Increasing the amount of money we have left at the end of the month doesn’t necessarily mean cutting back on the things we enjoy. From checking your Council Tax band to cancelling unused subscriptions, there may be several ways to save on existing outgoings.
It’s also possible that we might be missing opportunities to bring in some extra money, including familiarising ourselves with grants and benefits that we may be eligible for, and selling unwanted items on second-hand sites.
Putting a morning aside to go through your finances with a fine-tooth comb to scrutinise where you can make savings may sound like a tedious or even a daunting task, but this simple activity could be well worth it if it results in a boost to your budget.
We understand that getting started can feel overwhelming, which is why we’ve broken each task down into manageable sections.
Bills
Council Tax
Certain situations may mean that you qualify for a reduction in your Council Tax. This could include those on a low income, students, and adults who live alone.
Further information about who might be eligible for a Council Tax reduction can be found online, based on where you live in the UK. Follow the links below to direct you to the appropriate site for your current country of residence.
For more information about rates in Northern Ireland, click here.
The amount of Council Tax you pay is determined by the ‘band’ that your property falls into.
It’s estimated that as many as 400,000 homes in England and Scotland are in the wrong band. You can check your Council Tax band on the Gov.uk website and, if you suspect that it’s incorrect and you’re overpaying as a result, you can challenge it by presenting evidence to support your claim.
Household energy bills
There are numerous ways to lower the cost of household energy bills.
You can heat your home for less with simple swaps such as investing in draught snakes and electric blankets, closing your curtains as soon as night draws in, and by moving sofas and large objects away from radiators to allow the warmth to evenly distribute around the room.
Limiting your showers to four minutes could save you up to £60 a year on your water bill.
Phone bill
If you’ve paid off your handset or bought your phone outright and are happy to keep it, a SIM-only deal could work out cheaper than a contract.
Compare the Market allows you to look into different monthly contracts and SIM-only deals so you can find the best value package to suit your needs.
Discovered a deal with a different company? Before you commit to making the switch, it may be worth calling up your existing provider and explaining the situation. They may be keen to keep you as a customer by matching the deal or even offering you a better one.
Benefits, Grants & Schemes
It is estimated that eligible UK households are missing out on an annual £1.9 billion worth of benefits.
From financial help for those actively searching for work to free childcare, there are many different types of benefits and schemes you might be eligible for on the Gov.uk website.
You can check to see if you may be entitled to any additional support by using the Turn2us benefits calculator.
Check out our blog on How to Pay for the Cost of Childcare for a full breakdown of the numerous schemes available.
Debts
Balance transfer credit cards
Do you have balances owing on more than one credit card? If so, you may be thinking about looking into a balance transfer credit card. A balance transfer credit card allows you to combine your existing borrowing to one new credit card account; having all your debts in one place may make them easier to keep on top of and some balance transfer credit cards offer a low introductory interest rate.
However, you should be aware that you may be charged a balance transfer fee, and that any outstanding balance remaining once the promotional period comes to an end will be charged at a higher rate of interest.
Before deciding whether this type of credit card is right for your circumstances, it’s very important to ensure the rate of interest on the balance transfer credit card is lower than the interest rates you’re paying on your current credit cards. As with any financial product, it’s important to read your terms and conditions in full so you understand how it works and whether it is right for you.
Debt consolidation loans
A debt consolidation loan is when you take out a loan to pay off your existing debts. Combining your debts into one account could make it easier to keep on top of your repayments, as you’ll only have one to make each month, rather than multiple.
To find out if a debt consolidation loan could be useful, look at the amount of interest you are currently paying across all your outstanding borrowing. You should aim to find a loan with a lower rate of interest than you are currently paying across your existing credit accounts; and you should also be aware that there may be an initial transfer fee to take into consideration.
Before making a commitment to a debt consolidation loan, you should do your research thoroughly and weigh up the pros and cons. Experian has an informative article that covers the basics of debt consolidation loans.
Transport
Frugal fuel
You can expect to pay an average of 24p more for fuel at a motorway service station than at a supermarket.
There is a handy tool on the Go Compare website which reveals the cheapest place to buy fuel in your local area.
