Eating out is costing you 3% more than eating at home

Where did you eat last night? At home or a restaurant?

It has been noted many times that people are eating at home and eating at restaurants or taking out food at the same rate (SEE: Chart: Spending on food at home vs. away aligns). This was unheard of decades ago, when patronizing an establishment was a treat that happened once a week or month. Now, families are turning to restaurants for their dinners on a regular basis.

But while it is convenient to eat a delicious hamburger at a diner, it is costing you plenty.

In fact, according to the Bureau of Labor Statistics (courtesy of MarketWatch), the costs of eating out are rising much faster than the price of groceries.

Here is a chart:

Using the consumer price index, the cost of meals prepared outside the home have surged more than three percent in the last 12 months. However, the price of groceries has risen just one percent in the same time frame.

And, you can thank the rising minimum wage for surging restaurant prices. Supermarkets do not depend on labor as much as a restaurant does.

Perhaps it would be smarter for your wallet to stay home tomorrow night for dinner.