14 creative ways to save money on groceries

Food prices are rising. Well, all prices are rising, but it seems like our grocery budgets are getting hit harder than ever! If you’re looking to trim your grocery bill, we’ve got you covered.

In this guide, shoppers can learn how to maximize their grocery budget through straightforward tips and “hacks.” Let’s get started!

How much should I be spending on groceries?

The biggest variable in how much you spend per month on food is the size of your family. Obviously, larger households will spend more — but other factors influence your budget as well.

Food costs vary throughout the country, and of course, your dietary preferences and restrictions will also make a big difference.

There’s no “one size fits all” budget number. But for some general guidelines, we can look at USDA food plans. These are official government reports that suggest a budget range for a nutritious diet prepared at home.

For a family of four (two adults from ages 20-50, one child from ages 6-8, and one child from ages 9-11), USDA guidelines suggest you should expect to spend:

• $979.40 per month for the thrifty plan

• $1,048.70 per month for the low-cost plan

• $1,305.10 per month for the moderate-cost plan

• $1,576.10 per month for the liberal plan

This data was taken from the February 2023 USDA food reports, but new reports are published monthly — and costs continue to rise each month due to inflation.

To summarize, a family of four should expect to spend roughly $980 per month at a bare minimum, all the way up to $1,576 per month for a diet with more expensive ingredients.

With these high costs for grocery shopping budgets, many families are looking for ways to save money on groceries. We’ve got you covered.

How to save money on groceries: 14 tips 

Looking to trim your grocery bill? There are several approaches to take, from sticking to your grocery list (and avoiding impulse purchases) to buying in-season and in bulk. We’ll go over the best money-saving tips for groceries below.

1. Start tracking your spending (and make a food budget) 💲

It’s very helpful to know what you’re currently spending on groceries so that you can craft a grocery budget for your household — and ideally start to trim down costs. Many of us may not be aware of how much groceries might be taking a toll on our personal finances.

For this step, you can start saving receipts, check your credit card statement, or use a budgeting app. Budgeting can be a great addition to your personal finance routine, and if you have kids, grocery budgeting could be a good way to introduce this key financial literacy topic to your children.

2. Shop sale items 📰

Local grocery stores almost always have weekly sales cycles on common grocery items — and most will mail out sales flyers to households. It’s a good idea to check out grocery prices on these sales circulars/flyers — particularly items displayed front and center as featured items.

In many cases, these featured items are so-called “loss leaders,” which the grocery store is actually selling at a financial loss, just to attract customers. That means that if you shop wisely, you could score select items for less than the grocery store paid for them!

3. Utilize store loyalty programs 📱

Most grocery stores have some sort of loyalty or rewards program. Big chains like Kroger, Walmart, Target, and others even have their own apps. It’s wise to sign up for these programs at any store you frequently shop at.

Loyalty programs can work in different ways. Some may offer a percentage in rewards back, while others qualify you for exclusive discounts or deals. Check with your favorite grocery store for details on their programs!

4. Use store coupons 🤑

Many stores also offer their own coupons and discounts, usually through a store mobile app. You often have to “save” these coupons to your account in order to use them, but once they are saved, they should apply automatically as long as you use your store loyalty card.

Again, each store has a slightly different setup — and some don’t offer store coupons at all. But if your favorite local grocer does have coupons, it’s well worth the time to save any of the ones you might use.

5. Stick to your shopping list 📜

We all know the experience of going grocery shopping and ending up with a cart full of stuff we didn’t have on our list! Some impulse buys are inevitable, but with food prices rising and more and more families trying to trim grocery budgets, this is one area that deserves attention.

To combat optional purchases and off-list items, it’s a good idea to make a detailed grocery list before heading out. You can even make a meal plan for the week ahead to have a better idea of what you’ll need to pick up.

6. Get budget-friendly meal ideas 🧑‍🍳

Shifting how you cook and the types of meals you cook on a regular basis can also trim grocery costs. There are tons of great recipe websites out there, including ones that focus on budget-minded shoppers and avoid expensive items to help readers save some cash.

