Tips for Saving Money on Food and Grocery Bills

May 19, 2011
Karen Gilmore

Supermarket Shopping - Image: Ambro / FreeDigitalPhotos.net

Fight rising prices with these tips for saving money on your food and grocery bills.

According to Statistics Canada's Latest Release from the Consumer Price Index, food prices in September 2011 increased by 4.3% over the previous year, and there's no relief in sight. In fact, according to a recent Toronto-Dominion Bank report, food prices could rise by as much as 8% over the next year. For the average Canadian household, this would mean hundreds of dollars in increased costs from family budgets that, for many, are already stretched thin. The good news is there are proven strategies that can help you save money on your family's food and grocery bills.

Educate yourself

Knowing which items your family buys, in what quantities, and at what cost will help make you a more educated consumer. This will make it easier to identify good deals when you see them and to find areas in which you can cut back or switch brands in order to save money. Spreadsheet software or, for the more low-tech among us, a notebook can be used to track spending and show the impact of shopping the sales, switching brands, or cutting back on more expensive items.

Plan your menu around the sales

Most major grocery stores put out a weekly flyer, often on Fridays, advertising their sale items for the upcoming week. These flyers are available online, so bookmark a few sites and visit them weekly so you can plan your menu around the meats and produce that are on sale. If you need recipe ideas or instructions for foods you haven't bought before, the Internet is teeming with free sites.

Make use of your freezer and storage

Educating yourself on food costs and checking frequently for the best sales will help you recognize when an item hits its lowest price. This is the time to stock up. Make use of your freezer for meats and your pantry for non-perishable items, such as canned goods, pastas, and household products like toilet paper and detergents. Just be aware of how long various foods can be frozen and remember to incorporate these items into your menu planning so you don't end up throwing them out.

Balance convenience and cost

Convenience has its price. As you shop, consider the cost of the more convenient option compared to its more labour-intensive but generally cheaper and healthier alternative. For example, consider forgoing pre-packaged oatmeal (which is often more refined and additive-laden) in favour of a big bag of large flake oats or buying a bag of whole carrots that you can peel and cut into sticks rather than those handy but pricier baby carrots. If you have a bread maker, consider dusting it off and making your own bread. Planting your own garden can also help you save money (and hey, no lines).

Cut back on those little indulgences

Whether it's sodas, lattes, or pastries, consider cutting back on those little indulgences that can add up to big money over time. If you're buying a coffee house latte every day, consider switching to home-brewed coffee and making those lattes a once-in-a-while splurge rather than an everyday occurrence. You'll save money and savour those little indulgences all the more.

Go meatless more often

Vegetarian meals can help you stretch your food budget. Staples like beans and lentils are cheap, nutritious, easy to prepare, and often freeze well to boot. You can also save money by preparing vegetarian versions of family favourites, such as spaghetti.

Choose wisely when dining out

Cutting back on dinners out will save you big bucks. If you eat out a lot and trim only $30 a week, you'll save over $1,500 a year! You can save money not only by eating at home more often, but also by making note of specials at restaurants in your area (such as the nights that kids eat free) and taking advantage of group-buying websites, which sometimes offer discounts of up to 50% or more at local eateries.

Using these tips and being mindful of your choices can help minimize the impact of rising food prices on your budget, allowing your family to eat well without breaking the bank.