How to save money with food inflation rising more than 11% a year

Abhi Ramesh, CEO of Misfits Market, says there is no indication of food inflation going down soon.

Going to the grocery store wouldn’t be cheaper.

Rising food costs helped pay off Inflation rose again last monthdespite the decline gas prices. The food index alone is up 11.4% over the past year, according to another Consumer Price Index The numbers – the biggest jump in 12 months since May 1979.

The Food at Home Index, a measure of price changes at the grocery store, rose 13.5% — also a 43-year high.

In the face of higher prices, consumers have been cutting back, according to Mark Hamrick, chief economist at Bankrate.com. However, he said, “Food, at its most basic level, is not discretionary.” “That’s the hard side of the conditions we’re in.”

Prices of staples such as eggs, milk, cereal, bread and butter made some of the biggest increases, further straining family budgets.

Inflation has also led to many food and beverage companies, including coca cola And the PepsiCoto me To raise prices on beverages and packaged goods. Some also make their packages smaller – also known as “shrinkage— or substitute less expensive components, a tactic now called ‘simple inflation’.

Why food is becoming more expensive for everyone

Said Edgar Dursky, founder of Consumer World, who has a track of downsizing popular products, such as Charmin, Quaker Instant Oatmeal, and Honey Bunches of Oats.

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The Federal Reserve It has already taken aggressive steps to fight high inflationand The survey was released earlier this week by the Federal Reserve Bank of New York showed that consumers fear less of higher prices – although they still expect inflation to be 5.7% annually from now.

“Consumers are prepared for continued price hikes for the foreseeable future, but there is also a tendency to believe that things may return to normal,” Hamrick said.

In the meantime, he added, “it is prudent for individuals to continue to be vigilant about their family budgets.”

To that end, savings experts share their top tips for cutting back on grocery spending as food inflation shows no signs of slowing down anytime soon.

“It’s belt-tightening and it’s been a while,” Hamrick said.

5 tips to save on groceries

  1. Sales audit. generic brands Can be 10% to 30% cheaper than their “premium” counterparts and of the same quality, but this is not always the case. Brand-name brands may offer bigger discounts than usual at the moment to maintain loyalty, so it pays to be aware of price changes.
  2. Plan your meals. When you plan your meals in advance, you’re more likely to buy only the things you need, said Lisa Thompson, thrift expert at Coupons.com. She added that if planning isn’t your thing, at least shop with a rough idea of ​​what you’ll be cooking next week to help stay on track and avoid impulsive purchases.
  3. Buy in bulk. When it comes to the rest of the items on your list, you can save even more by buying in bulk. Joining a wholesale club like Costco, Sam’s Club, or BJ’s will often give you the best price per unit on condiments and non-perishable goods.
  4. Use the cashback app. Ibotta and Checkout 51 are two of the most popular apps to earn cash in the store, according to Julie Ramhold, consumer analyst at DealNews.com. The average Ibotta user earns between $10 and $20 a month, but more active users can make a profit $100 to $300 a montha CNBC spokesperson said.
  5. Pay with the correct card. while general cashback card Like the Citi Double Cash Card It can earn you 2%, there are specific Grocery Rewards Cards It can earn you up to 6% in supermarkets across the country, such as Preferred Blue Credit Card from American Express. CNBC Choose he have full tour One of the best cards to buy food along with APRs and annual fees.

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