How Much Does a Family of 4 Spend on Groceries

To larn how much coin you spend on groceries every month, you can add together up receipts, view your credit card transaction history or track your spending with a budget app .

But figuring out how much you should spend on groceries isn't quite as straightforward.

Hither's how to work grocery costs into your monthly upkeep .

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What is the average cost of groceries per calendar month?

The boilerplate toll of groceries for U.S. households is $4,942, based on 2020 information from the U.Southward. Bureau of Labor Statistics. This works out to almost $412 per month. Grocery spending has likely increased during the pandemic with people going out to consume less often.

While you can use this boilerplate as a benchmark for your own spending , it isn't the all-time indicator of how much you lot, or others, tin actually afford.

What should my monthly grocery budget be?

Your grocery budget depends on many factors, including where you store, what you purchase, how many people you're feeding and whether y'all shop online or in person. Not sure where to showtime? Here are a couple of guidelines y'all tin utilise to come upward with a number.

Follow USDA food plans

The U.Due south. Department of Agriculture creates monthly food plans you tin can use as guidance for grocery spending. The plans estimate the average cost of nutritious, home-prepared meals and snacks by gender and age, and are broken into four dissimilar spending levels: thrifty, low cost, moderate cost and liberal.

The most recent guess for a family unit of four, defined equally a male person and female between ages 20 and fifty and ii children, ages six to 8 and 9 to eleven, put the cost of the thrifty plan at $855 per month.

These nutrient plans tin advise a monthly grocery budget for your household, but they're still estimates, and won't be perfectly tailored to y'all.

Utilize the fifty/thirty/twenty rule to budget for groceries

The 50/30/20 budget can assist yous work out how much to spend on groceries based on your specific income and expenses. Following this framework, you spend near 50% of your monthly later on-taxation income on needs, 30% on wants and 20% on sayings and debt repayment.

Well-nigh groceries autumn under the "needs" category, but not every item at the grocery store qualifies as a necessity. Purchasing filet mignon for a special dinner would be a "want," for instance.

If your monthly take-dwelling pay is $three,200, here's how yous'd divide that amidst your expenses:

• $1,600 for needs like basic groceries, housing and transportation.

• $960 for wants like meals out, amusement and travel.

• $640 for savings and loan payments beyond the minimum.

How much of that $1,600 should get toward groceries depends on the monthly price of your other essentials. Permit's say you pay $850 for hire and utilities, $200 in educatee loan payments and $415 for your car payment and insurance. That adds up to $one,465 — leaving only $135 per month for vital groceries. If that won't cover everything you demand, or if you want to plan for some treats, you can accept additional money from your "wants" budget.

Before you build a budget

NerdWallet breaks downward your spending and shows you lot means to save.

Observe ways to stretch your grocery budget

If y'all're struggling to fit food costs into your upkeep, look for ways to salvage money on groceries . Outset with these uncomplicated strategies:

• Look in your refrigerator and pantry before making a shopping list.

• Bring together store loyalty programs to earn rewards.

• Check the Sunday paper, use an app and explore other ways to get coupons .

Your financial position, expenses and spending behavior will presumably change throughout your life. Make sure to revisit your grocery upkeep every month and adjust.

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Source: https://www.nerdwallet.com/article/finance/how-much-should-i-spend-on-groceries