If you regularly use the same petrol station, look into whether they offer fuel loyalty cards. In addition to this, some supermarket loyalty schemes – such as Sainsbury’s Nectar card - allow you to pay for fuel using your points.
Lastly, a sure-fire way to cut back on fuel and increase your monthly budget is to ditch the car.
A 2022 survey showed that 1 in 3 motorists in the UK had swapped the car for their own two feet.
Going on foot where possible could help put the brake on the rising cost of fuel.
Nipping to the local supermarket for a small top-up shop? Why not wander up instead?
No plans after school? Why rush back? Enjoy a nice, leisurely stroll together.
Over time, these small changes will really add up!
It’s a total bonus that walking is great for our health, too.
If you live close to one of your work colleagues, could carpooling be a possibility? Why not take it in turns to drive each other to and from work throughout the week? That way, you will both reduce commuting costs.
The final tip for fuel frugalness is to fire up that Satnav, if you have one! Getting lost is hugely frustrating and will waste your fuel and your money.
Train travel
The first thing to do when looking at cutting back on the amount you spend on train travel is to check to see if you’re eligible for a railcard.
The average railcard holder saves £140 a year, and could get you up to 1/3 off standard fares.
Railcards are available for various groups of people, including those aged between 26 and 30, and seniors over 60 years old.
Make sure any potential savings cover the cost of the railcard.
Do you commute by train?
If your working hours are flexible, straying away from the standard 9-5 could reduce travel expenses as peak time tickets tend to be more costly.
Those regularly making the same journey could benefit from looking into season tickets, which offer a year’s worth of travel for the price of 10 months and 12 days.
On the bus
If you’re aged 60 or older, you may be able to get a pass which allows you access to free bus travel. You can apply directly with your local council.
Some bus companies may also offer discounted fares for NHS workers, those travelling with somebody whom they care for, or students in full-time education.
It’s worth checking your individual bus company website for further information on any discounts they may offer, as these will vary between providers.
Some cities, including Manchester, Sheffield, and Leicester, operate a free bus service, which tend to run between the train station and the centre of town. If you’ve been paying for a bus into the centre of the city, it may be an idea to see if you could make use of the free service instead, even if it means an extra few minutes walking either end.
Flexible working
If the cost of daily commuting – either by public transport or car - is eating into your monthly budget, it may be time to rethink your situation.
For example, is there any way that you could work from home, even if just one day a week?
Data has revealed that the average cost of a same-day open return train fare in the UK is £10.36. If you were commuting five days a week (or 20 days per month), this would equate to £207.20 per month. Based on these figures, cutting your office days down by just one day a week could save you an average of £41.44 per month.
Food shopping
Switch your supermarket
Swapping your regular supermarket to a cheaper option could save you a chunk of cash on your weekly shop, which may add up to big savings over the course of a year.
As of May 2024, Aldi has taken the top spot for Britain’s cheapest supermarket every month this year so far.
April 2024’s data revealed that the average basket price at Aldi was a huge £31.23 cheaper than Waitrose.
We have included the findings released by Which? for context below.
| Supermarket | Average basket price in April 2024 |
|---|---|
| Aldi | £112.90 |
| Lidl | £115.23 |
| Asda | £126.98 |
| Tesco | £128.17 |
| Sainsbury’s | £131.02 |
| Morrisons | £134.87 |
| Ocado | £136.86 |
| Waitrose | £144.13 |
Buy own brand
Supermarket ‘own label’ items tend to be cheaper than branded equivalents.
Dubious about quality? Don’t be fooled – when put to the Which? taste test, own-brands often came out on top, with 72% of participants preferring Aldi’s Specially Selected frozen roast potatoes over McCain’s, and 69% favouring Asda’s Just Essentials crunchy peanut butter over Sun-Pat.
