We earn a combined $190,000 a year but we were still struggling to pay the bills: This is our VERY simple secret that now saves us thousands of dollars on groceries

A young family have revealed how they save a fortune every year by using loyalty programs – as experts prove why using them correctly is a ‘no-brainer’ during the cost of living crisis.

Speaking to FEMAIL Alexandra and Zach Cain from Melbourne’s western suburbs revealed they are struggling despite earning a combined income of $190,000 a year.

The couple, who have three children under eight at home full-time, and two teenagers aged 14 and 17 from Zach’s previous relationship, use loyalty programs to manage their budget.

On the surface, the programs save them “about $600-$700” per year – but once the rewards are calculated “per store,” the family ultimately saves thousands of dollars and hours of time.

“We use Flybuys because we shop at Coles and OnePass because it gives us unlimited delivery to all the stores we like for $4 a month,” they said, adding that they could do most of their shopping from home.

Leading independent Australian customer loyalty specialist Adam Posner told FEMAIL there is a trend of Australians using the programs as the cost of living continues.

He says the trick to maximizing savings is to “stop shopping around.”

Alexandra, 39, and Zach, 38, are the perfect example of how to use the programs to save, not spend.

“We really have to plan ahead, buy in bulk and have a plan because it can be difficult sometimes,” Zach said.

He learned to budget under the watchful eye of Alexandra, who “did it long before she had children.”

Zach is a spender by nature, so trips to the store are often much more expensive than they need to be. Shopping online prevents him from making impulsive decisions.

‘With five children, a quick trip to the store to get some stuff becomes hours, and much more expensive than necessary, because they all want something. By the time you’re done, they’re hungry, so you have to buy food,” he said.

Alexandra is much smarter than her husband, she has always been good at saving and said she would rather go on vacation than blow the budget on everyday items.

Expert reveals the top ten Australian loyalty programs

Adam Posner says using loyalty programs is a no-brainer for saving

1 – Flight purchases

2 – Woolworths: Daily Rewards

3 – OnePass

4 – Amazon Prime

5 – American Express Membership Rewards

6 – Medibank Live Better Rewards

7 – ANZ Rewards

8 – Petstock Rewards

9 – eBay Plus

10 – Uber One

Source: For love or money

She explained that they use OnePass, which gives them free shipping on everything from Kmart, Target, Bunnings, Catch and Officeworks (to name a few) and Flybuys, Coles’ loyalty programme.

“We get most of our kids’ clothes from Target, buy everyday items and snacks in bulk at Catch, and often pick up things at Kmart or Office Works when we need them,” she said.

A recent Catch collection cost them $313 and came free as part of their OnePass membership.

Buying the same or similar items would have cost them $544 at Woolworths, and they would have received 60 fewer washing up tablets.

The family uses Flybuys, Coles’ free program and paid service OnePass, which allows them to get unlimited shipping from retailers like Kmart, Target, Priceline and Catch for $4 a month

“We also shop there for things like Christmas and birthdays,” Zach said.

During quiet periods the family will have one delivery a week, but it can be ‘much more’ before birthdays or during busy school periods.

“The average delivery would be $8-10 each, but we pay $4 a month. It’s super convenient because we can get just one thing delivered without having to think about what else we need to save on shipping costs. And it keeps us from spending more money on free shipping,” says Alexandra.

The couple cooks in bulk and plans ahead as much as possible to make the most of their savings. They admit that their garage is more of a warehouse for their bulk goods.

“We recently visited Maccas and it cost over $120, and it was disappointing,” Zach said.

This trip through the drive-thru was a hit for the budget-conscious couple who typically cook cheaper meals like spaghetti Bolognese in bulk for their family.

The family usually shops at Coles and earns Flybuys every time. They then try to refuel at Shell gas stations to maximize their points.

‘We normally save all the rewards for Christmas, then we use it for catering. Typically these are vouchers worth around $300, which is great at the time,” they said.

Mr. Posner explained how, as an expert, he uses loyalty programs for maximum benefit.

Zach is the couple’s natural spender – while Alexandra would rather save money on the basics to ‘go on holiday’

The couple uses Catch — which is part of their $4 unlimited delivery — for things like school snacks and cleaning supplies, which they buy in bulk a few times a year, saving hundreds each time

‘Personally, I choose loyalty programs that are based on our shopping behavior, where there will be maximum benefit both financially and a convenient experience. For me, Amazon Prime offers a simple one-click ordering experience, fast free delivery and hours of movie streaming,” he said.

“Based on the number of orders we make and the shows we watch, the value is a no-brainer.”

In his For Love or Money consumer research, Mr Posner found that more Australians are relying on loyalty programs as the cost of living continues to spiral.

Flybuys came out on top in the research into Posner’s experiences with the loyalty program, closely followed by Woolworths: Everyday Rewards and OnePass.

Amazon Prime and American Express Membership Rewards rounded out the top five.

“Consumers should look for the brands they prefer to shop with so they can maximize their chances of saving with that brand through their loyalty program, if they have one,” the expert said.

“For example, OnePass offers its members, for a small monthly subscription, free delivery from some of Australia’s most popular retailers, such as Bunnings, Kmart, Officeworks, Target and Priceline.”

The couple uses Catch — which is part of their $4 unlimited delivery — for things like school snacks and cleaning supplies, which they buy in bulk a few times a year, saving hundreds each time

Mr Posner says there is no ‘maximum’ number of loyalty programs people should have; people should simply build them based on what they already spend.

The Cain family said they spent their savings on making memories with their children.

They are also known to take fruit and vegetable subscriptions, but admit they only work if you are flexible with what you want.

They also packed a cow from their butcher three times, sharing the cuts and costs with family members and putting it in the freezer.

Alexandra also keeps an eye on expenses and ensures that only bulk purchases are made.

“It’s usually school snacks, toiletries and cleaning products. Things we use all the time,” she said.

One in five Australians have taken on a second job to stay afloat during the cost of living crisis.