Food: The Budget Buster

Jars of Jam

 

There’s no shortage of tips and advice about saving money on food.

We all know that eating out is one of the biggest budget busters around, but we still do it. I was reading one website that offered the advice: cook at home one to two times per week to save money. (Sorry, I didn’t bookmark this one.) Really? Shouldn’t it be the other way around? How much would someone save if eating out was limited to one to two times per week?

I know how busy life can get and why it’s so tempting to pick up something to go. It’s also common knowledge that cooking at home is truly the least expensive way to eat. It’s much better to save eating out for a treat instead of a regular occurrence.

Of course, there is information about what families spend on food. The US Department of Agriculture publishes a schedule of average food expenditures in America. It’s updated regularly to accommodate changes in the economy.

There are four food plans:

  • Thrifty
  • Low-cost
  • Moderate-cost
  • Liberal

I was curious about where we were in spending, so I saved grocery receipts for a few weeks, added up all expenditures for food, and then calculated a per week average. Our average spending fell in the Low-cost plan, which is approximately $109 per week. Sometimes I spent more and sometimes less, but the average came pretty close to that figure.

This was done before my husband retired from his job. While he was working, we bought some convenience foods that he took for his lunch everyday. Yes, convenience foods are expensive compared to making it at home, but eating out for lunch is much more expensive than a few packaged foods every week. Now, that we are no longer buying that type of product, our spending is probably trending downward toward the Thrifty plan. Of course, I only counted what we spent at the grocery store. We don’t eat out often enough to make much of a difference in our budget.

Knowing what you spend is important and enlightening. Haven’t we all worked with someone who bought something from the vending machine everyday or had lunch delivered to work most days? If you add up just the snacks from the machine, it could total quite a bit. A study for the vending industry found that the average cash vending machine sale is $1.16. If the purchase is cashless, then that average rises to $1.71. It is just too easy to spend small amounts of money and then forget about it. After all, it was just a dollar or two. Someone who puts five days a week in at work will spend $5.80 cash or $8.55 without cash per week . That’s $290 per year and $427.50 per year respectively. If two people from the same household hit the machines every day, we’re starting to talk about some real money.

If you have not analyzed you spending yet, give it a try. It might show that there is at least one area where you can save without it hurting. A bit of planning may save money in another area and you won’t notice that you aren’t spending as much because you’ve planned a substitute. It’s much like dieting—eat this but not that. Spend this but not that to save on food.

Advertisements

2 thoughts on “Food: The Budget Buster

  1. Great example and such a simple way to start keeping track! I need to think more like this rather than trying to analyze everything at once. Thanks for this post.

    Like

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s