How to Save Money on Groceries: 15 Practical Tips

Why Groceries Are a Great Place to Save

The average American household spends $475/month on groceries—that’s $5,700/year. Unlike fixed expenses like rent, your grocery bill is highly flexible.

Cutting your grocery bill by 20-30% is absolutely achievable without eating poorly. That’s $95-$143/month or $1,140-$1,710/year back in your pocket.

Let’s dive into how.

Before You Shop: Planning Is Everything

1. Meal Plan Weekly

The single most effective way to save on groceries is planning meals before shopping.

How to meal plan:

Check what’s already in your fridge/pantry
Check store sales flyers
Plan 5-7 dinners (leave room for leftovers)
Build your shopping list from the plan

Time required: 20-30 minutes weekly Savings: 20-30% reduction in grocery spending

2. Take Inventory First

Before making your list, check what you already have:

Fridge and freezer contents
Pantry staples
Spices and condiments

Build meals around what you have rather than buying new everything.

3. Create a Master List

Keep a running list of staples you buy regularly. Organize it by store section:

Produce
Dairy
Meat/Protein
Frozen
Pantry/Dry goods
Household items

This speeds up shopping and prevents forgetting essentials.

At the Store: Smart Shopping

4. Stick to Your List

This is harder than it sounds. Grocery stores are designed to encourage impulse purchases.

Tips:

Shop with a physical or phone list
Avoid aisles you don’t need
Set a timer to shop efficiently
Say “I’ll buy it next time” to impulse items

5. Never Shop Hungry

Shopping hungry increases purchases by 10-15%. Eat a snack before you go.

6. Compare Unit Prices

Don’t assume bigger is cheaper. Check the unit price (price per ounce/pound) on the shelf tag.

Sometimes:

Smaller sizes are on sale
Store brands beat bulk prices
Different brands have wildly different value

7. Go Generic/Store Brand

Store brands are typically 20-30% cheaper than name brands. For most products, quality is identical—often made in the same factories.

Where generic excels:

Pantry staples (flour, sugar, rice)
Canned goods
Dairy products
Frozen vegetables
Cleaning supplies
OTC medications

Where brand might matter:

A few specific items you’re particular about (and that’s okay)

8. Shop the Perimeter Strategically

The store perimeter (produce, meat, dairy, bakery) contains whole foods—generally healthier and often cheaper than processed foods in center aisles.

But compare prices: frozen vegetables are often cheaper than fresh and just as nutritious.

9. Buy Seasonal Produce

Seasonal produce is:

Cheaper (abundant supply)
Fresher (shorter transport time)
Tastier (picked at peak ripeness)

In-season examples:

Spring: asparagus, peas, strawberries
Summer: tomatoes, corn, berries, zucchini
Fall: apples, squash, pumpkin
Winter: citrus, cabbage, root vegetables

10. Use Cash Back Apps

Stack savings with apps that give you money back:

Ibotta – rebates on specific products
Fetch – scan any receipt for points
Checkout 51 – weekly rebate offers
Store apps – digital coupons and loyalty rewards

Time required: 2-3 minutes per shop Savings: $5-$30/month

After Shopping: Reduce Waste

Americans throw away 30-40% of food purchased. Reducing waste is like getting free groceries.

11. Store Food Properly

Keep ethylene producers (apples, bananas) separate from sensitive items
Store herbs in water like flowers
Use airtight containers for dry goods
Know what goes in the fridge vs. counter

12. Use Your Freezer

Your freezer is a pause button. Freeze:

Bread before it goes stale
Meat you won’t use within 2 days
Leftover soups and sauces
Overripe bananas (for smoothies/baking)
Fresh herbs in ice cube trays with oil

13. Get Creative with Leftovers

Monday’s roast chicken → Tuesday’s chicken salad
Leftover rice → fried rice
Soft vegetables → soup or stir fry
Stale bread → breadcrumbs or croutons

Bigger Picture Strategies

14. Batch Cook and Prep

Spend 1-2 hours on Sunday:

Cook grains (rice, quinoa)
Prep vegetables
Make a big batch of protein
Prepare grab-and-go snacks

This reduces weeknight “I’m too tired to cook” takeout spending.

15. Consider Where You Shop

Different stores have different price levels:

Budget stores: Aldi, Lidl, Walmart, Costco (for bulk) Mid-range: Kroger, Safeway, Target Premium: Whole Foods, specialty stores

You don’t have to shop at one store. Many frugal shoppers:

Buy staples at budget stores
Get specific items at regular stores
Shop specialty stores only for specific needs

Sample Grocery Budget

Here’s what a frugal grocery budget might look like for one person:

Category	Weekly Budget
Produce	$15-20
Protein (meat, eggs, beans)	$15-20
Dairy	$5-10
Grains/Bread	$5-10
Frozen	$5-10
Pantry items	$5-10
Total	$50-80/week

That’s $200-320/month—well below the average $475.

Quick Wins: Do These Today

☐ Plan this week’s meals before shopping
☐ Make a shopping list organized by store section
☐ Check your fridge/pantry for forgotten items
☐ Download one cash-back app
☐ Try one store-brand item you normally buy name-brand

Cash Back & Coupon Apps

Stack savings with these apps that put money back in your pocket every time you shop:

Ibotta — Get cash back on specific grocery items. Select offers before you shop, then scan your receipt. Works at Walmart, Kroger, Target, and most major stores.
Fetch — Scan any receipt (groceries, restaurants, gas) to earn points redeemable for gift cards. No offer-clipping required—just scan everything.
Checkout 51 — Similar to Ibotta with weekly rotating rebate offers. Use both apps to maximize returns on the same receipt.

Pro tip: Combine these apps with your store’s loyalty program and digital coupons for triple savings on a single purchase.

For more ways to stretch your food budget, see our frugal living tips.

Some links above may be affiliate links. We only recommend tools we find helpful.

Frequently Asked Questions

Is it really cheaper to cook at home?

Yes, almost always. Restaurant meals typically cost 3-4x more than the ingredients to make the same dish at home. The exception might be very complex dishes requiring many specialized ingredients you won’t reuse.

How much should I spend on groceries per month?

A good benchmark is around $250-$350 per person per month for a moderate budget. However, frugal shoppers can often get this down to $150-$200 by meal planning and shopping sales.

Are organic foods worth the extra cost?

It depends on your priorities and budget. If money is tight, conventional produce is still very healthy. Prioritize the “Dirty Dozen” (produce with most pesticides) for organic if you can, but don’t let it break your budget.

Your grocery bill is one of the most flexible expenses in your budget. Which tip will you try first?