Inflation is no joke. Whether it’s gas prices hitting record highs, grocery bills skyrocketing, or rent sneaking up, it feels like everything’s more expensive. But instead of panicking, you can save money and even thrive during inflation by making small, everyday changes that add up over time.

In this guide, we’ll break down practical strategies you can use in your day-to-day life to cut costs and save more. By being proactive, you can avoid the financial squeeze that inflation brings and even come out ahead.

1. Optimize Your Grocery Shopping

Grocery shopping is one area where inflation is particularly noticeable. The cost of food has risen significantly in the past few years, and according to the U.S. Bureau of Labor Statistics, food prices jumped by 4.3% in 2023 alone. But don’t worry—you don’t have to subsist on ramen noodles just yet. Here are a few ways to shop smarter and save money at the grocery store.

• Buy in bulk: Purchasing non-perishable items like rice, pasta, canned goods, and even household essentials like toilet paper in bulk can help you save significantly. Stores like Costco or Sam’s Club often offer bulk products at lower per-unit prices.
• Use coupons and cashback apps: Apps like Ibotta and Honey allow you to get cashback or discounts on everyday purchases. Many grocery stores also offer digital coupons through their own apps.
• Switch to store brands: Store-brand items are often made by the same manufacturers as name-brand products but cost less. According to Nielsen data, private-label products can save you up to 30% compared to name brands.

Pro Tip: Plan your meals ahead of time and stick to a shopping list. Impulse buys and unnecessary extras can quickly add up, especially when prices are inflated.

2. Reassess Your Subscriptions and Memberships

Subscription services can quietly drain your bank account, and during inflation, every dollar counts. While it may not seem like a lot, spending $10 on a streaming service here, $20 on a fitness app there, and another $15 for a subscription box can add up to hundreds of dollars a year.

Here’s how to take control:

• Audit your subscriptions: Take a close look at all your recurring payments. Do you really need five streaming services? Are you actually using that gym membership? An app like Rocket Money (formerly Truebill) can help track and cancel subscriptions you no longer use.
• Negotiate or downgrade: Call service providers and negotiate a lower rate, or consider downgrading to a cheaper plan. Many companies are willing to offer discounts to keep you as a customer.

Pro Tip: Set calendar reminders for free trials. Subscription services love to hook you with a free month, but once that trial is up, you’re stuck paying unless you cancel on time.

3. Embrace Energy Efficiency

As inflation pushes up the cost of utilities, finding ways to cut your energy use will help save you money. A few small changes around your home can add up to big savings on your utility bills over time.

• Switch to LED bulbs: LED bulbs use 75% less energy than incandescent lighting, according to the U.S. Department of Energy, and they last 25 times longer.
• Install a smart thermostat: A programmable or smart thermostat can automatically adjust the temperature when you’re asleep or away from home, helping to lower your energy usage. You can save up to 10% a year on heating and cooling, according to Energy.gov.
• Seal gaps and cracks: Make sure your windows and doors are sealed properly to prevent drafts. You can also add weather stripping or caulking to further insulate your home and reduce heating and cooling costs.

Pro Tip: Many local utility companies offer rebates or discounts on energy-efficient upgrades like smart thermostats and LED bulbs. Check with your provider to see if you can get some money back for making these energy-efficient changes.

4. Drive Smarter

Gas prices have become a major pain point during inflation, with prices surging as much as 10% in 2023, according to Energy Information Administration data. Luckily, there are ways to ease the pain at the pump.

• Carpool or rideshare: Share rides with co-workers or friends whenever possible. Apps like CarpoolWorld or SplitTariff help match you with people heading the same direction to cut down on gas costs.
• Use fuel rewards programs: Many gas stations offer rewards programs, like Shell Fuel Rewards or Exxon Mobil Rewards+, that give you discounts on fuel when you shop or dine at partner locations.
• Maintain your vehicle: Keeping your car in top shape can improve fuel efficiency. Simple maintenance like checking tire pressure, replacing air filters, and getting regular oil changes can improve gas mileage and save you money in the long run.

Pro Tip: Slow down! Driving aggressively (speeding, rapid acceleration, and hard braking) can lower your gas mileage by 15% to 30% at highway speeds, according to FuelEconomy.gov.

5. Build a Cash Reserve to Hedge Against Inflation

If inflation is making your money lose value over time, it’s tempting to keep your savings locked away in a traditional account where it feels “safe.” But here’s the thing: that money isn’t working for you if it’s sitting in a savings account earning a measly 0.01% interest.

Here’s how you can build a cash reserve that actually grows:

• High-Yield Savings Account (HYSA): Look for a HYSA that offers interest rates between 4.00%-5.25% in 2023. These accounts can keep your emergency savings growing at a rate closer to inflation.
• I Bonds: Consider investing in Series I Bonds, which are designed to keep pace with inflation. They currently offer around 4.3% interest and are a safe, low-risk option for protecting your savings during inflationary periods.
• CDs (Certificates of Deposit): CDs offer fixed interest rates and can provide better returns than traditional savings accounts. Be sure to compare rates to find the best option.

Pro Tip: Don’t lock all your savings away in accounts that penalize you for withdrawing money early. Keep a mix of highly liquid funds (like in an HYSA) and long-term investments (like CDs or I Bonds) so you’re ready for any emergency expenses.

6. Cut Back on Dining Out

Going out to eat is one of the quickest ways to burn through your budget, especially when inflation is pushing food prices higher. According to Fox Business, the cost of dining out reached its highest level since the 1970s. While no one is saying you have to cook every single meal, cutting back on dining out can save you hundreds, if not thousands, of dollars a year.

• Meal prep: Set aside time each week to plan and prepare meals in advance. Having food ready to go in your fridge or freezer will make it less tempting to order takeout.
• Cook in bulk: When you cook larger meals, you can stretch them over multiple days or freeze leftovers for later, making your dollar go further.
• Use restaurant deal apps: If you do decide to eat out, use apps like Groupon or Living on the Cheap to find restaurant deals and discounts. You can often find great savings on local spots or chain restaurants.

Pro Tip: If you want to dine out while staying on budget, try splitting meals, going for lunch instead of dinner (when prices are often lower), or just ordering appetizers.

7. Shop Secondhand

Inflation hits retail prices hard, making clothing, furniture, and even electronics more expensive. A savvy way to save money and still get what you need is to shop secondhand. Thrift stores, consignment shops, and online marketplaces can offer huge savings without sacrificing quality.

• Check local thrift stores: Stores like Goodwill and Salvation Army can have fantastic deals on clothing, furniture, and home goods.
• Shop online marketplaces: Websites like eBay, ThredUp, and Facebook Marketplace offer secondhand products at a fraction of the cost of new items.
• Attend local garage sales: Garage sales are an underrated source of bargain hunting. You can find clothes, electronics, books, and even furniture at a fraction of their original prices.

Pro Tip: When shopping secondhand online, set up alerts or notifications for specific items you’re looking for. That way, you’ll be notified when a new listing matches your search, helping you score the best deals.

Final Thoughts: Saving Money Every Day During Inflation

Inflation doesn’t have to be a financial death sentence. By making small changes in your everyday life, you can cut back on costs, save more money, and even thrive while prices are rising. Whether it’s optimizing your grocery shopping, cutting back on energy usage, or shopping secondhand, these strategies can help you stay ahead during tough times.

Start by taking one or two of these strategies and implementing them today. Every little bit adds up, and the sooner you start, the more you’ll save in the long run. Check back with 30andRich.com for more inflation saving tips!