Business

Why is food so expensive? Hialeah, Miami among U.S. cities that spend the most

Overheard from a couple’s table at a Miami restaurant: “Order picadillo because I am a poor man.”

Yes, it wasn’t that long ago when a hearty dish of rice and ground beef was an inexpensive choice. But not anymore.

Today, a flank steak can cost up to $56 at a supermarket in Miami or Hialeah. A tray of picadillo that used to cost $7 can now reach $18. And a package of coffee, a beverage that’s part of the city’s DNA, is above $12.

The rise in grocery prices is a topic of conversation, from the checkout line to the family dinner table. Food inflation — some of it becase of tariffs — is real. According to the Department of Labor, food costs have risen 3.2% over the past 12 months, and that can mean an extra annual expense of $2,400 for families, according to Yale.

The overall grocery price increase hits harder in cities where people earn less. Hialeah ranks sixth among U.S. cities where people spend the most on groceries, according to a study by the financial site WalletHub.

The price of picadillo rose 12.8% in one year, eggs 10.9%, and coffee 20.9%, Axios reported.

People in Detroit spend the most on groceries, which have an average cost of nearly 3.8% of the median household income. Picadillo isn’t the most expensive food in Detroit — lettuce holds that distinction, with the 10th highest price in the nation. Next come sugar (the 14th most expensive in the country) and whole milk (the 17th most expensive nationwide).

The fundamental problem is that Detroit residents have the second-lowest median household income in the country, $39,575, which means each dollar they spend on food takes a large portion of their income.

Hialeah, the sixth most expensive city to buy food

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For years Hialeah residents valued the convenience of the bodeguitas, small family-owned shops whose big advantage is convenience, even though their prices are higher. With that in mind, when they wanted to save on the weekly grocery run, they turned to big supermarket chains, which can offer better prices because they buy food wholesale and in larger quantities.

But those savings are now gone. Hialeah is the sixth U.S. city where residents pay the most for groceries relative to the median household income, which is $53,079 a year, according to the latest U.S. Census data.

Hialeah’s roughly 225,000 residents spend 3% of their income on food, which, compared with the city that spends the least, Fresno, California, at 0.96%, is a significant difference.

“In cities where people spend more on groceries, residents often have low incomes in addition to facing high prices for common grocery items,” said Chip Lupo, a WalletHub analyst.

Food spending squeezes low-income families

Florida’s minimum wage just increased in September to $14 an hour for regular workers and $10.98 for tipped workers. The raise is still insufficient relative to the cost of living. According to an analysis by United Way of Florida, the hourly income needed to live stably in Florida is nearly $17.

The high cost of housing in South Florida combined with the credit card debt many Miami and Hialeah residents carry is a dangerous mix that competes with the portion of the household budget residents can allocate to buying food.

The average rent for an apartment in Hialeah is $2,397 a month, which is $447 more than the national average, according to October market trends compiled by real estate site Zumper. The good news? That average rent in Hialeah fell 10% compared with last year, aligning with the nationwide decline in housing rent costs.

Another major expense in South Florida is car payments, which are considerable for Hialeah residents: The city ranks fourth among cities where auto debt has increased, with the national average at $14,000, according to a study published in May by WalletHub.

The price of coffee hits many Hialeah families hard, who also send food to relatives in Cuba, where coffee is almost indispensable and is completely scarce or very expensive in dollar-priced stores on the island.

Where does Miami rank in grocery spending relative to residents’ income?

Miami is in 12th place, with 2.68% spent on groceries, well above Jacksonville (2.26%), Orlando (2.20%) and Tampa (2.15%), where food costs at markets are cheaper.

SNAP cuts add to high food costs

The nutrition of low-income families and many retirees who depend on Social Security is even more worrying in light of changes to the Supplemental Nutrition Assistance Program, which nearly a quarter of households in Miami-Dade County rely on.

President Donald Trump’s One Big Beautiful Bill includes cuts to SNAP benefits totaling $287 billion over the next 10 years. Changes were also made to work requirements for those receiving food stamps. Adults without dependents up to age 64 must work, participate in job training, or volunteer at least 20 hours per week to receive benefits for more than three months in a three-year period. Exemptions are provided for people with disabilities, veterans, people experiencing homelessness, and those with children under 14.

Lupo, the WalletHub analyst, advises “taking advantage of deals and coupons, buying generic items, and, if possible, buying in bulk” to save on groceries.

“It’s also a good idea to use a credit card that gives a good amount of rewards on grocery purchases,” he said,”and pay it off in full each month.”

This story was originally published October 10, 2025 at 10:42 AM.

Sarah Moreno
el Nuevo Herald
Sarah Moreno cubre temas de negocios, entretenimiento y tendencias en el sur de la Florida. Se graduó de la Universidad de La Habana y de Florida International University. @SarahMoreno1585
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