Yahoo Finance A Retiree’s Guide to the Best Grocery Deals at These 4 Retailers
According to the Bureau of Labor Statistics, the cost of food has risen by 2.2% in the 12 months leading up to April 2024. This is fairly standard as far as inflation rates go, but it’s still a significant amount — especially for retirees or other individuals living on a strict budget or fixed income.
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On average, American consumers spend about $5,703 a year on food at home (using the latest data available). Dining out spending is also high at $3,639 a year, making for an annual total spending of $9,342.
While cutting back on going out to eat is one way to save money on food, cooking meals at home is generally the best option if you’re struggling with overall costs — or even if you simply want to be a little more frugal.
But not all grocery stores are created equal. Some, like Wegmans or Whole Foods Market, tend to have higher-than-average prices. Fortunately, there are some major retailers where you can still find groceries for less.
Here’s where you can find the best grocery deals, according to early and partial retirees.
Grocery Outlet
“I like to shop at Grocery Outlet when trying to keep costs down,” said Harpreet Saini, a former retiree and the current CEO of We Buy Houses in Metroit Detroit. “I spend about $50/week at Grocery Outlet in the Bay Area.”
A family-run business, Grocery Outlet started in California, but it now has over 400 stores across 10 states. The retailer markets itself as the country’s biggest value grocery store and for good reason.
According to one website, Grocery Outlet is one of the lowest-priced options in the country — right up there with Walmart and WinCo Foods. The retailer has a rather eclectic selection of foods, many of which are steeply discounted.
Overall, food prices there are around 27% lower than the average. Depending on the time of year and which items they need to buy, frugal retirees can save anywhere from 50% to 70% on certain weekly deals.
Here are some pricing options from Grocery Outlet’s website:
$1.19 on spices
$3.99 to $5.69 on prepared meals (like salad kits and macaroni and cheese)
$5.52 for fresh chicken tenders ($4.49/lb.)
$0.38 for organic bananas (or $0.31 for nonorganic)
$4.59 for avocados (2 lbs.)
$12.32 for boneless chicken breast (4.12 lbs.)
$4.59 for Italian-style meatballs (1 lb.)
$2.89 for a dozen eggs
$2.89 for frozen pizza
Grocery Outlet’s selection might be a little limited, but you can still get the bulk of everyday grocery items there. Plus, you might even score better deals by enrolling in the store’s free loyalty program.
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Walmart
“I’m an early retiree who still likes to keep our grocery costs in check,” said Lauren Keys, creator at Trip Of A Lifestyle. “Walmart has everyday low prices that beat out almost every other store’s price on everything from shelf staples like pasta to specialty items like oat milk.”
So, what’s this look like in practice?
“Let’s take the oat milk example. A 52-oz carton of Chobani oat milk is $5.15 at my local grocery store, Publix. That same carton of oat milk is $4.98 at Walmart!” Keys said.
And it’s not just name-brand items that are noticeably different between these locations.
“That disparity persists even if you shop generic. Publix charges $0.072/oz. for its store brand oat milk while Walmart charges $0.064/oz.,” Keys said. “It may not seem like a huge difference in the generic pricing, but look what happens when you compare generic pasta prices between Publix and Walmart. You’ll pay around $1.49/1-lb box while Walmart charges $0.99 for the same amount.”
Trader Joe’s
In addition to Grocery Outlet, Saini said he tends to head to Trader Joe’s for some good grocery deals.
“Trader Joe’s is great because the cost is about the same across the U.S.,” he said. “[I spend] about $80/week at Trader Joe’s.”
Unlike many other grocery stores, Trader Joe’s primarily sells its own brands of food. This makes comparing prices between this and other retailers a bit tricky — but not impossible.
In one survey, Consumers’ Checkbook found that Trader Joe’s prices were approximately 19% lower than what you’d get at other major grocery stores. Prices are even lower than other local stores like Whole Foods and QFC (24% lower), Albertsons (16% lower) and Target (12% lower).
Trader Joe’s might not be quite as cheap to shop at as Walmart or nontraditional stores, but its overall lower prices are a key benefit to shopping there for Saini. Plus, much of what you can find on the shelves is of good quality
Here are some examples of what you can expect on everyday foods at Trader Joe’s:
$1.29 for a baguette
$3.99 for a pancake and waffle mix
$4.79 for a dozen large brown eggs
$4.99 to $5.49 for frozen pizza
$3.99 to $4.99 for meatballs
$6.99 for raw organic chicken breasts (1 lb.)
$2.49 for spices
$0.23 for 1 banana
Nontraditional Grocery Stores
“The biggest hack for grocery shopping is to skip traditional grocery stores,” Keys said.
As for which retailers, this depends on what is available where you live and what types of food you’re into. Some popular alternative grocers where you can find the best deals on food include Walmart, Costco, WinCo, Lidl and Aldi. You can even shop at Dollar Tree, Family Dollar or Dollar General if you want to really keep costs low.
There are also specialty stores, like some Latino and Asian grocers, where you can find some surprising deals. You might need to get a little creative with your meal planning, but that’s part of the fun. And when you’re saving money — and reducing any stress you might be having over your food bill — that’s just an added bonus.
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This article originally appeared on GOBankingRates.com: A Retiree’s Guide to the Best Grocery Deals at These 4 Retailers