We compared some big-name brands with Aldi’s own versions of each product to get a better understanding of the potential savings to be had.
| Item | Brand | Own-label equivalent | Saving |
|---|---|---|---|
| Six-pack of crumpets | £0.90 (Warburtons) | £0.45 | £0.45 |
| Ketchup | £3.39 (Heinz, 650g) | £0.87 (550g) | £2.52 |
| Beans | £3.75 (Heinz, 4 pack) | £1.12 (for four individual tins) | £2.63 |
| Tomato soup | £3.75 (Heinz, 4 pack) | £2.48 (for four individual tins) | £1.27 |
| 36-pack of wheat biscuit cereal | £3.99 (Weetabix, 36 pack) | £2.05 (36 pack) | £1.94 |
Prices correct as of May 20, 2024.
Plan meals in advance
Before you do your food shop, take some time to make a meal plan, covering breakfast, lunch, and tea for each day of the upcoming week. Write down exactly what ingredients you’re going to need for each dish.
Having a clear list to work from when shopping could help to reduce the risk of impulse buying and overspending.
Try to be crafty with your prep to reduce food waste and ensure that each item stretches as far as it can go.
Need some inspiration? The Kitche app allows users to filter their leftover ingredients to generate recipe ideas.
Consider perfectly good leftovers on the Olio app. Olio connects communities by allowing individuals to register their unwanted food for people in their local area to collect. This could be anything from a couple of spare, homemade banana muffins that are only going to end up in the bin, to an in-date packet of chicken that you’re not going to be able to eat before you go off on holiday.
Use apps to compare prices
You might want to use the Trolley app to compare the price of individual items between supermarkets, allowing you to make the most of any available offers. As well as food, Trolley also allows users to seek the best deals when it comes to other items, such as toiletries, batteries, and various medicines.
Scrutinise your outgoings
Cancel costs
Cancel any subscriptions or memberships that you aren’t making use of. This could be anything from meal preparation kits and gym memberships to TV and music app subscriptions.
Be brutal with yourself. If you know deep down that you’ve no intention of going to the gym for the foreseeable future, cancel that membership and save yourself some money. You can always rejoin if you change your mind, but right now, ask yourself if the monthly expense is really worth it…?
Ways to earn extra money
Sell it!
Set a couple of hours aside to have a good declutter. From clothes and toys to household items and unopened beauty products, consider selling anything that’s in good, clean condition and give your possessions a second lease of life while earning money in the process.
Some of the most popular second-hand marketplaces include eBay and Vinted.
You’d be surprised what people will buy. Your child might have long-since outgrown their Pokémon cards, but you can guarantee that there may well be an avid adult collector out there who will gladly take them off your hands.
As with any side hustle, you may need to declare earnings to HMRC by filing a Self Assessment tax return on the Gov.uk website. You can find further information here.
A penny for your thoughts
Got a couple of minutes spare on your daily train commute or while you’re waiting for your tea to cook? Turn those moments into money!
There are a number of companies – such as Swagbucks, OnePoll and YouGov - who will pay you to complete surveys or give your opinion on a range of topics. The regulations vary between companies, but generally, all you need to do is register an account, fill out a few personal details, and start completing surveys. Some companies give their users free rein of the surveys on offer, allowing you to apply for however many you like, whereas others match users with surveys they feel will be relevant, based on the information provided when you sign up.
Usually, you will collect points for each survey you complete and you can cash out once you’ve reached a certain number of points. You may be able to choose whether this is transferred to your bank or PayPal account or sent to you in the form of a shopping voucher.
While it’s unlikely that this side hustle will bring in mega bucks, it could be a nice little earner over time.
Ask for an appraisal
The thought of discussing the matter of money with your boss may fill you with dread, but it’s important to remember that there is no harm in asking for an appraisal and a pay review.
Build up a case to back up your request. Make a note of your strengths and highlight your achievements since your last review.
It may also be an idea to do a bit of research beforehand. Use the Totaljobs salary checker to calculate the average wage for your role based on where you work.
Remember, the worst thing your boss can say is ‘no.’ Even if your boss doesn’t agree to the full amount you’ve requested, they may be prepared to negotiate or even offer an alternative benefit, such as help towards your travel costs.
Final thoughts
Having a bit of extra disposable income is a great feeling. You may choose to put this into savings or treat yourself to something nice.
Whether it’s by £10 or £200, we hope our handy guide has inspired you to find ways to increase the amount of money you have leftover at the end of each month.
