad could have 1,901 MG of sodium? We’re supposed to take in a maximum of 2,300 MG daily, so that salad accounts for 82.7% of the daily suggestion!!!
For those of you who are afraid of cooking, don’t be! Start small by cooking something simple that you like to eat. With the internet—especially YouTube—and television cooking shows, you can find out just about anything you want to know about cooking. You will be amazed by how much better (and healthier) your food will be.
And best of all, if you just began eating one less meal out per week (and then gradually build that up), you can: 1) Save a lot of money to use for something else (like vacations, retirement, or education), and 2) Live healthier.
Should You Buy Private-Label Food?
When I first started my career as a securities analyst, I visited two to three companies a month to decide if they were a good fit for my investment newsletter. During those years, I visited a host of food companies—several that manufactured private-label and branded foods.
To my surprise—in many cases—the private-label and the brand-name foods came down the same assembly line and had the exact same ingredients. Sure, in some instances, the vegetables in the brand-name tomatoes or green bean cans may be the “pick of the litter,” but, essentially, they contained the same stuff. I’ve since learned that more than 50% of U.S. manufacturers of branded consumer packaged goods make private-label goods as well.
Private-label (also called store brands) goods are products made exclusively for a specific retailer and marketed under their own brand name. For instance, Walmart has the Great Value brand; Food City has Food Club, and Kroger has Simple Truth.
During my childhood, there weren’t as many private-label goods, and my mom used mostly brand names, so I sort of had a bias against private label as an adult. Until…I saw those food lines. After that, realizing that I could save 20%-40% by purchasing private-label store brands, I said, “Count me in!”
And statistics show that I am not alone. According to research firm Circana, during the first half of 2023, “private label dollar sales experienced an impressive 8.2% surge, soaring to an astounding $108 billion,” while national brands declined by 3.4%.
A recent survey from NIQ reports that “53% of retailers expect private label to be their number one growth driver in 2024.”
Private-label foods have been adopted by consumers much more quickly in Europe than they have in the U.S., but that is changing.
Source: https://nielseniq.com/
With inflation still rattling pocketbooks, consumers are searching for more avenues to save money, as you can see in the following chart, and private label is one of their primary targets. (By the way, the title of the chart should say CPG (consumer packaged goods), not CGP!)
Source: https://nielseniq.com/
And one reason for the push to offer more private-label goods is that the stores earn a greater profit margin on them—about 25%-30% higher gross margins than from brand names. Consequently, it’s a win-win scenario—for consumers and grocers.
If you haven’t yet tried private label, check it out. I still prefer my Heinz ketchup and haven’t cared for the off-brand chips I bought at Aldi, but I’m a fan of private-label veggies, tomato sauces, and beans. I think of it as an adventure that may result in more money for my vacation and/or retirement accounts!
Save by Substituting Ingredients
I’m a great fan of substituting ingredients for several reasons: 1) I may not have the exact ingredient called for in the recipe; 2) I want to try something different; or 3) The required ingredient is too expensive—especially if it’s a convenience food.
Listen, I routinely make my own sour cream, buttermilk, cake icing, and whipped cream. And I don’t think twice about baking bread, cookies, or biscuits. One, because mine are better than the store bought (no modesty intended!); two, they cost less to make; and three, I know exactly what ingredients they contain.
But did you know that you can also substitute lower-priced meat for the more expensive cuts?
First of all, it’s good to know the different meat gradings. Here are the categories for beef:
Prime Beef is the highest grade in the U.S. Prime beef with abundant marbling contains about 8%-13% fat and comes from young cattle. Prime beef accounts for less than 2 percent of meat sold in the U.S.
Choice Beef is more common and contains about 4%-10% fat and comes from young cattle. Angus is the most popular Choice beef in the U.S.
Select Beef is 2%-4% fat and leaner than higher grades and includes slight marbling.
But unless you are entertaining your wealthiest of friends, believe me, they usually won’t know the difference if you buy more affordable beef.
And you can also substitute a different kind of meat. Here are some ideas:
Roast a Whole Chicken Instead of Parts. You can buy a whole chicken at Kroger for about $8, a rotisserie chicken for $9, or three boneless, skinless chicken breasts for $8, and five drumsticks for $5.
