The Salary Calculator

Life’s not been too easy on the bank balance as of late. From sky-high rent to eye-watering energy costs, for many, day-to-day living has never felt so expensive. Food prices are, of course, also rising dramatically and, over the last year, have reached record highs.

When food shops are so expensive, it’s understandable that you might feel less able to assemble healthy, nutritious meals. But, at The Salary Calculator, we’re here to help. In this week’s article, we’ll walk you through:

• What’s going on with food price inflation
• Top tips for affordable healthy eating
• How switching to plant-based can save you money, keep you healthy and protect the planet

Food price inflation

According to reports, food prices in the four weeks to May were 17.2% higher than they were a year ago. There are a number of reasons for this, the Russia-Ukraine war impacting energy, high animal feed and fertiliser prices, supply chain issues, extreme weather affecting harvests, and Brexit. While prices have dropped slightly since April, as Fraser McKevitt, the head of retail and consumer insight at Kantar, says, it’s still “incredibly high” and only down 0.1 percentage points.

Currently, inflation in the UK is higher than in other countries, such as Germany, 7.6%, France, 6.9%; and the US, 4.9%. Overall, food prices have risen at twice the rate of overall inflation, with dairy particularly affected, rising three times faster than other items. Four pints of milk, for example, is now 30p higher than this time last year at £1.60, while a 400g block of cheddar cheese is up 39%. But, across the board, groceries are costing more:

• 1 kg of granulated sugar is up 47%,
• 1kg of potatoes is up 28%.
• Olive oil is up 46.4%
• Sauces, condiments, salt, herbs and spices are 33.9%

It’s no wonder then that people are feeling the pinch, and the impact has been wide-reaching, with shoppers trying to make savings wherever they can. Research shows that own-label item purchases have shot up by 15.2 per cent, and more people are also shopping at budget supermarkets like Aldi. Aldi, for example, saw a 24 per cent sales increase, making it the fastest-growing grocer this month, while Lidl’s sales increased by 23.2 per cent.

However, you might be wondering why supermarket prices are still high despite costs coming down. Well, some believe that retailers are trying to make up for their fall in margins last year.

Regardless of why, consumer group Which? has called on the government to undertake its review of food pricing rules as quickly as possible. Rocio Concha, the Which? Director of Policy and Advocacy said: “It’s good news the government has committed to reviewing pricing rules, but this must be undertaken as soon as possible as much clearer pricing is vital in enabling shoppers to compare prices and find the best value products.”

Adding: “Supermarkets should also be making it easier for people by urgently committing to stocking essential budget ranges in all their stores, particularly in areas where people are most in need.”

Tips for healthy eating while prices are high

Considering the above, it’s understandable if you’re struggling to keep your weekly shop costs low, but below, we’ve got some tips for you.

Buy seasonal: Buying seasonally is cheaper because seasonal foods are more easily available in supermarkets and often not imported, which is a big plus from an environmental perspective, too, as it means your food travels fewer food miles. Seasonal food is also often fresher.

So, what’s seasonal? Well, for example, broccoli is seasonal from August to October, leeks from September to March, and cauliflower, from January to April. For fruit, you’ll get apples between September and February, tomatoes from June to October, and rhubarb, from January to June. If you live near to a local farm stand or farmer’s market , this could be a good go-to. For more information about seasonal food, click here, or for recipe inspiration, check this out.

Buy own-brand, “value” or “essential” or “basic” label: Buying supermarket own-brand products can save you a ton of money and these days, more and more supermarkets are coming out with their own value selection, even Co-op, which was a little late to the game. Head over here to review some of the best own-brand products.

Keep your eyes peeled for yellow stickers: While not always helpful for all items, it’s always worth checking out a supermarket’s yellow sticker selection, which features an assortment of reduced items often near to their best before or sell-by date. ​

According to the site SkintDad, the best time to go yellow-sticker-hunting at Tesco is around 8 pm or around 30 minutes before smaller stores close, while at Sainsbury’s, it’s 7 pm, and at Morrison’s, it’s 6 pm.

Freeze your bread: Freezing your bread can make it last a lot longer, for months, even. Plus, freezing bread doesn’t mean compromising on texture or flavour when sealed and thawed correctly.

Meal planning: Meal planning saves both time and money. When you have a plan while shopping, you’ll avoid buying unnecessary groceries, and, plus, you won’t have to step inside a shop during the week, meaning you won’t be tempted to waste money on things you don’t need.

