Budgeting 101: How Much Should I Spend On Groceries?
A typical American household spends about $550 per month on food. How much you spend on groceries would certainly depend on your income. However, the food budget should lie within the 50% of your monthly income that you spend on needs (groceries, basic utilities, housing, transportation, etc.). So, if you’re wondering how much should I spend on groceries, we want to help you figure it out!
Let’s have a look at how much should grocery spending be, and how to save money doing it. In addition, we’ll also cover signature installment loans online as an option to use when your money runs tight.
How Much Should I Spend On Groceries Per Month?
The average that we have mentioned above can be used as a benchmark for your own grocery budget. But that does not mean that you have to try and spend $550 on food every month.
The number depends on a wide range of factors. Starting from where you choose to shop and ending with the number of people in your household.
You can plan your grocery budget according to the 50/30/20 rule. That’s when 50% of your income goes for various necessities, 30% for wants, and 20% for savings.
Simply count exactly how much you should pay for housing, basic utilities, transportation, and insurance per month, and whatever you have left can become your grocery budget.
You can also use USDA as guidelines. Those are monthly plans that estimate the average cost of home-prepared meals by age and gender and there are four different cost levels for you to choose from. Such plans will surely help you find the answer to the question ‘how much should I spend on groceries?’.
How To Stay Within Your Grocery Budget?
Have A Meal Routine
If you manage to plan your meals, then you’ll have a better idea of how much money you need to spend on groceries. This will also help you avoid overbuying at the supermarket.
Create Shopping Lists
Unfortunately, we all know about this hack, but not a lot of people actually use it. Create a shopping list and don’t buy anything that is not on it.
To take your game to the next level, make sure to look at your pantry and fridge before going to the supermarket. Once there are two-thirds of the item gone (or once there is one can left) – put it on the list.
Take Advantage Of Sales Day And Coupons
The trick here is to avoid buying products simply because you have a coupon. Check your shopping list and try to find if anything that you need is on sale.
Shopping right after a major holiday will help you stay within the budget as well. For example, turkeys go on sale right after Thanksgiving.
Ordering groceries online will help you stick to the plan as you won’t get distracted. Moreover, you can save some cash on transportation, if you tend to drive to your local supermarket or take a bus (online orders are usually delivered for free, once you go over a certain sum).
Eat At Home
Eating at a restaurant is a ‘want’, rather than a ‘need’. Nevertheless, a lot of people tend to spend half of their food budget on eating out.
You will be able to save a small fortune if you start having dinners at home. Put your favorite music on, and try out a new recipe – the experience might be just as fun (and much more budget-friendly).
What Can I Do When Cash Runs Tight?
Unfortunately, even if you know the answer to the question ‘how much should I spend on groceries?’, you are not protected from different unexpected expenses that can impact your finances.
Medical bills, auto and home repairs, important travel. All these things can easily mess up your budget and affect your financial situation. That’s when considering a signature installment loan in Wisconsin can be an option.
This type of loan is offered at Wisconsin Auto Title Loans, Inc., and it doesn’t require any collateral – your signature is what secures it.
You would also need a driver’s license (or a valid state-issued ID), a checking account statement, and proof of income.
The Benefits Of A Signature Installment Loan
- It can take you as little as 30 minutes to get a signature installment loan from Wisconsin Auto Title Loans, Inc.
- You can qualify for up to $1,500 in cash.
- To start, you just need to fill out an online form on Wisconsin Auto Title Loans, Inc. or contact one of our stores by phone.
- Wisconsin Auto Title Loans, Inc. welcomes all types of income, so don’t hesitate to contact us to find out more.
Budgeting For Groceries Can Be Simple
How much should I spend on groceries? As we have seen, the answer doesn’t need to be complicated. Plus, there are tons of tips and tricks to help keep the amount of money you allocate for groceries small enough so you can still manage to save money from your income.
But if there is ever a time when you feel like you don’t have enough money left for your groceries, you may consider getting a signature installment loan. Make sure to contact Wisconsin Auto Title Loans, Inc. today to find out if you qualify.
Note: The content provided in this article is only for informational purposes, and you should contact your financial advisor about your specific financial situation.