Food-at-home vs. food-away-from-home: which rose faster annually?

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Food-away-from-home (restaurant meals) rose 3.6% year-over-year in December 2025, doubling the 1.8% annual increase for food-at-home (groceries). Restaurants face higher labor costs—wages for food service workers rose substantially in 2024-2025 amid tight labor markets and minimum wage increases in many states. Restaurants also can't easily substitute ingredients when specific items spike in price, unlike home cooks. The gap matters for household budgets: lower-income families spend a larger share of income on food-at-home, while higher-income households spend more dining out. The divergence shows inflation hits different economic classes unevenly based on consumption patterns.

Food-at-home vs. food-away-from-home: which rose faster annually?

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