7. Reduce food waste ♻️

On a nationwide level, nearly 40% of food in America is wasted. A lot of that occurs on the industrial/retailer level, but many households also throw out a substantial portion of fresh food each month.

To reduce food waste in your household, there are a number of strategies you can employ:

• Learn how food expiration dates work. (You can understand the “best by” date, for instance.)

• Buy fresh produce as needed and in smaller quantities.

• Consider frozen fruits and veggies.

• Freeze perishable food before it goes bad.

• Consider meal-prepping.

• Make more frequent, smaller grocery store trips.

8. Use third-party/manufacturer coupons ✂

In addition to store coupons, you may benefit from clipping coupons elsewhere. You can find manufacturer coupons on websites like Coupons.com, The Krazy Coupon Lady, or sometimes directly on manufacturer’s websites. Just make sure to read the fine print to understand how the coupon works and where it might be accepted.

9. Shop store brands 🛒

Many stores carry generic brands of common household staples. These are often sold at a much cheaper price than name brands — and in some cases, they’re actually an identical product in terms of quality (only the packaging is different).

10. Earn cashback through apps 🤳

There are a couple of third-party smartphone apps that offer cashback or rewards for select purchases. These rebate apps work by asking you to take pictures of receipts and upload them to the app — and if any products match items that qualify for a rebate, you could get some bonus cashback. Two common rebate apps are Ibotta and Fetch Rewards.

11. Use a rewards credit card 💳

Some credit cards earn cash back rewards or other reward points. Thus, it’s possible to earn some cash back when you buy groceries. Many cards earn 2%-3% back, so if you spend $1,000 per month on groceries, that’s an extra $10 to $20 back in rewards each month.

Just be sure to pay off your credit card in full each month. If you carry a balance, you’ll pay interest — which will cancel out the rewards you earn. If you have poor credit or prefer not to use credit cards, you can use a debit card instead (although most debit cards don’t earn rewards).

Parents: The Greenlight Family Cash Card gives you up to 3% unlimited cash back* on every dollar you spend. No purchase categories to keep track of. No limits on how much cash back you can earn. And no need to fumble with multiple credit cards — ever again.

12. Shop seasonally 🥕

When it comes to fresh produce (and even frozen, to some extent), in-season items are typically cheaper. Buying out-of-season is often much more costly. 

A classic example of this is fresh berries. A package of fresh strawberries in the winter may cost up to twice as much as it would in the late spring or summer — simply because the berries have to be grown far away and shipped via air freight. 

13. Comparison shop 🏪

To get the best prices on grocery staples, it pays to shop around. You can do this in-store, online, or by comparing local sales flyers. National brands like Kroger, Whole Foods, Trader Joe’s, and Target often have competitive pricing on staple items — but be sure to also check out local and regional chains.

14. Buy in bulk (maybe) 🛍️

Finally, consider shopping at warehouse stores such as Costco or Sam’s Club. These stores do have a membership fee. As of May 2023, a Costco membership starts at $60 per year, and Sam’s Club starts at $50 per year — but the cost savings typically more than offset the membership fee.

These warehouse stores often have much cheaper per-unit items on household staples, canned goods, and even fresh foods. However, when buying perishable foods in bulk, make sure that you can actually use them up before they go bad.

When it comes to saving money, knowledge is power

The more you know, the more you save! By taking a look at what you’re currently spending, you can get a good baseline to start making changes. From there, utilize comparison shopping, sale-hopping, store brands, bulk shopping, and the rest of the tips discussed above to maximize your grocery dollars.

Want to maximize all your dollars? Learn more about personal finance on the Greenlight Blog. And if you have kids, the Greenlight app should be on your radar. Greenlight is a debit card and money management app for kids and teens. Try one month of Greenlight, on us.

¹https://fns-prod.azureedge.us/sites/default/files/media/file/CostofFoodFeb2023LowModLib.pdf

*Earn 3% when you spend at least $4,000 in a billing cycle, 3% when you spend at least $1,000 but less than $4,000 in a billing cycle and 2% when you spend <$1,000 in a billing cycle. See the Credit Card Rewards Terms and Conditions for details, including earning, redemption, expiration or forfeiture.