Personal Finance News Tuesday 8/14

Phil's Personal Finance Tip of the Day:

Ways to save even when food costs are rising
By Clark Howard

We all know there have been higher grocery prices because of a pitiful corn harvest, which is the key ingredient in so much of the food that winds up in our supermarkets. But I want to tell you about ways to run counter to that trend.

Food producers have absorbed some of the price increase in raw material costs because the marketplace won't completely support higher prices. Whatever couldn't be absorbed was passed along to us; you're seeing that as smaller portions of processed foods are being sold for the same price.

I had said a few months ago it looked like the worst of this trend was over. It appeared as though we would have a decent harvest and the price pressure would ease. But the big harvest we were expecting didn't happen because of the weather.

So the price pressure will continue in the grocery store. That's why it's more important than ever for you to be smarter when you're shopping for food.

• Buy what's on sale and skip what's not. This is a strategy called product substitution.
• Use non-traditional channels like warehouse clubs for buying food.
• Become more adept at using coupons by checking CouponMom.com and similar sites that will help you save when you shop.
• Shopping at Aldi can reduce your food costs by 40% over traditional supermarket prices without you having to do any couponing. Sure, you give up selection, service, the ability to use a credit card and the hours are limited at Aldi, but you will save big money.

Please listen to the Clark Howard show Monday-Friday 1-3 EST:
http://www.wsbradio.com/

Scripture of the Day from Dave Ramsey.com:
Proverbs 13:10 — Pride only breeds quarrels, but wisdom is found in those who take advice.

Please listen to the Dave Ramsey show live on WOR 710 from 2-4 PM EST. You can also listen to the 3rd hour 4-5 PM EST. at Dave Ramsey.com.