If you're worried about the high costs of food, you're certainly not alone. Rising grocery store prices have many Americans concerned, particularly older adults who live on a fixed or limited income.
How much have grocery prices increased?
The USDA's Consumer Price Index (CPI) measures the prices paid by consumers for good and services over time and looks at the spending patterns for all urban consumers and urban wage earners and clerical workers. According to its latest Food Price Outlook for 2024 and 2025, as of December 20, 2024, overall prices for 'food-at-home' (grocery store or supermarket food purchases) fell by 0.1% in November of last year when compared to October, but was 1.6% higher than November 2023.1 Restaurant purchases (or food-away-from home) increased by 0.3% in November 2024, and was 3.6 percent higher than November 2023.
Will food prices go down in 2025?
Unfortunately, no—at least not according to the USDA. The agency's Consumer Price Index also predicts that prices for all food will go up nearly 2% in 2025.1 But the good news is that there are many ways to save on groceries, including seeing if you're eligible for food assistance benefits, which can help counter the effects of rising food costs. Below are five tried-and-true approaches you can use to spend less at the grocery store.
5 ways to save on groceries every month
1. Use a budget calendar. A budget calendar is a paper or digital calendar that you use to predict how much money will flow in and out of your budget each month. The key components of a budget calendar include:
- Income (e.g., wages, pension, Social Security)
- Household expenses (e.g., rent/mortgage, cell phone, utilities, groceries)
- Savings (e.g., contributions to an emergency fund)
Organizing your finances ahead of time can help you see how much you have to comfortably spend on groceries each week. Budgeting helps you plan smarter, shop more efficiently, and save money that can be spent on other necessities.
2. Make meal planning a habit. Preparing your meals at home costs much less than ordering takeout or dining at a restaurant. It's much healthier, too. Meal planning helps you stretch your budget even further. By planning your meals for the entire week ahead of time, you can reduce your trips to the supermarket. You'll also streamline your grocery list by buying only what your meals call for.
If you're unsure where to begin with meal planning, just follow these three steps:
- Find simple, healthy recipes online or in your favorite cookbook.
- Make a list of the items you need to buy to make those recipes.
- Prepare your ingredients in advance (e.g., chop up vegetables).
To make the most of your grocery savings, plan your meals around your store's weekly sales flyer guide your meal planning. It’s also a good idea to stock up on the staples you use most often when the price is right.
3. Look for savings. Grocery store savings are all around you if you look for them. Here are a few ways to find deals that lead to discounts:
- Clip coupons: Whether you find them in the Sunday paper, online, or in your mailbox, coupons can help you save money on the products you use regularly. Some grocery stores will even double the value of any coupons you have.
- Join store loyalty programs: Many grocery stores offer free loyalty or reward programs. As a member, you can receive valuable coupons and exclusive discounts. You might also be able to earn points to apply toward a grocery purchase.
- Find store-brand alternatives: Are you married to brand names? If so, it may be time for a switch to save some money. House brands are almost always less expensive than brand-name products, and the quality is often comparable (if not better).
4. Shop for groceries online. You might think of online food shopping as more expensive, but it can actually save you money, as can using a grocery delivery service. For one thing, shopping online prevents you from making impulse buys in a physical store. You can also check your fridge and pantry before placing an order so you don't buy what you already have.
5. See if you’re eligible for SNAP assistance. If you struggle to afford high food prices and don’t currently receive Supplemental Nutrition Assistance Program (SNAP) benefits, it’s a good time to find out if you qualify.
SNAP provides monthly financial assistance to help older adults buy the food they need—older adults like Mary, age 63. Mary was recently approved for SNAP and is using her benefits on a regular basis.
"I go to a farmers market every two weeks and get fruits and vegetables there with my EBT card," Mary said.
Wondering how to apply for SNAP?
Many older adults don’t participate in SNAP due to its complex application process. But we’ve made it easier. Through NCOA's BenefitsCheckup.org, you can:
- Learn more about the food assistance programs, including SNAP
- See if you qualify for SNAP and other benefit programs offered in your area.
- Get information on how to apply, and get help from a Benefits Enrollment Center to walk you through the application process step by step.
Sources
1. USDA Economic Research Service. Summary Findings: Food Price Outlook, 2024 and 2025. December 20, 2024. Found on the Internet at https://www.ers.usda.gov/data-products/food-price-outlook/summary-findings/
2. USDA Economic Research Service. U.S. food prices rose by 25 percent from 2019 to 2023. February 14, 2024. Found on the Internet at https://www.ers.usda.gov/data-products/chart-gallery/gallery/chart-detail/?chartId=58350
