Kiwis are paying more at the supermarket, at the petrol pump, on accommodation and on everyday household bills than ever before.
The cost of living crisis is hitting hard with a 12 per cent jump in grocery prices and a staggering 23 per cent jump in the cost of fruit and vegetables in the past year according to new data from Statistics New Zealand.
That follows a recent Canstar study that revealed New Zealanders are now more concerned with the cost of groceries with the rising cost of food.
So how can you reduce your household outgoings without zapping enjoyment from your life?
Be supermarket savvy
Before you even step foot in the supermarket make a list and stick to it. Check the fridge, freezer and pantry before you head out to eliminate the chance of doubling up. Buying perishables you already have at home is a waste of money that could be spent on something else.
Shop around
Consider options such as relative newcomer Costco. The American superstore has an annual $60 membership plan, but depending on how you shop this pays for itself quickly.
Buying large packs of meat and seafood can be split into numerous meals and frozen and it saves both in money spent and trips to the supermarket.
Bulk buying non-perishables such as cleaning products, coffee and pantry items saves money and the store includes price per item for easy comparison.
Shop online
Make the same list you usually would but let your fingers do the shopping. There’s newcomer Supie which promises to be cheaper than your regular shop and delivers to your door saving on time and gas. Other supermarkets offer delivery or click-and-collect and you can save your list for next time.
Online is great for avoiding impulse purchases, you can shop in season and truly stick to a budget with the checkout calculator.
Shop local
Greengrocers and markets have great prices and a variety of produce and you’re helping keep a smaller store in business.
Consider meal plans
If the budget allows, check out meal kits. They reduce food waste and are good for those who struggle with meal planning. There are always specials as companies try to lure you in and you can pick the number of nights or weeks you use them.
Don’t waste food
Food waste is expensive so buy only what you need and reduce waste. Websites such as Love Food Hate Waste have great tips on this.
Stretch out your shopping
Try and avoid a trip to the supermarket and make a tasty meal with what you have in the fridge or freezer. Apps such as Food in My Fridge can help.
Put something back
If you know you are over budget look in the trolley and put back items you know you can do without that week.
Storage is king
Invest in good storage so leftovers can be stored, heated easily, or taken as lunch the next day. A good lunch box means fruit can be chopped and shared and bigger bags of snacks can be divided.
Cook once, eat twice
A big batch of mince can be used for spaghetti one night and eaten in burritos the next.
Take snacks
When you head out, take food with you. Fill up water bottles and make to-go coffees at home, and take snacks instead of buying them.
Use an app
Find the best price nearby through an app like Gaspy. There are unmanned petrol stations that charge less and also ones aligned with Pak’nSave and Costco that offer big discounts.
Get the discount
It’s free to sign up for petrol discount cards, do it and save money per litre. Be sure to make use of the “stacking” feature. For example, at Z Energy stations you can save 6c a litre using its Pumped discount, but if you stack the savings for later on a spend of $40 or more, you can save up to 18c a litre on your third visit.
Service your vehicle
Regular services and tune-ups could reduce your fuel consumption by up to 4 per cent, the Motor Trade Association says.
Drive smoothly
Avoid harsh acceleration and braking; it could save up to 20 per cent on your fuel use.
Properly inflate your tyres
Under-inflated tyres are a contributor to increased fuel consumption.
Avoid prolonged idling
Modern vehicles are designed to operate efficiently from start-up and don’t need to be “warmed up”, the Motor Trade Association says.
Check your plan
Visit Powerswitch.org.nz and make sure you are with the best supplier for your usage.
Some people save around $600 a year just by switching plans - and that’s without changing suppliers.
Use free-power
Most providers offer an hour or more of free power a day so make sure you use it - especially in the colder months. Have the heat pump set to warm up the house and use appliances such as the dryer and dishwasher during the free period.
Clean your heatpump filter
Consumer NZ has great tips on saving money and this includes cleaning the filter on your heatpump. If you haven’t tackled this task since last winter, do it now. You’ll notice an immediate improvement in their performance.
Lower the thermostat
You should be warm enough with the thermostat on your heater set to 18-20C. Anything over that is a tad too much and you’ll be paying for the pleasure of making your place feel like the tropics, Consumer NZ says.
Turn off unused appliances
Appliances use a small amount of power while waiting on standby but add all these devices together and the costs mount. Go through the house and turn off anything you are not using.
Ventilate
You won’t need to run a dehumidifier as often if you open the windows. If you are working from home, fling the windows and doors wide open to take advantage of the free ventilation provided by the wind.
Break out the slow cooker
Not only can you cook cheaper, tastier cuts of meat, but a slow cooker also costs peanuts to run. It’ll probably only cost you 50c in power to make a dinner that’ll feed the whole family.
Use the clothesline
Dry your clothes for free outside. Even if you can’t dry your washing completely, hanging it outside to remove some of the moisture will save a few dollars as you won’t need to run your dryer for as long.
Switch to LED
LED bulbs can be expensive to buy but they are worth the saving in the long run. A standard 60W incandescent bulb costs about 50c, but only lasts about 1000 hours. An equivalent LED lightbulb costs $18, but lasts about 15,000 hours. It works out at a saving of $14.30 each year for each bulb.
Wrap your cylinder
If you have a hot water cylinder, wrap it up with insulation. You need about 5cm clearance around the cylinder. And check your water isn’t too hot – it needs to be 60C to prevent bacteria growing, but doesn’t need to be any hotter.
Negotiate your plan
As with any service provider it’s worth getting in touch every now and then to make sure you are on the right plan. There might be a better deal or an offer such as a free movie subscription for new or loyal customers.
Get more support
Your local financial mentor can give you free, in-depth and confidential support to help you make the most out of your finances.
Prepare a budget
Set money aside for things you know are coming up and set up automatic payments for just after payday so you aren’t tempted to spend it.
Go online
There are many social media pages that help households of all budgets and sizes with money-saving tips. From feeding city-based families of five to living off the land on a lifestyle block, there is something for everyone.
Look at the big picture - and the big costs
Are you a two-car family that could function with just one? It might mean using public transport and the occasional Uber but it saves not only on the cost of the car but also insurance, road user charges and petrol. The same goes for any movie subscription or gym membership you hardly use. Simplify what comes out of your bank account each month and breathe easier.
Ask for help
If you are really struggling and wondering how you are going to pay your bills and feed your family ask for help. There are plenty of great community services and food banks that can help in emergency situations and with planning going forward.
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