But…with that whole chicken, you can make a lot of stuff—bone broth, several casseroles (such as my zesty chicken, Rotel, and rice recipe, shown at the end of this article), wings, drumsticks, and so on.
Same with turkey. I bought a turkey, on sale after Thanksgiving. I really don’t care for a turkey breast (which is also more expensive), even though I just like the white meat. But the white meat is enhanced by the flavor of the dark meat when you cook the whole turkey, and after I eat the initial meal, (stuffed, of course!) I can use the rest of the turkey for:
- Sandwiches
- Pot Pie
- Stock/Bouillon
- Coq Au Vin
- …and many more dishes
Swap Chicken Drumsticks for Chicken Breasts for a quick meal; your pocketbook will thank you as drumsticks are typically less expensive than breasts.
Swap Chicken Thighs for Chicken Breasts. If you are looking for flavor—especially in French dishes like a cassoulet or soup—opt for chicken thighs. Just like with turkey, the dark meat lends an extra dose of seasoning—and it’s cheaper!
Swap Ground Turkey for Ground Beef or Bison. I have to tell you; this is one of my favorite swaps, as I love turkey! However, I will often do a half and half—half turkey and half ground beef. If you use turkey only, you will probably need to add a bit more seasoning to your dish.
Swap Pork Chops for Lamb Chops or Steak. Now, I don’t much care for pork chops, lamb chops, or steak. But if you do, you can often find amazing pork chop deals! Kroger is currently offering Kroger Bone-In Pork Loin Center Cut Chops for $5.49/lb., compared to $12.99/lb. for lamb chops. And a good filet is $15.99/lb.
Swap Chuck Roast or a Bottom Round Roast for Short Ribs. Nope; I’m not a short rib fan either, but I do occasionally like a chuck or bottom round roast (especially cooked in my crock pot—recipe below). Short ribs are about $10/lb. at Kroger, while chuck roast is $9/lb. and a bottom round roast is $8.49/lb. I usually buy this on sale for a lot less, and then just freeze it until I’m ready to cook it. I like to use the leftovers for sandwiches, fajitas, and beef stew.
Swap Cod for Salmon. An 8 oz. cod filet is $5 at Kroger, while the l lb. salmon filet is $10.99. Now, if you are a salmon fan like my friend Marge (who orders it almost every time we eat out and makes it at home a couple of times a week), you probably won’t do this. But it never hurts to try, right?
Swap Beans for Meat. This one is great if you are a chili or Mexican food fan. You don’t really need the meat as the beans are so hearty, and a once-in-a-while swap may be very tasty—and healthy—for you!
Make Your Favorite Copycat Recipes at Home
Every winter, I make a variety of soups. And as I really like Cheddar’s potato soup and Olive Garden’s Pasta Fagioli, I set out a few years ago to try to reproduce them. After many tries, I think I now come pretty close.
I also like Starbucks’ Mocha Frappuccinos. I don’t really like coffee, but these drinks taste more like a milkshake. As much as they are my go-to dessert, I don’t like paying $6 for a sweet treat. So—after a lot of experiments—I found a mocha powder from Amazon, added some milk, espresso, chocolate syrup, and crushed ice, and voila—a Frappuccino! My version costs about $1.10.
But in our world—where you can learn almost everything on the internet—I’ve found an easier route than try and try again. And that is using copycat recipes that others have worked on and worked out.
By making these at home, you will undoubtedly save money (and need I say, eat healthier).
Here a few sites that I like:
Delish. One particular dish that caught my eye was Cracker Barrel’s hashbrown casserole—yum!
Copykat.com. This site allows you to browse by restaurant name and dish.
AllRecipes. (one of my favorites)! Even if you aren’t looking for copycat recipes, you’ll find plenty of other food ideas on this site. I have subscribed to their magazines for years.
Top Secret Recipes. This site offers a nice variety of copycat recipes, as well as a Secret Recipe Club.
Simply Recipes. This site has a limited number of copycat recipes, but you may very well find a favorite here.
Loyalty Programs—Worth It or Not?
If you ever looked at my loyalty card keychain and the number of loyalty programs on my phone, you would realize that I am indeed a foodie!
