Eating Out or Cooking In: Which One Will Save Me Money?

Once upon a time in the South, I could buy about a week's worth of groceries for $40.

That included breakfast, lunch to take to work, and dinner when I got home. I was adamant about cooking at home because $40 for a week could not be beat. I was also deeply in debt, so I pinched pennies and cut corners everywhere to focus on paying off my debt and saving in my 401k (because I got a company match and didn't want to leave that money on the table!).

As I mentioned in my October monthly report, I got so good at managing my grocery budget, I could eyeball the contents of my cart and tell within $5 how much the whole thing would ring up. I planned meals around coupons and what I already had in the apartment. Now, some months I'd be over budget on food, but I did have it down to a science.

Eating out was rare, but when I did, I almost never ordered drinks (including soda) or dessert. I usually split my entree in half and took the remainder to work the next day for lunch.

When I moved to Washington, D.C., most of that went out the window.

First, I had seriously underestimated the cost of groceries. The first few times I went shopping, I thought I had about $40 worth of stuff in my cart and the clerk would be like, "That'll be $65." For some peanut butter and bread?! For nearly the first YEAR I was in D.C., I had no clue how much my groceries would ring up.

I also started eating out WAY more. And, because I was quickly approaching debt freedom, I'd order a drink. I'd order dessert.And I usually ate the whole thing right there. No seconds for lunch the next day.

For those of you who keep up with my monthly reports, you see that just about EVERY month I go over budget on food. But, honestly, I don't do a lot of the things I used to do. I don't do coupons anymore. The return on investment (i.e., the investment of time) was not worth the pennies I was saving. I also plan my meals based on stuff that sounds good or that I haven't tried before. And because I work later hours then I used to, sometimes I just grab something on the way home. I don't feel like cooking when I walk in my front door.

You'd think that this is the sole reason my food budget is so crazy. But no, actually, some months I do way better when I don't go grocery shopping much and just eat out. It depends on where I eat though -- a $60 meal out and a $15 meal out make a difference. Since I eat at swankier places than I used to, sometimes it's hard to eat just half the meal -- the prices are higher and the portions are smaller (but the food is so much better).

So, here is the question: am I wasting time and money trying to cook at home? Should I just let someone else do the cooking?

Well, I still have no idea. I think I need a deeper analysis on just what sucks up my money without leaving my fridge full by the end of the week. Even though I keep track of every receipt, I think I'm not clear on where my food money goes.

Any suggestions from yall out there? What could I do to get a picture of where this money is going? Any suggestions for getting back control of this part of my budget?

Comments

[cassie]

I honestly believe eating at home is the way to go. It's cheaper, it's healthier and sure it takes a bit of time, but it is SO worth it. You will be so proud of yourself when you make and eat an entire yummy meal made by YOU.

[LaShaune]

I struggle with this as well. Being single and buying groceries just doesn't seem to make sense. I end up tossing food/money out because I didn't use it during the week.

If you can shop at a market such as whole food or gourmet garage buying almost prepared items that you only have to heat when you get home, buying already prepped items off the salad bar, etc...you may find that a better option.

*need to start taking my own advice on this one*

If eating out, I tend to make sure that I put 1/2 of the meal away so it's lunch for the following day (plus, less calories consumed).

keep us posted on what you figure out.

[Sense]

i struggle with this too. i moved to new zealand and my grocery spending doubled to tripled (from <$200 in the US to $400 or as much as $600 a month in NZ)!!

home cooked meals are usually healthier. I prefer them just for that.

When I get motivated, I've done some once-a-week cooking that's fabulous--just reheat from the freezer and dinner is served!

I'm also a huge fan of those ready-made roasted chickens. a potato or some rice, some salad, and some of that chicken is my go-to easy dinner.

I usually limit my eating out to once a week. I get thai or sushi on friday or saturday night because it's so yummy and I can't figure out how to make it so good by myself! My eating out spending hovers around $70 a month.

[Nicole]

I agree with the others that home cooking is usually cheaper and healthier.

You could always find a happy medium...eating the cheapest/easiest meals at home, eating out for other meals. For example, oatmeal (actually, breakfast in general) is super cheap, easy, and healthy at home.

Cooking ahead and freezing single portions is awesome too. I cook big batches of bean soups (for example, see "Quick Black Bean Soup" http://www.drmcdougall.com/misc/2004nl/apr/040400purecipes.htm), freeze in individual portions, cook a big batch of rice and freeze in individual portions. Voila, healthy, cheap dinner is served. My hubby takes this to lunch every day.

[kenyandesi]

shop at hmart. I got 2 lbs ground chicken, Swiss chard, tomatoes, 1 box grape tomatoes, cucumber, lettuce, tofu, onions, napa cabbage, 1 head broccoli, 3 green squash, 2 lb pre-marinated bulgoki, lactaid milk (that was $5), lemon juice, lemons, avocado, tortilla chips, and tons of free samples along the way. My bill: $55

[Dreamer]

So how much are you spending on food?

[Fabulously Broke]

Let me write a post on this. Check my blog for it. :)

[Abigail]

I've been in DC, so I know that grocery stores can be problematic. But I guess I'm wondering why you haven't yet gotten used to the prices. As we go through the store, when things start to pile up in the cart, I check the total by doing some rough estimates. That means I know how much I'm paying for whatever is in our cart. I think that's the most important way to keep track of spending. That and using coupons.

You may also be failing to keep track of small purchases. Like the pint of Ben & Jerry's you just have to have. Or that frozen pizza.

My husband and I both have health problems, so to help keep us from eating out, we try to stock up on "quick foods" whenever possible. That way we always have a few frozen meals, some hot dogs and maybe a couple of frozen pizzas around, for days we can't cope with cooking. It's saved us a lot.

[SeeJaneGetRich.com]

I moved to DC from the South as well and was quite shocked by the grocery store food prices. Whenever I go home I tend to do my grocery shopping in bulk to save money.

[jaylin]

Eating at home is cheaper
Figuring out your motivation to eat out would help. Are you too tired and don't have enough time to cook? Or does eating out provide a social outing?

HMart and the Asian groceries are the way to go.

Cook in large batches, then freeze. Cooking homey comfort foods like lasagna, meat loaf, soup, and pizza is best. Trying to make "exotic" dishes that require a dozen ingredients you don't have and won't likely use again are bad ideas.

I avoid or modify any recipe that requires me to buy kitchen utensils. No copper pans, no food processors, no additional expenses.

[KidGenius]

LOL i know your pain...i used to live off Q st in NW DC for a couple years. when i walked off the metro, there had to be at least 3 places i could stop off to get my grub on. What was even worse was the choice grocery stores...not saying Whole Foods and Safeway are bad (and thats all there is in the city)...but just sayn, EXPENSIVE, especially whole foods.

You know, I was a lil bit younger when i lived there and was just learning to money manage (still learning) so it was tough times. HOWEVER, i never could get the budget down right, but I know that i was able to eat pretty well by shopping at whole foods and still beat a budget of eating out all the time.

i guess my advice is just try to figure out what works for you. I like to turn on the music, bust out a glass of wine and cook after a long day, so i just try to stick with that. but it also doesnt hurt to have some flexibility, so dont be too hard on yourself.