Make your own sauces & soups: It might be tempting when you’re feeling lazy to buy a tomato sauce rather than make one yourself but making sauces from scratch can be a lot cheaper, plus you can make them in bulk and freeze them. The same goes for soups and dressings.

Saving pennies with plant-based power

Plant-based diets have really become popular in recent years for a number of reasons, including as part of a vegan lifestyle, informed by concerns for animal welfare and the planet’s health. Learn more about that here and here. Alongside these benefits, going plant-based can actually be a lot cheaper, too. Especially considering that inflation has hit meat and animal products nearly twice the rate of vegetables.

There’s a misconception that plant-based diets are expensive, and while that might apply to some vegan alternatives, such as processed plant-based meats and cheeses, eating whole foods can save you a pretty penny while still being delicious and packed full of flavour, whether that’s beans, lentils, tofu, or tempeh.

Research by Oxford University, for example, found that those following a vegan diet could reduce grocery bills by as much as 34 per cent compared to the costs associated with a typical Western diet.

Where many people struggle with vegan diets is missing cheese. Vegan cheese company Violife found that it’s the main reason holding around 45% of people back from making the switch. It’s not surprising, either, considering that cheese contains large amounts of protein casein, which triggers the same part of the brain as hard drugs!

However, this is where nutritional yeast flakes come in, or Nooch, as they’re more appetisingly known. These cheesy-flavoured flakes are high in B12, zinc and protein and can be sprinkled over plant-based meals to satisfy your cravings for a cheesy hit and in a more nutritionally balanced way.

For some recipe ideas, check out the following links:

• Ela Vegan 
• The Vegan Society 
• Veganuary 
• Vegan Food & Living 

Back in 2020, as the Covid-19 virus took hold of the world, working from home became compulsory for those who were able to do so. And so, for many, came the rise of endless Zoom calls and Teams meetings, virtual social lunches, much more time at home, and fewer hours commuting.

However, as the world has slowly gained back control over the virus, WFH has endured in many workplaces. That said, the majority of people still never work from home (63.9%), 21.4% work in a hybrid model, and only 7.8% of workers permanently work from home.

Yet, despite the above figures, and many who choose to work from home touting the benefits of doing so, recently Chancellor Jeremy Hunt, speaking at the British Chambers of Commerce conference, said workers should return to the office unless they had a “good reason not to.” One of the main reasons he cited included that WFH stifles creativity.

So, what’s the basis behind his argument, is there any truth in it, and what does the workforce think? In this week’s article at The Salary Calculator, we’ll walk you through:

• The statistics on productivity,
• How creativity is faring at home versus the office,
• How WFH impacts mental health and relationship building,
• What workers’ preferences are.

Variability in productivity

When it comes to productivity and WFH, depending on who you talk to or which sources you scan through, you’ll get a very different picture painted. For example, a study conducted by Stanford, which surveyed 16,000 workers over a nine-month period, found that for those working from home, their productivity was boosted by around 13%. A few contributing factors included having a quieter and more convenient place to work in and working more due to fewer breaks. Further, it wasn’t just productivity that was boosted; workers also said they felt more satisfied, and attrition rates were even cut by half.

This is supplemented by research from TechTalk which found that 55% of the 2,000 work professionals it surveyed concentrated better when working from home. Similarly, Gitlab found that 4 in 5 workers would recommend remote working to a friend, and 81% of people surveyed felt satisfied with remote working.

That being said, while individual productivity might be thriving in some cases, surveys show that teamwork isn’t faring so well. Gitlab, for example, found that only 37% said the organisation they work for does a” good job” of aligning work across projects.

Creativity in the workplace versus WFH

One of the main reasons Hunt has cited for a return to the office is his concern about creativity or lack thereof. However, while there is no definitive data, some research shows that employees can be just as creative, if not more so when working from home. Research from Better Up found that people were 56% more creative and thought more innovatively when working remotely.

Some of the reasons that the research team gave for explaining these results were that long commutes and excessive meetings, more time being alone and thoughtful, and being in a place of safety and strength contributed to more creativity. However, there are two sides to this, and research published in Nature on a field experiment across five countries actually found that more video-conferencing, something more prevalent in remote working, in fact, inhibit the production of creative ideas. Indeed, some workers are worried about this, with around 18% concerned about their creative output outside the office.

