Are rising food prices having an impact on your budget?
The average Canadian family makes about $68,000 a year after-tax and, judging from all the talk of bulging debt loads, spends about 15 to 20% more than that. But where does it all go?
Last year, The Atlantic took a look at how Americans earn and spend money, noting that while housing costs have gone through the roof, the amount of money most people spend on food has dropped sharply over the years, even when you include eating out.
But recent Canadian data tells a different story. A Statscan report this week showed the five-year cumulative food price inflation between 2007 and 2012 is one of the highest in 20 years, led by big jumps in staples such meat, bread and eggs.
While the price of the items, excluding food, went up by a cumulative 10.7 per cent during that time period, food prices went up 19 per cent. Meat saw an 18-per-cent increase over the five years, the cost of eggs rose 25.8 per cent, while coffee and tea grew by 26.8 per cent.
So it's not surprising to hear that the majority of Canadians are tightening their belts and making smarter decisions when purchasing food. In a recent survey, 57 per cent say they're doing more comparison shopping than they have before.
At the same time, 41 per cent describe themselves as being more budget conscious or less likely to make impulse purchases.
By Gordon Powers, MSN Money
Posted by: Larry | Jul 2, 2021 10:17:15 AM
Of course they do. I have been living in Canada for a while already. And these are the worst times for me. In general everything isn't that bad. But the food prices are quite too big for my pocket. I cannot afford buying exactly the same food I could let's say 3 months ago. The government should better start doing something about it. To be honest, I had to even apply for http://northenloans.ca/payday-loans-in-prince-edward-island.html because I had no other choice. Hopefully recent Canadian data is about to change completely as we cannot afford higher prices.
Posted by: TC | Jul 3, 2021 12:56:09 AM
All I can say as a senior male is that the increase in food prices have driven me to (finally!) do something about my unhealthy diet. I didnt just drop my T-bones and Tenderloin habit, I have basically dropped all red meat from my diet and try to have 3-5 meals per week that are vegetable only. I also bring NO beer into the house without a planned event (If I/we feel like a beer we usually hit one of the local pubs) and probably have 3-5 beers every 2 months. Dropping red meat and increasing vegetable intake isnt only healthier, its easier on the pocketbook, by at least 10% in my case. I shop sales, use my freezer wisely, and I have not increased my budget for food in almost 8 years. I am finding it a challenge to maintain that budget in todays world, but not impossible.
Posted by: Cc | Jul 3, 2021 2:15:01 AM
I live on a fixed income and not yet getting my old age pension. I do live alone and have never bought meat, except for chicken if on sale. I know I'm not eating right as I can't afford to. It seems that every time I get groceries, something else has gone up in price and I don't mean by a few cents. It goes up in leaps and bounds! It's devastating, especially when I try to budget and that's so hard to do with the leaping prices of food. I used to pick up a few things for my grandchildren but I can't do that anymore. I do this as their mom is a stay-at-home mom. I just dread going in the grocery store as I know it will take a big chunk out of my budget, then try to make the rest stretch to pay the rest of my bills. It is quite frustrating indeed, especially for those on a fixed income.
Posted by: Rejeanne | Jul 3, 2021 6:53:34 AM
'The average Canadian family makes about $68,000 a year after-tax "
AVERAGE being EVERYBODY'S salaries divided by the total population
That is so totally bull........ How can people manage with the minimum wage being at approximately $10 per hour. "The average Canadian family in reality makes approximately $40,000 a year after-tax" That is the reality. Ontario taxpayers pay a maximum of 17% income taxes even when earning over $100,000 per year. And where is the parliament of Canada situated. The Prime Minister, the ministers, brief, all government leaders know very well how to protect their personal interests and their expense accounts.
Who with half a heart would expect anyone to manage at $10.00 per hour with rents at a minimum of $900.00 and themselves earning $150,000.00? Food? Did anyone say Food?
Posted by: D. G | Jul 3, 2021 7:36:16 AM
I hear what every one is saying, I love eating salads and jus lately I have notice the price of lettuce. 3 something and there is nothing in lettuce. I even asked the stor clerk and he could not answer me. The price for something you need is so out of wack if you ask me. Like they say the the rich have all the advantages while regular Joes are just trying to get by and the government does not seem to care about the little person. We can starve and they would not care. I laugh at my Doctor he say eat healthy, and I always think to myself does he even know the cost to eating health and I do try....
Posted by: Linda La Shomb | Jul 3, 2021 7:58:10 AM
The majority of people do not earn $68,000, most earn much less , pay high taxes and hydro, there is little left over for food. I am not sure where you collected your data, but it's wrong.
Posted by: Rob | Jul 3, 2021 8:12:20 AM
I see only one comment that hit the nail on the head. The facts behind the average wage in Canada is bull shit. The vast majority of Canadians have low minimum wage paying jobs. In Ontario the minimum wage is $10.25 an hour, if you are lucky enough to have a full time job at 40 hours a week works out to a gross income of $20,500 for 2000 hours of work. If you subtract 17% for your deductions that leaves you $17,015 to live on for the year. Even if two people were working at that wage it would still only be $34,030 that is a far cry from $68,000 after tax. Conservative properganda on the average wage no dought.
Posted by: A.C. | Jul 3, 2021 8:19:36 AM
I think everyone can agree that food prices are skyrocketing and there's nothing the government can do about it without raising the taxes of everyone which completely defeats the purpose of the effort. My only question is how did the writer come up with the $68000 a year average income. That number is so off the chart its not even remotely close to being correct.
Posted by: MrKenn | Jul 3, 2021 8:20:56 AM
Yes groceries keep going up in price. Our pensions do not keep up with inflation. THEN Sobey's buys Safeway for multi millions ! We know they have to get that money back from somewhere. Open your wallets people
Posted by: B.E | Jul 3, 2021 6:58:02 PM
I completely agree with those saying that the average household income is bull, very few people I know even come close to having family incomes in the 50'000 mark let alone 60'000. The higher prices aren't affecting the people with extra money to spend its hurting the people making 15'000 a year and trying to get by. Where did you get your facts