If you want to cut costs on your food budget, there are a few things you can do without cutting out taste, healthy options and most importantly, variety—here are eight easy steps you can take to get that food budget down:
1. Set Up a Monthly Food Budget
So you can track what you spend every month on food, you should input everything into a computer program (Excel or Quicken) for a few months and then see what the monthly tally is for groceries. Although it’s difficult to see what you’re paying for every month because some items last longer (sugar, rice, etc.), you should come to an average monthly figure.
2. Pick a Goal for How Much You Want to Cut
The key to budgeting is to pick a target goal for your monthly food allowance. If you don’t choose a fixed number, odds are good you won’t stuck to your target amount. If you’re spending $1000 per month, but it in half and make your target $500 per month. Even if you don’t hit your target, chances are you’ll save at least 25%.
3. Examine Your Food Costs
Scrutinize what you’re spending, and on what. This is where you’ll be able to make cuts to your budget and tells you what is most expensive — maybe there is a less expensive option.
4. Make a Menu Plan
A weekly menu plan will help organize your kitchen and is vital to your budget. When you stick to a menu plan, you are less likely to purchase things you don’t need and impulse purchasing.
5. Add Up Your Meal Costs
Take out your menu plan and favorite recipes and tally the cost of each meal. For example, if the recipe uses 4 ounces of butter (which costs roughly $2.50 per lb.) and divide it by 16 ounces — that equals 64 cents. Figure in the recipe’s various ingredients and you’ll have calculated the cost of each meal.
6. Adjust Your Meal Plan Within Your Budget
Figure out the price of your weekly meals, then multiply by four to see if you fall within the budget you’ve set for yourself. If you come in over budget, see where you can make cuts, like making stew and soups, making your own bread and substituting potatoes for pasta.
7. Make a Shopping List
Do not go to the store without a written list — this ensures you only buy what you absolutely need.
8. Find Different Ways to Cut Costs
Shop around for less expensive products, such as toilet paper or paper towels. This helps cut your budget, as does buying in bulk. Stores like BJs and Costco have amazing deals and the cost to join is very reasonable.
Being on a budget doesn’t mean you have to cut out the products you trust and enjoy. Cutting your grocery shopping bill by 20 or 30% is well worth the effort!
Photo credit: Grocery trolley by polycart/flickr
(Guest Blog) Author Thomas Hathaway is a financial consultant and content contributor to paydayloans.org.uk, a site providing information and advances when you may need an advance to your regular paycheck.
