How Much Should You Spend on Groceries in 2025?

Since the 2020 Covid pandemic, grocery prices have become a burning reminder of inflation. Since April 2020, grocery prices have risen over 27%, according to the U.S. Bureau of Labor Statistics. Prices are up over 1% since January and continue to trend upward. Notably, egg prices soared in early 2025, but have since come down.

Here are a few reasons (among many) why groceries continue to rise:

• Supply Chain Disruptions: Ongoing issues with transportation, labor shortages, and global conflicts have increased the cost and complexity of getting food from farms to stores.

• Extreme Weather and Climate Change: Droughts, floods, and heatwaves are damaging crops and reducing supply, especially for fruits, vegetables, and grains.

• Higher Input Costs: Farmers and food producers are paying more for essentials like fertilizer, fuel, and animal feed, which are passed on to consumers.

The USDA publishes monthly figures to give consumers an idea of what they should expect to spend based on family size, budget, and more. These figures are extremely helpful to gauge your spending habits as you plan your family’s meals for the future.

Here are the most recent June 2025 numbers:

For reference, a family of four is considered: Male + Female (20–50 yrs) and two children (6–8 & 9–11 yrs) by the USDA. This family on a thrifty food plan will spend $994.40 per month. 

A fast way to save on your grocery bill is to search for discounts at your local grocery stores on the Upside app.

Again, there are a multitude of factors that affect your final food expense, including:

• Where you shop - Budget stores like Walmart or Aldi offer lower prices, while premium stores like Whole Foods offer organic products with higher price tags.

• What you buy - If you’re purchasing red meat and/or organic products, your grocery bill will likely be higher. If you’re trying to stick to a budget, opting for chicken and non-organic choices will likely help you save.

• Buying in bulk - If you shop at Costco or another warehouse club where items come in larger quantities, your grocery bill will naturally be higher. However, the advantage is that your per-unit cost is likely lower, making it an opportunity to save money.

Averages can help, but each family’s situation can vary widely. So here’s how you can budget properly for your household grocery bill. 

 Aim to spend 10-15% of your net monthly income (after taxes) on all food-related expenses, including delivery, dining out, and groceries. Here’s what that looks like.

In addition to the monthly amount you’re spending, here are a few signs you may be wasting money or overspending:

• Throwing away leftovers regularly

• Not grocery shopping with a list

• Regularly running out of food and opting for delivery/takeout/dining out

Here are several ways you can save on your monthly grocery bill.

First, be sure to take advantage of store loyalty programs and coupons. Many grocery stores offer these programs to entice customers to continue shopping at their stores in exchange for discounts and savings. They are typically free to sign up for, so be sure to find out on your next trip to the grocery store if your store offers one.

Before you hit the grocery store, be sure that you’ve eaten recently. Studies show consumers tend to spend more when they grocery shop feeling hungry. Additionally, walk in with a specific list instead of aimlessly wandering through aisles. Doing both of these things will help you avoid overspending or being wasteful

Next, consider small adjustments to your purchases to save. This includes opting out of traditional meat options like steak and chicken, and doing either meatless meals or choosing cheaper protein options like canned fish, tofu, or lentils.

Lastly, switching from name-brand products to store-brand is a simple way to save on nearly identical products.