What cost you the most money in 2024? And how to start saving in the new year

We've copped it on costs in 2024, haven’t we? 

Energy bills. Petrol. Groceries. Coffee. Travel expenses. Concert tickets. New cars. Buying a home. Renting a home. 

You name it, pricing now seems so random that it’s pulled out of a hat! Maybe it is, how could we ever disprove it?

The result has been a very deliberate focus - a crisis, they call it, where living as a regular citizen of the world now comes at a very high premium.

And the contributing factors - 'sticky' inflation, low supply against high demand, and record-level government spending all seem out of our control. So what can we do?

How Aussies handle higher-priced living

In the first half of this year CommBank did a handy report on this topic: its data crunchers found that there were different approaches to fending off the so-called high cost crisis.

In short, CommBank said younger consumers are in the midst of belt-tightening, while older Aussies try to outspend inflation. 

"The life stage of Australians significantly influences spending patterns, with younger Australians still bearing the brunt of cost of living pressures," according to CommBank’s report. "25–29 year olds have pulled back spending by 3.5% compared to last year. When adding in inflation, consumption shrank more than 7% year-on-year. 

"At the other end of the spectrum, total spending among over-60s ran ahead of inflation. Only marginally for 60–64 year old Australians, then stepping up gradually with age."

Of course, not all of us have the luxury of outspending inflation, but maybe we can outrun it.

But what costs are we running up against, exactly?

The Australian Bureau of Statistics (ABS) notes a number of areas that have been pricey over the past year (to September), including what I like to call the three Fs - food, fuel and financial products. W-T-F!

That last F has had a real impact, with financial services really thinning the wallets of most Aussies in 2024.

As a category, it rose 6.2% in price over the past 12 months, says the ABS . Insurance (14%) was the main contributor.

More specifically, insurance saw rises in premiums across house, home contents and motor vehicle, reflecting higher reinsurance, natural disaster and claims costs. 

Meanwhile, higher real estate fees and stamp duty affected other financial services. 

Now the fun stuff.

Food and drinks are more expensive

Food prices rose 3.3% over the 12 months to September, with notable increases for fruit and vegetables, says the ABS. 

The biggest culprits? Berries, grapes, tomatoes and capsicum due to unfavourable growing conditions. I suppose if you don’t like red-coloured produce your ship has finally come in!

But maybe this all depends on where you live, because I’d toss in bread, lettuce and meat on the overpriced list, too. (Lamb cutlets used to be an Aussie dinnertime staple, remember? Was that just a dream?)

It doesn’t end there: how about those planning to make a cake for Christmas? It may be a half-baked idea, folks, as cocoa and eggs have had prices spike 9% compared to last year, says the ABS. 

Maybe you want to let someone else do the cooking then?

Well, over the year or so, meals out and take away foods climbed 3% in price. 

Okay, perhaps coffee might sustain us? Hold that thought - in some places you’ll only get a large cuppa for $7! Even good ol’ Nescafe costs a lot more than it once did.

Meanwhile, if you thought beer might offer some consolation, sorry, best to stick to lemon-lime-bitters. Over the year, beer prices frothed up by 4.8%.

I’m reluctant to go on … clothing and footwear are more expensive; childcare is up in cost; hairdressing and grooming bills have also grown out, so to speak.

How to save more money in 2025

Now the point of listing all this is not to complain but rather to consider how we might combat the problem. I’m convinced the simple things can help and comparison is simply your best tool. 

The truth is, while the best deal on fruit or chocolate or sausages might be tricky in the face of localised price differences, we can all do a better job of comparing. 

Here are some basic tips to help. Look at:

• Savings on specials and sale items.
• How much cheaper packaged items are versus loose ones.
• Bulk goods instead of a single item.
• Frozen food against canned items.
• Shopping ahead of time on seasonal or popular goods.

Besides getting a better deal, which can at least make you feel better, proper comparison should lead to more money in your pocket. This is what we specialise in here at Mozo - our goal is to help you do the most with your money. 

So give it a go! If you consistently save on your groceries or everyday bills, the extra money can quickly boost your savings.

If you’re iffy on your current savings interest rate, don’t worry. Below you’ll find a list of savings accounts we consider to be among the best in our database. 

Happy holidays and saving!