Inflation Hits Summer Barbecues Hard

This weekend, many Americans looking to enjoy a barbecue might be in for a surprise before the grilling even begins. With inflation tightening its grip on household budgets, a recent report from Wells Fargo reveals that the average cost for hosting a typical summer barbecue for 10 people is around $161, which breaks down to about $16 per person.

While the overall cost of dining out has increased by 2.4% in the past year, the real bite comes from meat prices. For instance, the cost of a standard hamburger beef has surged by 14%.

Robin Wenzel, director at the Wells Fargo Agriculture and Food Research Institute, pointed out that food prices this season are highly variable. “For fresh fruits and vegetables, we might see some easing as summer rolls in,” she explained, adding that growers are incentivized by higher prices to expand their acreage. This could lead to increased supply, which might ease some of the price hikes.

However, she cautioned that those opting for convenience in the form of prepared meals should expect to face higher prices. Wenzel noted, “These items are influenced more by labor, packaging, and energy costs than by the food itself. As consumers pay for convenience, retailers are able to sustain profits through these increased prices.”

While burgers are feeling the inflation pinch the hardest, chicken and pork have also seen price increases of about 3% over the past year, with hot dogs and frankfurters rising by 5%. Ready-made items, like potato salad, are also up 3% due to the rising costs of manufacturing. Other popular foods such as cornbread have increased 4%, with raw vegetables rising by 6%. Even desserts are affected, with prices climbing by 1% to 4%.

This trend aligns with the consumer price index (CPI), a standard measure reflecting prices for everyday items, which rose 0.5% in May and 4.2% over the past year—marking the highest annual increase since April 2023.

It’s worth noting that shortcuts at the grocery store can also drain your budget this summer. For example, buying a tray of pre-cut veggies adds about $7 to your total, while fully cooked, pre-packaged ribs can cost $4 more per pound than their raw counterparts.

Wenzel suggested that hosts could save money by preparing ribs from scratch and may still consider purchasing pre-cooked vegetable trays for convenience. “When hosting on a budget, think carefully about where you choose to splurge. While cooked ribs can be pricey, pork tends to be a more economical choice compared to beef,” she emphasized.

For those looking to craft the best budget-friendly menu, Wenzel recommended incorporating side dishes with affordable ingredients like chicken, pork, and seasonal fruits like watermelon and strawberries. For dessert, cookies or ice cream may be smart options.

“If you’re having a barbecue for 10, select your protein wisely and look for good deals. Homemade versus prepared foods is a significant choice; making potato salad from scratch can save you money, though convenience definitely plays a role,” she noted. Even beer and wine prices haven’t surged much, but they still add up. Asking guests to bring their own drinks is a strategic way to keep expenses down.