How to Save Money Quickly

How to make savings fast, no matter your income

Freeing up money when living on a tight budget isn't just tough, it's tiring. You're constantly weighing up what you can cut, what you can live without. Most weeks it's not about being clever with cash, it's about getting through. But I've found that once you make a few small changes that actually work, things get a bit less heavy in no time at all.

The average low-income household in the UK (earning less than £20,000/year) often finds itself with under £100 spare per month. But with small, immediate changes, that amount can often be doubled or tripled within the space of a few weeks. Taking control, and building a financial cushion are essential to getting breathing space, no matter your starting point.

This guide is written for real people facing real challenges. It offers practical, actionable advice rooted in real-world results. I've seen firsthand how quickly debt and money flow issues can arise. Some methods I have assembled can save you cash within as few as 30 days, providing tools to maximise income and reduce spending moving forward.

Create a realistic and empowering budget

A budget isn't a restriction; it's a map. It shows where your money goes, where it's wasted, and how you can move away from financial stress to stability. When you're on a low income, budgeting becomes even more essential.

Identify your income and expenses

Begin with a full breakdown of your monthly income. Include wages, benefits, child maintenance, side income, and anything else that contributes. Then, list all your outgoings. It helps to review your bank statements from the last three months.

Use a budget calculator to help you track outgoings. MoneyHelper offers a free calculator so that you can categorise your expenses. To get started, use our household budget calculator. Break down your spending into three categories:

• Essentials (rent, bills, food): Include all fixed costs, such as rent, council tax, energy bills, water rates, and essential groceries.
• Obligations (debts, loans): Document all minimum payments and any interest rates.
• Discretionary (entertainment, dining out): List everything that is not essential but still consumes your income.

By laying out your transactions visually, you will immediately see problem areas. Once this is done, most people are shocked at how much they spend on things they don't value.

Automate and prioritise savings

Consider setting up a second bank account or savings pot. Monzo, Starling, and Chase offer user-friendly options, even if it's just £5 per payday. Automating your savings removes a temptation to spend first and save what's left because reversing that habit can change your financial direction.

Use a feature like 'round-up savings' to collect spare change. For example, buying a coffee for £2.60 will round up to £3.00, depositing £0.40 into your savings. Apps like Plum or Chip can automate this with more advanced features based on spending behaviour. Within weeks, this builds into an effective emergency buffer.

Consistently saving just £20 a month becomes £240 a year, enough to cover Christmas costs or car repairs. I've used this method and built a small emergency fund without noticing the money is getting set aside. Learn more about how to build an emergency fund with our useful tips, and use our savings calculator to get started.

Slash household expenses without any sacrifices

Even without extravagant living, most households overspend in several key areas. Making changes to these things can yield immediate results. You don't need to go without; you just need to spend more smartly. I've helped friends and clients make these changes, and they've seen the difference within weeks.

Reduce council tax bills

Those on low incomes often overpay Council Tax. Many UK households don't realise they're entitled to a discount. Use a Council Tax Reduction Calculator to check eligibility. For example, If you're a single adult, on Universal Credit, a student, or earning under a certain threshold, you could qualify for a 25% to 100% reduction.

You can apply for the tax perk online through your local council website. The process takes about 20 minutes and could save you between £30 to £120 a month, depending on your band and situation. One friend of mine was amazed to discover they qualified for a backdated reduction, saving them over £600.

Cut utility costs strategically

Energy bills are another significant burden to household budgets, but if you're prepared to put in some short-term effort, there's room for savings and longer-term financial harmony.

• Fixed or variable tariffs: It's crucial to know what kind of plan you're on. Fixed tariffs shield you from price increases, while variable plans may drop during dips but often jump unexpectedly. I always tell people to call suppliers like EDF and check.
• Night rates for electricity: If you can run appliances like washing machines at night (with Economy 7 or 10 tariffs), you could cut bills by £100+ per year. It takes a bit of adjustment but works wonders for many people.
• Switch energy supplier: I annually review my energy supplier using Ofgem-accredited comparison sites. By switching, you can achieve serious savings like £100 to £250. Combine that with energy-saving habits like using LED bulbs, air fryers, or drying clothes naturally to save even more.

Review broadband and mobile plans

Many people fall into the trap of auto-renewing broadband or mobile contracts, which often increase by 30-50% after the first year. Loyalty rarely pays, so being proactive when your contract ends is a virtually guaranteed way to reduce your outgoings.

• Switch to 12 month broadband deals: There are offers around £15–£30 per month, some of which even include cashback incentives. I recently switched myself and saved £18 per month on broadband alone.
• Social Tariffs: If you receive Universal Credit or other benefits, BT, Virgin Media, and other providers offer discounted tariffs. Switching to a social rate can result in up to half-price savings.

According to MoneySavingExpert, the average household can save £20-£40 monthly on broadband and mobile if they review contracts proactively.

