The Clark Howard Podcast – Episode Released July 21, 2025
Title: SAVE MORE: On Food And On Shipping Packages

In this episode of The Clark Howard Podcast, host Clark Howard delves into the pressing issues of rising food costs, challenges within the restaurant industry, smart dining out strategies, warehouse club memberships, the struggles of the Postal Service, affordable shipping alternatives, appliance replacement decisions amidst tariffs, managing credit scores when switching credit cards, and navigating arbitration clauses in financial planning agreements. Below is a detailed summary capturing the key discussions, insights, and conclusions from the episode.

1. Rising Food Costs and Restaurant Industry Challenges

Clark Howard opens the discussion by addressing the significant impact of inflation on American families' food budgets. "The average American family spends almost 9 cents of each dollar that a family spends on food. And it's a bigger percent of our family budget than it used to be" (00:04).

He elaborates on the struggles faced by the restaurant industry across all segments—from fast food to upscale dining. Increasing costs in labor, rent, utilities, insurance, and credit card processing fees are squeezing profit margins. "They are just getting clobbered... by labor costs, rent and food costs. Utilities have been going up as well and insurance and credit card processing fees. It goes on and on and on" (02:30).

Moreover, Clark points out that the food industry is shifting away from red meat due to its high costs. Supermarkets are stepping in by offering a variety of ready-to-eat options to compete with fast food, further intensifying the competition.

2. Strategies for Saving on Dining Out

Despite the challenges, Clark shares practical strategies for consumers to save money while dining out. He recounts a personal experience: "We took 21 to 31. So that got close to what you said" (05:46), highlighting how creative choices during happy hours can significantly reduce dining expenses.

Clark emphasizes the importance of leveraging specials and promotions. For instance, he mentions enjoying four burritos for the price of two through a "Bogo" (Buy One, Get One) deal and participating in themed promotions like "rock and roll day" for additional savings.

He advises listeners to be inventive and seek out deals that align with their preferences, ensuring that treating oneself doesn't "eat up your wallet."

3. Navigating Warehouse Club Memberships: BJ’s, Costco, and Sam’s Club

Listeners posed questions about warehouse club memberships, specifically comparing BJ’s Wholesale Club, Costco, and Sam’s Club.

Robert from Texas inquired about BJ’s Wholesale Club, to which Clark responded: "BJ's Wholesale doesn't have that kind of buying power because they have wider selection... you might find 15 types of a product instead of three" (08:31). He noted that BJ’s offers a broader selection but at slightly higher prices compared to Costco and Sam’s Club.

For those considering international memberships, Tom from Oklahoma asked about using a Spanish Costco membership for U.S. benefits. Clark explained that while overseas memberships are cheaper, accessing full U.S. benefits like online ordering and travel perks would require switching to a U.S. membership: "If you want to do more and more with Costco, you give up the deal you have on the Spanish membership and you spend the money for a US membership" (10:54).

Additionally, Jeff from Georgia sought advice on Costco products and services. Clark praised Kirkland Signature products, specifically recommending Kirkland Signature toilet paper, and shared his positive experiences with Costco’s employee-first approach and low markups.

4. The Postal Service Crisis and Affordable Shipping Alternatives

Clark shifted focus to the dire state of the United States Postal Service (USPS). He criticized the USPS for its "brutal" management and lack of technological advancements compared to private carriers like FedEx, UPS, and Amazon. "Postal Service technology, forget about it... It is a dysfunction junction right now and not the workers' fault" (16:11).

To combat USPS inefficiencies and rising prices, Clark recommends alternative shipping services such as Pirate Ship. He shared a personal anecdote: "We shipped up to 70 pound boxes, UPS ground and through Pirate Ship paid crazy little money compared to retail" (19:35). These services leverage group buying power to offer significantly lower shipping costs without membership fees.

5. Appliance Replacement Decisions Amid Tariffs

John from Arizona raised concerns about replacing aging appliances in the context of increasing tariffs. Clark advised a balanced approach: "if you have something that you know a particular one of your appliances, it's ready to just die, you can tell it's done, go ahead and replace that. But the others, just because they're old and maybe a little cranky, wouldn't necessarily replace them" (20:35).

He explained that while tariffs are expected to cause a 10-25% increase in appliance prices, this does not warrant replacing fully functional appliances. The focus should remain on replacing only those units that are failing or inefficient.

6. Managing Credit Scores When Switching Credit Cards

Irene from Florida questioned the impact on her credit score when switching to a Platinum American Express card with no preset spending limit by canceling other high-limit cards. Clark warned: "you’re going to devastate your credit score because the percent of available credit you're using accounts for almost a third of what makes up your credit score" (23:49).

He recommended not canceling existing cards but rather downgrading them to those with no annual fees to maintain available credit. This strategy helps preserve her excellent FICO score of 805 while transitioning to a new credit card product.

7. Dealing with Arbitration Clauses in Financial Planning Agreements

Mike from Ohio expressed concerns about mandatory mediation arbitration clauses in his financial planner's engagement agreement. Clark acknowledged that such clauses are standard in the financial planning industry: "it's standard operating procedure... that is very rarely known" (25:58).

He advised focusing on whether the financial planners operate as fiduciaries, ensuring their primary responsibility is to the client’s best interests. Clark stressed the importance of understanding the implications of arbitration clauses but highlighted that they are commonplace and typically unavoidable in the industry.

Conclusion

Clark Howard wraps up the episode by reiterating his commitment to empowering listeners with actionable financial advice. He encourages the audience to visit Clark.com and ClarkDeals.com for more resources and to join the conversation by submitting questions.

Key Takeaways:

• Food Inflation: Americans are spending a higher percentage of their budgets on food, impacting both consumers and the restaurant industry.

• Saving Strategies: Utilize happy hours, specials, and promotions to enjoy dining out economically.

• Warehouse Clubs: Choose between BJ’s, Costco, and Sam’s based on selection needs and membership benefits, considering international versus domestic memberships.

• Postal Service Alternatives: Explore services like Pirate Ship for cost-effective shipping amidst USPS challenges.

• Appliance Decisions: Replace only when necessary, as tariff-induced price hikes are moderate.

• Credit Management: Maintain credit scores by not drastically reducing available credit when switching cards.

• Financial Agreements: Be aware of arbitration clauses and prioritize working with fiduciary financial planners.

For more insights and personalized advice, visit Clark.com or reach out to Clark and Team Clark through their various platforms.

Timestamps

• 00:04 – Introduction to food budget challenges
• 02:30 – Restaurant industry cost pressures
• 04:52 – Personal dining out cost-saving anecdote
• 05:46 – Savings on restaurant bills
• 08:31 – BJ’s Wholesale Club insights
• 10:54 – International Costco membership advice
• 13:57 – Costco products and services
• 16:11 – USPS critique and alternative shipping
• 19:35 – Pirate Ship shipping method
• 20:35 – Appliance replacement amid tariffs
• 23:49 – Managing credit scores when switching cards
• 25:58 – Arbitration clauses in financial planning
• 26:29 – Conclusion and final thoughts