MizPat, people refute the 1% you're getting back by saying that you spend more w/ a credit card (or debit card) than with cash b/c cash "hurts" when you spend it. My wife and I are implementing cash only groceries for the next six months to test this theory.
We do 1% also, autopay the balance in full each month directly from our checking account. The 1% is the equivalent of a month's worth of groceries over a year. Like you said, that's a lot of groceries
