The nickname for Whole Foods up here is "Whole Paycheque"!!
I've pretty much ditched conventional grocery stores (with the exception of Costco for staples, and a chain store for certain things like spices, crackers, cereal, etc. - Costco every 6 weeks, chain store every 4 or so) as the quality really isn't all that great. I've found that I can save more money buying meat from the butcher or farm (this week, the chain store had organic ground beef "on sale" for 5.99/lb....the organic butcher's REGULAR price is 3.49!), produce from the greengrocer or farmer's market, etc. I buy only organic meat and poultry, some organic produce (like Sierra, I concentrate first on the items most affected by pesticides, then go from there), and organic milk and eggs (milk due to the icky stuff in conventional milk, and eggs because I abhore how battery chickens are treated) . Other items, like breads, I often make myself.
I have a pretty limited budget each week, but still manage OK, even with buying the organic items I do. I shop seasonally, which saves a lot of money, and stock up when I find great deals (ie, green beans were very cheap here this week, so I bought tons! Blanched them, and froze them in batches so I'll have lots to last through the fall. Did the same thing with strawberries, and am still adding to my blueberry stock). Preparing items from scratch will nearly always save money - baking bread costs pennies a loaf compared to dollars. I also use Costco for many of my staples - rice, flours, whole wheat pasta, etc. Buying these items in bulk costs more upfront, but saves money in the long-term.
We're also getting used to eating less meat in dishes. For casseroles, stews, etc., I bulk them out with lots more vegetables so that the meat is stretched and the dish is healthier - the added bonus is less meat = less money. I'm learning to like beans, which are so inexpensive and so good for you. We start every meal with a salad (usually spinach), which means we're eating less of the main dish - this lets me stretch a meal over 2 days, or else freeze the leftovers for a later time.
Oh, and I've found I save a TON of money purchasing spices from the bulk section of the regular grocery store. The turnover is quite high so the spices are fresh, and I can buy just a little if that's all I need. Full spice jars sell here for about $4.00, yet I can fill a jar using the bulk spice for about $0.30.
I've also simplified my cooking. That's not to say the meals are boring, just that I've started to steer away from recipes that require tons of ingredients, or a visit to the store for a few items I need ONLY for that recipe (unless it's for a special occasion or something). This saves a lot of money, too!