Make food affordable through smart grocery and meal planning

Food is obviously a non-negotiable expense; however, there are innovative ways to reduce your grocery bill significantly without sacrificing quality. I've tested many of these tips myself and shared them with others who now swear by them.

Use discount codes and vouchers

Before you head to the checkout, check for a supermarket discount code, especially if you shop online. Savoo regularly lists food codes for major UK retailers like Tesco, Sainsbury’s, and Iceland. Even a single £5 or £10 discount code can add up over the course of a month.

Also, don't overlook free food vouchers. Families (with children under 4) and pregnant women receiving certain benefits may qualify for Healthy Start Vouchers. Those in the greatest need can turn to organisations like Trussell Trust, which offers emergency food parcels via food banks. It's discreet, compassionate, and life-saving, so take advantage of all the help available if you find yourself in crisis!

Yellow sticker shopping and bulk buying

Most supermarkets reduce fresh items near the end of the day (typically after 7pm). These "yellow sticker" discounts can be as much as 75% off. Planning your shopping food markdowns and immediately freezing what you don't eat can cut your weekly grocery bill in half. A typical household could save £40–£80 a month.

Reduced to clear discounts are harder to come by online, but supermarkets like Morrisons still have plenty of deals on everyday essentials. Bulk-buying staples like pasta, rice, oats, and tinned tomatoes when they're on offer is another major win. I regularly bulk-buy oats and make overnight porridge for under 20p a serving.

Choose cheap but nutritious meals

Eating cheap doesn't have to result in eating poorly. Some of the healthiest ingredients are also the most affordable. Here are a few meals that I can thoroughly recommend:

• Lentil curry serves 4 for under £2.
• Chickpea stew with tinned tomatoes and frozen spinach.
• Egg fried rice using leftovers.

Apps like Supercook or Fridge to Table let you input what's currently in your kitchen and find recipes to match, minimising food waste and extra shopping trips. And remember to plan weekly meals in advance. Sticking to a shopping list is likely to avoid expensive impulse buys. You should also learn how to meal prep.

Increase your income without getting a second job

Regardless of how cleverly you budget, sometimes the only way forward is to grow your income. But that doesn't mean taking on a second full-time job. There are many creative, manageable ways to boost revenue, even with childcare responsibilities or health challenges.

Make money online from home

There are many online platforms that allow you to earn a few pounds here and there. It might not seem like much initially, but it adds up quickly and can help fund little extras like social time with friends.

• Surveys: Websites like Prolific and Swagbucks pay for your opinions. I have found Prolific to be particularly well-paying because you can earn £6-£10 per hour in your spare time. A colleague of mine does surveys during lunch breaks and earns around £40 extra per month.
• Freelance gigs: Platforms like Fiverr and PeoplePerHour let you offer services like typing, writing, virtual admin, or even voiceover work. If you have a hobby or a skill like Canva design, proofreading, or copywriting, start earning within a couple of weeks.
• Sell unused items: Use Vinted, eBay, or Facebook Marketplace to declutter and make money. Sell those unused clothing, books, and electronics cluttering your home, and watch as the money rolls in.

Side employment

If you're able to work evenings or weekends, it might be worth considering flexible part-time roles like delivery driving for Just Eat, Deliveroo, or Uber Eats, which often pays £10-£15/hour. You can also earn some extra cash by dog walking or pet sitting through apps like Rover, doing evening cleaning jobs in schools or offices or tutoring online if you have relevant qualifications.

Tackle debt head-on to free up cash

Debt can quietly and consistently drain your income. Even small monthly payments add up when you factor in high interest rates. But the good news is this: with the right help and strategy, it's entirely possible to take control and even reduce or eliminate some of your debt.

I've supported people through this process in the past with my how to become debt free guide, and the emotional and financial relief they experience is profound. If debt is keeping you stuck, here's what to do.

Understand your debt management options

It can be difficult to accept you need help, but you must if your repayments are unmanageable. The first step is to speak to a free, non-profit debt advice service like StepChange, National Debtline or PayPlan. Their services can help you create a debt management plan (DMP), consolidate payments, and often freeze interest.

For instance, if you're paying over £400 a month across five credit cards, a Stepchange plan may allow you to reduce your payments to just over £200 per month. A good debt management plan will provide much-needed breathing space, possibly for the first time in years.

Debt consolidation loans

If your credit score is reasonable and you're disciplined with your spending, a debt consolidation loan could reduce your interest rates and simplify your payments into one monthly cost. This can be a good option for people juggling credit cards, catalogues, or payday loans. But it only works if you don't then rack up new debt.

Use a comparison tool like MoneySuperMarket or ClearScore, and always read the small print carefully. I've heard this method works well, but only if you use it to pay off, not to postpone.

Can debts be written off?