But I do find them an aggravation, even at the best of times. I can’t always easily find the card I’m looking for and I can never get my Kroger app to work right. Usually, the cashiers just give up on me and let me have the discount anyway.
But loyalty programs are a great way to find discounts on food. And they are so popular that Lending Tree reports that some 80% of Americans are members of at least one loyalty program.
The stores love them, as they increase revenues. A McKinsey study found that “customers who are members of a loyalty program are 59% more likely to choose a brand over a competitor and 43% more likely to buy weekly.”
Forbes recently published an article called, “8 Grocery Chain Rewards Programs with the Best Perks.” Here is a summary:
Albertsons for U is a points-based program (free), which you can redeem for freebies or gas discounts.
Kroger Plus and Kroger Boost. Kroger Plus is free and is available at the company’s Kroger, Ralph’s, Fred Meyer, and other stores. It offers discounts, coupons, and fuel points. Kroger Boost is the paid program ($12.99/month) and gives you double fuel points, free grocery delivery, and extra discounts.
Walmart+ doesn’t come free; the cost is $12.95 per month and supposedly can save you $1,300 per year. It includes unlimited free deliveries on orders (with a $35 minimum), a subscription to Paramount+ streaming service, free shipping on all online purchases (no minimum), gas discounts, free returns from home, and access to special offers.
Sprouts Farmers Market has a free loyalty program that includes exclusive deals, the ability to create your grocery list on its app, schedule curbside pickup or delivery windows, and clip digital coupons from your phone.
Target Circle is also free and offers 1% back on all purchases, discounts of 50% on some products, and many discounted products also allow manufacturers’ coupons to be used for added savings.
Club Publix is free and includes digital coupons, a birthday treat, and weekly offers customized for you. You can also create shopping lists, pay with the app at checkout, save e-receipts to your account, and access deals in your digital wallet.
Costco is a paid membership, around $60 annually for a regular membership. You don’t get any coupons, but if you time it right, you can browse the aisles for free food samples! Or be a big spender and get a hot dog and a Pepsi for $1.50.
An Executive Membership costs $120 per year, but it comes with a 2% reward on qualifying purchases. Experts say you’d need to spend about $6,000 per year to make this valuable. I’ve found that it pays to know your prices, as not everything at Costco is cheaper than at a grocery or department store. But for the things I buy—paper goods, detergents, dog treats, wines, and seasonal specialty items—it’s worth the cost of my membership.
Coupons—To Clip or Not?
I used to be an avid couponer. But it took a lot of time, and I found myself buying stuff I didn’t really need, just because I had a coupon.
However, there are people who are rabid about it, including a couple of my good friends, who swear by their savings.
And while there are still paper coupons (Publix sends them in their flyer weekly), most stores now offer digital coupons.
Here are some pros and cons of couponing:
Pros:
Price savings, especially if you can double up—store and manufacturer’s coupons.
Save on bulk items you may need. For example, I do a lot of baking and candy-making at Christmas (I just made 300 pieces of candy to distribute to clients and friends)! So, when I can, I try to buy chocolate chips, flour, sugar, powdered and brown sugar, etc. when I can find a discount or have a coupon.
Try something new. You may see a coupon for an item that you’ve never used before. Having a coupon makes it less painful to try something new (that you may or may not like).
May prevent you from buying impulse items. If your shopping list consists of coupon-only items, it may help you stay on budget.
Cons:
You buy things you don’t need, just because you have a coupon.
You may run out of pantry space because you are buying too much.
The coupon doesn’t mean the price is a great deal. You’ll need to know your prices, especially if you are buying brand names. Instead, you may want to check the price of the private-label brand.
You won’t find many coupons for healthy foods. Most coupons are for processed foods—boxed goods that most likely contain lots of sodium and other chemicals that you don’t need, especially if you have dietary limitations.
