Abstract: Grocery bag with pockets with a first grocery bag and a plurality of second grocery bags. The bags are rectangular in shape. The first grocery bag has three vertically stacked, external pockets attached to one broad side surface. Each pocket is similar in width to the width of the broad surface of the first bag. Each the pocket is approximately one third the height of the broad surface of the first bag. The first and second grocery bags have sewn on carry handles. The second grocery bags can be folded and inserted into the first grocery bag pockets. The first grocery bag capable of being folded into thirds so that the second grocery bags contained within the pockets of the first grocery bag are also folded within the first grocery bag causing the first and second bags become a single, easy to carry unit.