Grocery shopping

Groceries - can't live without them, but they're getting more expensive each day!

Grocery prices are rising, but you can still get some good deals. Here are some tips and tricks to get the best prices, and sometimes even some cash back. It takes a little time and planning, but if you want to save money, you can do it.

Many grocery stores have a sale cycle that goes from Wednesday to Tuesday. Some of them also have weekend specials (I'm looking at you, LiDL). Most allow you to preview the next week's sale flyer online on Tuesday or even earlier, so you can plan your purchases. Depending on the store, BOGO (buy one get one free) deals may require that you buy 2 of the item, or it might mean that you get the item for half price. You will need to learn the rules for your preferred store(s) so you don't accidentally miss out on savings (that is, if buying multiples makes sense for you). Some don't offer sales, preferring instead to focus on low prices (Trader Joe's, for example). In any case, remember that if you're not going to use (or gift or donate) something, it doesn't matter how cheap it is! I sometimes go down the rabbit hole of buying multiples of something and then they expire before I am able to use them. Also, I have limited storage and if I buy too much, there's nowhere to put it. Learn from my mistakes! 

Grocery store loyalty programs

The very easiest way to save money is to make sure you have signed up for your grocery store loyalty program! Many grocery stores (Kroger and related brands, Ingles, Safeway, Vons, etc.) will only give you discounted prices if you are a member of their loyalty program. Publix notably doesn't require an account for customers to get sale prices, but it does offer digital coupons, bonus offers, and a birthday gift if you sign up. It's usually VERY easy to sign up for a grocery loyalty program, and it's a one-time deal. From then on out, you can use either your phone number, an app, or a card when you check out and you'll automatically save on anything that's on sale! 

Most loyalty programs also have an app and/or a website where you can clip digital coupons (and in some cases, cash back deals) that are automatically applied when you check out using your loyalty account. This allows you to save even more money, and you don't have to think about it when you're checking out - just take some time each week to see what new coupons are available and add the ones that make sense to your account. Some retailers limit how many coupons you can clip, so just choose the ones you need. I discovered while traveling that if you have a Kroger Plus card or a loyalty card for any of the associated brands, it works at all Kroger-owned supermarkets. When I'm out West I can check out using my phone number at Smith's or Ralphs and get sale prices and my digital coupons there too. If you're an Amazon Prime member, you can get discounts at Whole Foods - just scan your QR code in the Whole Foods app. 

Some grocery stores also have discounted gas based on the amount of purchases you make at the store. Kroger, Ingles, and Safeway are ones that come to mind, but I am sure there are others that are regional. Definitely look into it if your grocery store has a gas station, or partners with a national brand.

In my small household, I sign up for the loyalty programs, clip the digital coupons and cash back deals, and we both use my account. In a larger household, you may want to have multiple people with their own accounts so you can stack your savings!

Paying for "free" pickup and delivery... and more fuel points

Kroger (and associated brands) offers a Boost membership, which doubles your fuel points and gives you free pickup and delivery. The same-day pickup and delivery version of Boost costs $99/year, but they offer a 30-day trial, and periodically offer it at a discount - I just renewed mine for $49 a few months ago when I found a digital coupon. They also offer one free streaming service with the membership (I picked Hulu). They have a slightly cheaper next-day delivery Boost offering for $69/year. Depending on how much gas you purchase at the grocery store and how many pickups or deliveries you do in a year, Boost may or may not be a great deal for you. I choose Kroger delivery only (there is an Instacart option that is more expensive), and they do not allow tipping because their employees are doing the deliveries, so the cost is the same (or less) than if you shop in the store. They often have digital coupons that only work for pickup and delivery, and sometimes Boost member bonus coupons too. The one downside is that they deliver in plastic bags, but they are very strong bags and I reuse them for other things. I haven't done pickup since I got Boost, but I hear those bags are pretty strong too. 

Cash back credit cards

Cash back credit cards are generally only beneficial if you're paying your balance off every month. Otherwise, you're probably going to pay more money in interest than if you shop around for the credit card with the lowest interest rate and use that for all of your credit purchases. So please only consider these if you pay off your balance each month or they're offering an interest rate lower than you can find elsewhere. 

With any credit card, cash back or not, I would also advise that you read all of the fine print before signing up. Also, consider the impact of getting another credit card. If you're looking to finance a large purchase in the near future, it may negatively affect your credit score. If you work with a financial advisor or are in the process of getting a mortgage loan, ask how applying for a credit card would affect you financially. A few dollars in grocery savings is probably not worth getting a higher mortgage or car finance interest rate! With that being said, there are a few cards that offer a higher cash back percentage rate on groceries, so I wanted to share in case this makes sense for you and your financial position. 

American Express offers 2 cards that give you cash back on your grocery purchases. The Blue Cash Everyday® Card has no annual fee, and it gives you 3% back on all grocery purchases up to $6,000/year (then it reverts to 1%). There are other good deals associated with this card that are not grocery-related, too. The Blue Cash Preferred® Card charges a $95 annual fee after the first year, but gives you back 6% on grocery purchases up to $6,000/year as well as other cash back deals as well. The catch is that cash back is in the form of a statement credit, which works well if you pay off your balance each month. I started out with the Blue Cash Everyday® and eventually upgraded to Blue Cash Preferred® when I realized that the annual fee was less than the amount of cash I would earn based on my purchases. They also don't charge a fee for additional cards, so my husband has a card and his grocery runs count towards the total. Definitely do the math to see what makes sense for you.  

Kroger has their own credit card (Kroger Family of Companies Rewards World Elite Mastercard®). It offers 2-5% back on purchases in their store brands. Interestingly, they apparently give you more cash back for using their "Kroger Pay" feature vs. the actual card in-store. I haven't considered this one since my Amex gives me more cash back than the Kroger card, but if you shop there a lot, it may be a good option for you.

If you have an Amazon Prime Visa, you can use it at Whole Foods and get 5% cash back, since it's an Amazon subsidiary. It has no annual fee, but requires a Prime membership, so if you don't order much from Amazon, it may not make sense for you unless you buy a TON of food at Whole Foods. Also, if you have the 6% cash back AmEx and don't hit $6,000 in grocery purchases per year, you are better off using your AmEx.