Don’t Forget About Senior Discounts
Finally, something good about aging—many stores offer senior discounts. This table shows a selection of grocers around the nation that give seniors a break.
| List of Senior Discounts at Grocery Stores | ||
| Store | Discount | Eligibility |
| American Discount Stores | 10% off every Monday | Must be 62+ |
| Bi-Lo | 5% off every Wednesday | Must be 60+ |
| Compare Foods Supermarket | 10% off every Wednesday | Must be 60+ |
| DeCicco Family Markets | 5% off every Wednesday | Must be 60+ |
| Fred Meyer | 10%-15% off on the first Tuesday of each month | Must be 55+ |
| Fry’s Food Stores | 10% off on the first Wednesday of each month | Must be 55+ |
| Gristedes Supermarket | 10% off every Tuesday | Must be 65+ |
| Harris Teeter | 5% off every Thursday | Must be 60+ |
| HyVee | Discount varies by location | Must be 55+ |
| Kroger | No senior discounts as of 2024 | N/A |
| New Seasons | 10% off every Wednesday | Must be 65+ |
| Piggly-Wiggly | 5% off every Wednesday | Must be 60+ |
| Publix | 5% off every Wednesday | Must be 60+ |
| Uncle Guiseppe’s Marketplace | 5% off ever Wednesday | Must be 65+ |
| Source: Theseniorlist.com | ||
Additional food-related senior discounts can be found at:
Papa John’s offers 20% off for AARP members who order online.
IHOP has a 55+ menu with smaller portions and value prices.
Denny’s also offers a 55+ menu, and you can get 15% off if you are an AARP member.
Chili’s will take 10% off a senior’s check (alcohol not included).
Krispy Kreme offers 10% off a donut.
Carrabba’s Italian Grill gives AARP members 10% off their check.
Outback Steakhouse. AARP members also receive a 10% discount (minus alcohol).
Final Ideas for Food Savings
Stay away from convenience products. Sure, those au gratin potatoes may only take 30 minutes to make. But if you make them from scratch (add on about 10 minutes), you will eliminate all the chemicals and preservatives and have a tastier version to eat. You also don’t need to spend the extra money on cut-up carrots; it just takes about five minutes to chop up a few. Same for fruit. Plus, pre-cut fruit is almost always terrible—what do you think the stores do with their near-expired fruits and veggies?
Find out when your favorite store marks down food. When the grocers expect a big shipment of fresh meats, veggies, and fruits, they will mark down their existing inventory to get rid of it. Same with breads and rolls. There is nothing wrong with this stuff, and you can often get it for 50% or more off the regular price.
Don’t be shy about rainchecks or negotiations. If something is on sale but the store has run out of it, get a raincheck. I went to buy some soda the other day. If you bought five six-packs, it was on sale for $3.25 per six-pack. But the entire store only had three six-packs. So, I asked them to give me the $3.25 price, and they did!
Buy your groceries with a credit card that gives you reward points (but don’t forget to pay it off each month).
Shop where you get fuel rewards. I get these at both Food City and Kroger. And at certain times of the year, if you buy gift cards at Kroger, they will give you four times the fuel reward points!
I hope these tips will help you save many dollars on your food budget.
And if you like to cook, here are the recipes I mentioned in this article.
Zesty Chicken Casserole
1 Roasted chicken, shredded
1 can of Rotel, original
½ onion, chopped
1 can Cream of Chicken soup
1 pkg Rice-a-Roni Chicken (family size)
8 oz. sour cream
8 oz. shredded Mexican blend cheese
Make rice, as directed on package. Mix everything but cheese together. Add 1 c of cheese to mixture and the rest on top.
Bake at 350° for 30 minutes.
Stove-Top Roast
Lean bottom round roast, about 5-7 lbs. 5 mushrooms, sliced
1-2 T parsley 5 plum tomatoes, chopped
1 onion, chopped 1 c balsamic vinegar
2 cloves garlic, minced ½ bottle Madeira wine
Trim roast; rub olive oil & sprinkle parsley on roast. Put roast in dutch oven. Add onion, garlic & tomatoes. Pour 1/3 of vinegar & 1/3 of wine on top of roast. Continue adding the other 2/3 of each through the first couple of hours of cooking. After that, just baste roast with the drippings that have accumulated in the saucepan. Cook, covered, on top of stove for 5-6 hours, or until desired doneness. This is best when well done.
Note: this recipe is courtesy of a friend who attended a cooking school in Paris. And my dog lies in front of the stove the entire time it is cooking!