Yes, some debts can legally be written off. It's especially true if you're on a very low income and have no significant assets. It's difficult to offer advice because every case is unique, but if you find yourself in a bleak financial situation where debt cannot be repaid, you should research:

• Debt Relief Orders (DROs)
• Individual Voluntary Arrangements (IVAs)
• In rare cases, bankruptcy (as a last resort)

These options aren't for everyone and have long-term consequences, so always seek professional advice. But they can be life-changing for the right person in a particular situation. Relief typically starts within 4-6 weeks of taking action.

Maximise government support and benefits

Government support exists to help people through difficult times. However, a surprising number of eligible individuals never apply. I always encourage everyone to check their entitlement because you might be missing out on hundreds of pounds a month. Many people discover new sources of support they hadn't even heard of.

Single mother benefits

Single parents are often entitled to various benefits and grantsbenefits and grants that can significantly ease the pressure. Here's what to explore:

• Universal Credit: This can include support for rent, children, and even up to 85% of childcare costs if you're working.
• Child benefit: Available for all eligible children, even if you're working.
• Free school meals: Essential for families with children on a low income, free meals potentially save up to £500 per child per year.
• Council tax reduction: Depending on income and household makeup, this could save you hundreds of pounds per month.
• Cold weather payment / warm home discount: Seasonal payments usually get automatically applied if you meet specific benefit criteria, but not always.

"My neighbour is a single mum who assumed she wasn't eligible for anything because she worked part-time. When she finally checked, she qualified for over £250 a month in additional support. That money changed everything for her family."

Help to save scheme

If you're on Universal Credit or Working Tax Credit, the government offers the Help to Save scheme. Save up to £50 a month, and they'll give you a 50% bonus on what you save over two years. Save £1,200 over 4 years and receive £600 in bonuses. And the best part is, your savings are safe, and you can withdraw money anytime. The application takes 10 minutes via GOV.UK.

Better manage ongoing house costs

Your home should be your place of stability, not a financial black hole. Yet many people are overpaying basic bills without realising it. This section focuses on controlling regular household expenses with a few targeted changes.

Budgeting for house essentials

Losing track of bills is easy, particularly when life is chaotic. But staying organised makes a big difference to your budgeting. Set calendar reminders for renewal dates (broadband, insurance, mobile, rent reviews) and use budgeting apps like Snoop, Emma, or Moneyhub to track all your expenses in one place. The money saving apps flag increases in bills or duplicate subscriptions.

For example, are you paying for streaming services that haven't been used in months? You can easily save over £12 per month with just a single cancellation.

Water metering and usage

Switching to a water meter can dramatically cut your bill if you live alone or with just one other person and don't use a lot of water. You can apply through your local water provider, and many will let you switch back if you don't save.

• Install tap aerators and low-flow showerheads. Many water companies provide them for free or they can be purchased from companies like B&Q.
• Only run washing machines and dishwashers when full.
• Avoid baths and stick to short showers.

A friend of mine installed a £5 tap aerator from Amazon in their flat and saw a noticeable drop in their water bill within two months. It's a simple change with real impact!

Home maintenance and repairs

It may be obvious, but it's nevertheless true that neglecting minor issues can lead to major costs in the long run. A dripping tap, for example, can waste over 5,000 litres of water a year. Keeping up with basic maintenance is one of the most overlooked ways to save money.

• Draft-proof windows and doors to reduce heating bills.
• Bleed your radiators to keep heating efficient.
• Clear gutters before winter to avoid water damage.

Also, check if you're eligible for home repair assistance from your local council or charities. Older people can often apply for a grant that fully covers a new boiler installation.

Insurance and service contracts

For many people, insurance is something that is sorted once and continued for years. However, many companies offer better prices to new customers than to existing ones. Use comparison sites like Compare the Market and GoCompare or call your current provider and ask for a better deal. Mentioning competitors can often unlock discounts.

My colleague Ryan Broadfoot, shares his experience of negoatiating a better deal:

"After spotting a new customer promotion that was £110 cheaper than what my existing insurer offered me at renewal, I called them directly. I politely explained the price difference and referenced the exact deal from their own website. Within ten minutes, they matched the offer and even added a £25 cashback incentive to keep me as a customer. The key is to stay calm, be prepared with evidence, and be willing to switch providers if they don’t budge."

Final thoughts: Build momentum, not perfection

Financial change doesn't happen overnight. It's easy to get overwhelmed or feel like you're too far behind to catch up. But you don't have to be perfect; you just need to recognise that change is necessary. Even saving £5 this week is better than waiting until you think you can save £50. It builds confidence. It builds momentum.

You're not alone. Millions of people are facing the same cost-of-living pressure. Use this guide and our how to save blog as a toolkit. Revisit it monthly, and don't pressure yourself to do everything at once. Pick one or two manageable strategies and build from there. You can absolutely do this!