I hear ya, sister. I have $219...oops they just raised it to a WHOPPING $253!...in foodstamps for our family of six (ok, dd is still bf). For the most part, that is all I spend. Some of my $$$-saving tricks include:
Frozen veggies, mixed are best, but also spinach and broccoli
Bags of apples, or the large baskets from local growers during harvest.
And I only buy what is on sale and work our menus around that. With some practice you will find that sales go in cycles at certain stores and you can predict when the frozen veggies will be 88cents instead of $1.39.
I do only buy natural peanut butter, and not much snack food.
Applesauce is easy to make, just peel,core, chop, add a little water and cook til mushy. Buy canned crushed tomatoes and add your own seasonings while it's heating up for a good spaghetti sauce.
Learn to make a good cream sauce, add veggies, tuna, chicken, choppped boiled eggs, etc...serve over toast. Kids love that. It's our comfort food.
We also buy frozen ground turkey for 99cents/lb and use it in place of ground beef.
Master a good lentil soup recipe (Moosewood Cookbook).
PM me if you want our Fudgie No-Bake recipe, uses oatmeal and is a good quick cookie for the family's sweet tooth.
It is hard to see all the crap people buy, I used to be a cashier at a grocery store. But, with a little practice, you can spend a lot less and buy good basic real food. Even if it's not organic. But if the organic is on sale, you can bet your bottom dollar I stock up on it!
Hope that helps.