GMR 188: How Much of Your Budget Should You Spend on Food?

Food is one of the primary expenses in our budget and a basic need. The cost is necessary, but the amount you spend each month can vary based on personal choice. In this episode, we break down the different costs associated with preparing your own meals, fast-food/take-out, or going to a sit-down restaurant. The difference between these will surprise you.

How Much of Your Budget Should You Spend on Food?

Average Cost For Two People

• Fast Food - $20

• Fast Casual - $25

• Sit Down - $35

• Fine Cuisine - $50

• Home Cooked Meal Self Prepared - $5 (assumed eating leftovers)

• Store-Bought Frozen Pre-Prepared - $10 (assumed eating leftovers)

Preparing Lasagna

5.34 + 1.38 + 1.38 + 1.86 + 1.14 + 5.00 = $16.11 = 11 Servings

Restaurant per serving cost is $10-12

Average Cost For Four People

• Fast Food - $30

• Fast Casual - $35

• Sit Down - $50

• Fine Cuisine - $100

• Home Cooked Meal - $8 (assumed eating leftovers)

• Store-Bought Frozen Pre-Prepared - $16 (assumed eating leftovers)

Drinks

Restaurant - $2 per servings

Store-Bought Soda - $0.50

Bags of Tea - $0.10

Water - $0.01

Total Monthly Costs - Family of 2

Home Cooked & Store Bought Only - $740 month

With:

• Fast Food 3X per Week - $740 + $240 = $980

• Sit Down 3X per Week - $740 + $480 = $1,220

• 1X Fine Dining + 2X Sit Down - $740 + $680 = $1,420

Total Monthly Costs - Family of 4

Home Cooked & Store Bought Only - $1,020 month

With:

• Fast Food 3X per Week - $1,020 + 480 = $1,500

• Sit Down 3X per Week - $1,020 + 960 = $1,980

• 1X Fine Dining + 2X Sit Down - $1,020 + $1,360 = $2,380

Home Serving Costs 

• 2 People = $3 Meal * 180 Meals = $540 + $200 for Misc House Products = $740

• 4 People = $2 Meal * 360 Meals = $720 + $300 for Misc House Products = $1,020

Cost in Percentage of Income

• Yearly $60,000 = $5,000 (monthly)

  • Family of 2 = 15%

  • Family of 4 = 20%

David Example

•       Grocery + Entertainment

  • Mar - $550 + $230 = $780

  • Apr - $500 + $250 = $750

  • May - $580 + $250 = $730

  • June - $550 + $250 = $800

  • July - $800 + $230 = $1,030

  • Aug - $600 + 200 = $800

    • Caveat - Personal Spending Categories $100 

Leo’s Example

Groceries total for 2021 $7,345 - average $612

Eating-out total for 2021 $2411 - average $201

Resources

Budgeting tools and other free resources - https://leosabo.com/resources
David’s website - www.stewardshippastors.com