A few weeks ago, I wandered the aisle of a grocery store when I came across the most expensive egg I've ever seen. The price of a dozen eggs was very close Double digits.
Certainly, I was in New York City, one of the most expensive cities in the country. But even so! Did that mean I could never afford an omelette again?
I'm not the only one experiencing sticker shock. Food prices are rising rapidly across the country. The USDA reports that between 2019 and 2023, food prices rose 25%, faster than all other major costs, including transportation, medical costs and even housing. Even with overall inflation rates drop, grocery prices are stubbornly high, rising 1.8% year-on-year as of December 2024, with President Donald Trump's proposed tariffs rising even more rapidly. I'm threatening. Some staple foods, like egg cartons, have fluctuated wildly due to the ongoing outbreak of avian flu. Meanwhile, thanks to corporate practices called “reducing,” many consumers have noticed that packaged food has become tinier, even if prices remain the same.
From the supply chain issues brought about by the Covid-19 pandemic to the higher labor and production costs leading to the war in Ukraine, there were several key factors that contributed to more expensive food. Climate change is also driving food prices up along with temperature. To sum up, these challenges can become disaster recipes, forcing some Americans to keep their debts down for groceries.
But unlike cutting a morning coffee run (for records, bad financial advice is bad financial advice anyway), most people can't stop going to the grocery store. And ideally, experience should not revolve around deprivation. Finding the right balance in both the wallet and the plate takes organization, patience and a bit of math, but that can be done.
How to come up with a grocery budget
The average person doesn't taste budgeting. This is mainly because, taking into account our own expenses, the money coming and going to our bank account doesn't just look cool and factual. Money lives at the intersection of things that are exhausting, practical, deeply personal. Food is double-like: it is not just the way we feed ourselves, but also the way we care for our loved ones, share our culture and create memories. How can I add a price tag to it?
Before you start working on your grocery budget, it's important to acknowledge that both food and money are emotional. Sometimes you may feel sensitive, uncomfortable or embarrassed about what you use. it's okay.
From there, consider reshaping what your grocery budget means to you. Rather than looking at it from a limiting perspective, what can you do with saving on grocery? Will you contribute to your child's university fund? Will you pay your car insurance? Do you want to take care of your credit card debt?
The budget is “a snapshot of one point in your life about how much you're in and what's coming out,” co-founded by restaurant owners at New Dymes, a first-generation financial literacy network. says Kristen Brirantes. Earn money. “If you don't have a budget, it's like buying a house that's not being tested. You just want to know what's going on.”
It is important to acknowledge that both food and money are emotional. And sometimes you may feel sensitive, uncomfortable or embarrassed about what you use.
One strategy for calculating baseline grocery costs is to look at bank and credit card statements over the past three months to get a monthly average. But if you're like me, you're not going to sift your account with the calculator.
Instead, Brirantes recommends doing a simple journaling exercise. Usually for two weeks, you should shop without judgment and write down your food costs, including eating out, food delivery, and grocery costs. From there, you can play around with numbers and get a sense of a reasonable budget. Expense goals vary based on geographic location, income and family size. If you have problems with starting, USDA has food planning resources that break down reasonable costs at several different expenditure levels.
I buy the kitchen and the grocery store
Consider shopping in the kitchen first before packing your tote bags for a trip to the grocery store. This tweak of this mindset will help you plan your diet more effectively, according to Cook, author Jessica Fisher, who started budget-focused website Good Cheap Meals during the 2008 recession .
Most people are already ignoring something in the freezer or hiding it in their cupboards. By looking at it at first, “you can “make a meal based on what you've already invested in money,” says Fisher. “If it turns out to be something you don't like, it will show you how to make better purchases for you and reform your shopping habits in the future.”
I tried this exercise in my kitchen, but I unearthed a 3 pound container of steel cut oatmeal that I bought on impulse a few months ago and barely touched it. After consulting with my wife (the chef in our relationship), she suggested that I make a simple, delicious oatmeal dish for lunch this week two or three times. Then for breakfast on the weekend, she made sweet oatmeal pancakes and finished the container. It spends 7 meals and zero money.
