How To Save Money On Groceries

With the situation with the world economy here are some tips to keep your food budget in check.

• Buy store brands. The quality of store branded food items has improved dramatically in recent years, and many now compete with major national labels, according to Tom Marks, senior editor at Consumer Reports magazine. Some consumers may want to stick with name brand detergents or soaps, for example, but buying store brands for a broad array of products from fruit cups to cereals and pastas can save anywhere from 20 percent to 50 percent, Marks said.

• Evaluate unit prices. Buying in bulk is traditionally more economically, but that's not always the case, Marks says. So he and other experts recommend shoppers look at the item's cost per unit, which is found on the shelf sticker next to the item. Marks added that when items go on sale, shoppers should always compare the cost per unit on both the big and small packages to see which is a better deal.
But experts also say shoppers should keep in mind how much their families are going to consume. It's not economical to buy a big bag of fruit if it's going to end up rotting in the refrigerator.

• Compare prices of the same product in different areas of the store. "Where things are placed in a store can make a big difference," says Challagalla. For example, cheese is often cheaper in the dairy aisle than the deli because shoppers have to pay extra for it to be sliced.

• Clip coupons. Shoppers should look through circulars for special deals, but Marks warns them not to assume that all items in a supermarket's weekly flyer are on sale. He noted that manufacturers could have paid to have the item featured.

• Obtain a store card. These loyalty cards allow shoppers to get extra discounts on items without having to clip coupons.

• Consider frozen foods. Frozen peas, fish and other items are cheaper than fresh because they have a longer shelf life."Anything that is perishable, shoppers are going to have to pay higher prices because stores have to build it into their (profit) margins," said Challagalla.

• Ignore precut fruit or vegetables or other prepped items. While it's nice to have that pineapple cut up in chunks, that extra convenience costs money.

• Avoid items displayed at the checkout counter. Stores feature single serving pies, cans of soda and other items at the checkout that are often more expensive, but can be tempting to shoppers, particularly hungry ones.

Article from CNN .com/living

10 Factors That Drain Out Money

A lot of people are facing financial and have difficulties in budgeting their money to last for the next paycheck. It's easy to fritter away money on daily expenses. If you fall into these money traps, learn to avoid them and pocket the savings. Below is the 10 money drain.

1. Coffee -- According to the National Coffee Association, the average price for brewed coffee is $1.38. There are roughly 260 weekdays per year, so buying one coffee every weekday morning costs almost $360 per year.

2. Cigarettes -- The Campaign for Tobacco Free Kids reports that the average price for a pack of cigarettes in the United States is $4.54. Pack-a-day smokers fork out $1,660 a year. Weekend smoker? Buying a pack once a week adds up, too: $236.

3. Alcohol -- Drink prices vary based on the location. But assuming an average of $5 per beer including tip, buying two beers per day adds up to $3,650 per year. Figure twice that for two mixed drinks a day at the local bar. That's not chump change.

4. Bottled water from convenience stores -- A 20-ounce bottle of Aquafina bottled water costs about $1. One bottle of water per day costs $365 per year. It costs the environment plenty, too.

5. Manicures -- The Day Spa Magazine Price Survey of 2004 found that the average cost of a manicure is $20.53. A weekly manicure sets you back about $1,068 per year.

6. Car washes -- The average cost for a basic auto detailing package is $58, according to Costhelper.com. The tab for getting your car detailed every two months: $348 per year.

7. Weekday lunches out -- $9 will generally cover a decent lunch most work days. If you buy rather than pack a lunch five days a week for one year, you shell out about $2,350 a year.

8. Vending machines snacks -- The average vending machine snack costs $1. Buy a pack of cookies every afternoon at work and pay $260 per year.

9. Interest charges on credit card bills -- According to a survey released at the end of May 2007, the median amount of credit card debt carried by Americans is $6,600. Rate tables on Bankrate.com indicate that fixed interest rates on a standard card average 13.44 percent. Making the minimum payment each month, it will take 250 months (almost 21 years) to pay off the debt and cost $4,868 in interest. Ouch!

10. Unused memberships -- Costhelper.com reports that the monthly service fee at gyms averages between $35 and $40. At $40 per month, an unused gym membership runs $480 per year.