Surprisingly easy ways to save money
If you’re someone who avoids looking at your bank account or you simply want to start saving seriously, we promise there will be a great, achievable tip for you here.
Try one or a combination of the ideas below from people in the know and watch your statements soar.
These are all actions you can start straight away, so grab a pen and paper and have your income details and outgoings handy. We’ll make it easy to see where small tweaks can make a huge difference.
Savvy saving
1. Start with a full money MOT
‘Before you make any changes, spend a month tracking what you spend,’ says Aaron Peake, Money Expert at free credit score service CredAbility.
‘Look through your bank and credit card statements and divide your spending into three groups: essentials, nice-to-haves, and waste (those little spends you regret). This gives you a clear picture of where your money is going and what’s worth trimming back.
‘At CredAbility, we see that people who regularly check their credit score and spending habits are far more likely to feel confident about their finances, because they know what they’re working with.’
2. Have ‘no spend weekends’
Matthew Sheeran is an external relations manager at Money Wellness, an organisation commissioned by the government’s Money and Pensions Service (MaPS) to provide free budgeting, debt and income maximisation advice, which helps around 1,000 people a day.
He says, ‘Budgeting works best when it feels realistic, not restrictive. It’s about finding small, manageable ways to take control of your money, and that starts with understanding what’s coming in and what’s going out.
‘I’m a big fan of no-spend weekends. I recently took my own advice and did it, and I was shocked by how much I spend without realising. They’re a great way to give your budget a breather. Plan free or low-cost things to do – a walk with friends, a film night at home, or cooking with what you’ve already got in the cupboard. It’s amazing how refreshing it can be to enjoy time without spending a penny.
‘Budgeting doesn’t need to be scary. If you’re unsure where to start, try out free online budgeting tool. You can pay for more expensive apps and tools, but this does the job. It’s quick to use and gives you a clear picture of your finances so you can make a plan that really works for you.’
3. Try the 50/30/20 rule as a guide
‘The 50/30/20 rule is a brilliant starting point,’ says Fiona Peake, Personal Finance Score Expert at Ocean Finance.
’It suggests 50% of your income goes on needs like rent and bills, 30% on wants like meals out, and 20% on savings or debt repayments. You can tweak it to suit your income and lifestyle, but the idea is to give every pound a purpose. It helps you save regularly without feeling too restricted.’
‘This rule is especially helpful for those graduating and embarking on working life,’ adds Rajan Lakhani, personal finance expert at smart money app Plum.
‘It provides a solid guideline for how much to spend on needs, wants, and savings. As the cost of living rises and bills increase, it's common for people to go over the 50% needs allocation. Fortunately, this method is easily adjustable depending on your circumstances. For example, if you're living in London, you could well find yourself spending 70% on needs, 20% on wants, and 10% on savings. So, the rule is flexible and can be tailored to suit your lifestyle, while also helping you become more aware of your spending habits.’
4. Use the envelope method
‘Some people find certain spending categories, like groceries or takeaways, get out of hand fast,’ says Fiona.
‘The envelope system is great for that. You can use physical envelopes or digital banking pots. Set aside a set amount for each category at the start of the week or month, and once it’s gone, it’s gone. It’s a visual way to stop overspending.’
‘One method I always recommend is the envelope method,’ says Matthew. ‘It’s simple but powerful. It helps you see exactly where your cash is going and stops you overspending without realising.’
5. Go zero-based with your budget
‘Zero-based budgeting means every pound you earn is allocated somewhere, so you end up with nothing ‘spare’ sitting unaccounted for,’ says Fiona.
‘That doesn’t mean spending it all. It means deciding in advance where it will go, including savings or paying off credit. It’s one of the most effective ways to stop money slipping through the cracks.’
‘Before you panic, this doesn’t mean all your money will be spent on bills and grocery shopping,’ adds Rajan.
‘It simply means you’ll give every pound a purpose. Whether that’s essentials, subscriptions, direct debits, debt repayments, discretionary spending or an emergency fund. If zero-based budgeting sounds a little too tricky for your situation, perhaps you’re worried about unaccounted-for expenses or surprise bills, then reverse budgeting might be a better option for you…’
6. Reverse budgeting
‘Reverse budgeting simply means prioritising your savings and investments as soon as you get paid,’ says Rajan.
‘Just make sure it’s a realistic and sustainable amount. The remainder can be used for expenses and discretionary spending. This can also be complemented by the no-spend challenge (especially if you need to save quickly for your emergency fund), and it involves committing to a day, week, or month with no discretionary spending. You might be surprised how much you spend on quick trips to the shop, takeaway coffees, or random Amazon orders. Cutting out these small, unnecessary purchases can leave you with a lot more money at the end of the month.’
7. Review your regular payments
‘Set a reminder every couple of months to go through your subscriptions and direct debits,’ says Fiona. ‘Cancel or pause anything you’re not using. You can also use comparison tools to switch to cheaper deals for broadband, mobile, or insurance. Small savings across a few bills can free up money for your savings or debt repayments.’
8. Build rewards into your budget
‘Saving and budgeting shouldn’t feel like punishment,’ says Fiona. ‘Give yourself a small reward goal for sticking to your plan, like a coffee or a cinema trip. When budgeting feels sustainable, you’re more likely to keep it up long term.’
‘You could create a treat fund as a way to encourage you to stick to a plan and reward yourself for sticking to your budget!’ adds Rajan.
‘Start a treat fund specifically for spending on your favourite things, this could be shopping, days out, or meals out. It’s a fun way to celebrate hitting your savings goals while still enjoying your money, and helping you to budget.’
9. 1% rule
‘The 1% rule is a helpful guideline for people who are prone to making larger purchases,’ says Rajan.
‘It encourages you to wait 24 hours before buying anything that costs more than 1% of your annual salary. For example, if your salary is £30,000, any purchase over £300 should trigger a pause for consideration. This budgeting hack helps you contextualise the real cost of something and assess whether you truly need to buy it.’
10. 1p savings challenge
‘The 1p challenge is a year-long money-saving method where you save 1 penny on the first day, then add an extra penny each day for the next 364 days,’ says Rajan. ‘By the end of the year, you’ll have saved £667.95.’
Top up your total
Declutter and sell online
Use platforms like eBay, Vinted, or Amazon to sell unwanted clothes, books, games, and more. With good photography and customer service, you can make thousands of pounds.
The trick is not to spend your earnings on the same apps!
Trade in electronics
Get quick cash for old phones, laptops, and game consoles by trading them in on sites that offer instant valuations like MusicMagpie and CeX.
More money in your pocket and a clutter-free sideboard, shelf and coffee table!
Sell gift cards
Turn unwanted gift cards into cash by selling them on platforms like CardCash.
Online tasks
Get paid for your time by taking online surveys or completing user experience tests on websites and apps such TesterUp, Cashback and YouGov.
Use your skills
Sites like Prograd gather ads for online tutoring services, surveys, app and game testing, freelance writing and virtual assistant jobs that all pay for your time and/or skill.
Focus groups and studies
Participate in paid focus groups or university research studies, which can pay a significant amount for your time. Try User Interviews, Take Part in Research and Sago.
Rent out assets
Rent out a spare room or parking space for a steady income stream. Your Parking Space and Open Rent are good places to start looking into this.
Sell your photos
Make money by selling your photos to stock photography sites such as Shutterstock or Getty Images.
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