Run the right inventory in front Visiting the store also helps avoid redundancy. This could be to buy another syrup when you already had enough at home.
Meal planning with savings in mind
Once you know what you're going to have at home, the next step is to decide what you actually need.
It's attractive to concentrate on specific materials that are inexpensive. But considering the big picture, or your full plate, can be even more helpful. Fisher recommends writing a list of 5-10 meals you really love to eat. “Thirty-five years ago, the idea was to eat ramen, beans, rice and cheap hot dogs. I was. (If you're having a hard time getting started, Fisher is here to be flexible I have a grocery list.)
From there you can create a grocery list and identify where some of the more obvious savings are.
“One thing that's consistent is eating meat and trying meatless Mondays will help you grow your dollars,” says Plant-based plants, a food blog that lives under the poverty line. says Toni Okamoto, founder of bass. If you really like meat, you can also consider ways to stretch it even further. “So, say you really want your beef tacos – you can make the best beef and half lentils in both worlds. It's more economical and has a variety of nutrients , you get the texture you like.”
“Thirty-five years ago, the idea was to eat ramen, these beans, rice and some cheap hot dogs, because essentially if you don't love them, you'll burn out.”
Frozen fruits and vegetables can also be easily replaced. “As long as you get produce somewhere, as long as you get nutrients somewhere, [frozen] It's a great option that doesn't expire anytime soon,” says Okamoto. “People have the best intentions to eat a bag of salad they get, but sometimes they don't get to that right away.” Also, affordable prices such as potatoes, carrots, onions There are fresh vegetables, which serve as a base for many meals, and prices aren't rising as quickly as other items, adds Okamoto.
Of course, even if you have a thorough diet plan, if your meal is loaded with expensive cheeses and out-of-season fruits, you can look into the budget allocated. (No matter what the pantry looks like, eating at home will be much cheaper than eating out.) The trick is about how to match your taste with what you definitely like to eat with Finding a balance between thinking carefully is budget, says Fisher.
How to fight contraction
In an analysis of almost 100 commonly purchased items, one-third of them have been reduced in size since the pandemic, according to financial company Lendingtree, with breakfast items, sweet and packaged snacks and household paper products as the worst criminal. On Reddit, R/Shrinkflation has over 160,000 people tracking up inflated chips, horse-like chocolate bars and dead containers of laundry detergent.
To get a sense of cost-effectiveness for an item, look at the price per unit, or how much you pay in weight. It is usually listed on the shelf label. You may find that your favorite brand is much more expensive than store brands, Okamoto says. And make sure to check out the shelves that are generally more expensive and home to premium brands, not just eye level.
We might assume that choosing a Big Box Store membership is an obvious workaround to reduce it, but make sure to do your homework in front Commit to subscription-based services. Okamoto said when checking prices per unit, he found out that Costco could be more expensive than stores like Walmart and Winco. However, for some people, membership can still be valuable, especially if your family is big or if you are splitting costs with your roommate, for example.
Just as you shop in your kitchen, it is important that your store also shop. “Many stores sell the same exact product, but prices vary widely,” says Fisher.
Compare prices at stores across the community as well. “For years, I've seen Trader Joe's thoughts and did what I called a grocery showdown because it was the best place,” Fisher says. In her area of California, Fisher discovered that other stores offer better deals for the staples that her family eats regularly. “You don't even have to leave your chair to do this, because they all have prices online. A really clear idea to which stores get the biggest big deal of your money within an hour. You can get it,” Fisher adds.
Think about foods that are really important to your family and incorporate them into your budget. “I include splurge items in my meal plans,” says Okamoto. “I want to have it on my own intentional plan, so I'll include the salty and sweet treats I love.”
Of course, you cannot fully budget your own path from high prices or a particular economic situation. But by taking the time to focus on what you have control and plan accordingly, there is no reason you can't eat and eat your eggs either.