One of the common arguments regarding this is that without being in the office, workers don’t have the opportunity to bounce ideas off each other or spark up conversations that lead them down the road of innovation. There are no so-called “water cooler moments.” However, it really comes down to an individual’s working style.

Mental health and relationship building

A core issue often explored when discussing the WFH dynamic is how it affects mental health, well-being and relationships. Again, as with all of these areas, there’s a huge level of variability.

That said, isolation is often a common concern for those working from home. One study found that 81% of younger workers said they would feel more isolated solely working from home, while another study found that 60% of workers felt less connected to colleagues.

Further, many workplaces appear to be failing to provide their employees with additional resources to cope with these new challenges. In fact, one study found that under 30% (29%) are doing so. At the same time, around 19% of workers like WFH because it allows them to avoid office politics.

It’s not just work relationships that can be negatively impacted by working from home, though, according to experts, it can also put a strain on home relationships, for example, with a partner. This is often put down to being “physically present” but “unavailable” or due to letting work seep into home life.

Linked with this is the question of work-life balance. Living and working in the same space can make switching off difficult, with a reported 32% of workers finding it difficult to do so. This is especially true for those working in their bedrooms (17%) and living rooms (27%). Working in the former can also be bad for productivity and negatively affect workers’ ability to sleep. According to Hubble research, Gen Z reportedly struggles with this the most.

What are workers’ preferences, and what does the future hold?

So, all things considered, what are workers’ preferences? Do people enjoy WFH, hybrid or office-based working? Well, a wide range of contributing factors affect this, and it appears that age group also has a part to play.

According to Deloitte, 77% of Gen Zs and 71% of Millennials would consider looking for a new job if told they had to return to the office full-time. Meanwhile, another piece of research found that two-thirds (66 per cent) of workers aged over 55 years old prefer hybrid working.

Elsewhere, a study by Hubble found that, interestingly, Gen Z were the most “pro-office” group, while Gen X and Baby Boomers were more “pro-WFH.”

It’s likely that preferences will also depend on whether or not workers have young children; after all, WFH allows much more flexible scheduling (perceived as the main benefit for 50% of workers). Likewise, another factor is how far away a worker lives from their place of work; lack of commute is the secondary draw to WFH for 43% of respondents after flexible scheduling – this comes with big savings, too, a draw for 33% of people.

While the research shows that different groups might prefer different models of working, a key insight from research in this area is that workers like flexibility and the option to choose where and how they work.

Looking ahead, while the likes of Hunt may consider WFH to be detrimental to employees’ performance, it looks like it won’t be going anywhere anytime soon. Moreover, leaked Labour policy documents reveal that the party is even planning to make flexible working a legal right. So, watch this space.

There’s no denying that times are tough right now, and for many, it feels difficult to find respite. The cost of living crisis is squeezing everyone and from seemingly every angle.

According to Citizens Advice, it has been supporting more people than ever before with aid and referrals. The charity called it the “bleakest ever” start to the year and has facilitated 94,000 people with food bank referrals and access to emergency charitable grants. That’s a 178 per cent increase from the same period in 2020.

Figures show that in the first four months of 2023, it helped more people than the entirety of 2019.

Further to this, recent data from Which? revealed that hundreds of thousands of people across the UK missed payments on household bills in April.

At The Salary Calculator, we understand that it’s a challenging time and that many are looking for guidance on where to turn, so in this week’s article, we’ll walk you through the following:

• The scale of the rent and mortgage payment issue
• How people are responding to tightened finances
• How to form a plan of action and where you can find support

700,000 missed household bills in April

Which? estimates from April reveal a deeply concerning trend of financial strain across the country. The consumer choice and advice company shared that according to its estimates, in April, 700,000 people across the country missed rent and mortgage payments.

These estimates were made by combining the company’s survey data with the data from the Office for National Statistics (ONS). Specifically, it was found that renters, in particular, defaulted on rent payments, with one in 20 (5.2%) unable to pay their monthly rent to their landlord. Comparatively, 3.1% of mortgage holders missed payments.

More broadly, two million households (7.3%) missed or defaulted on at least one mortgage payment, rent payment, loan, credit card, or bill.

The situation is being informed by a number of factors, but crucially, as outlined by Which? Mortgages have jumped significantly. Last year, the average two-year fix in April 2022 was 2.86%, in April 2023, it was 5.35% – meaning remortgaging will be leaving thousands with much more expensive monthly bills. For many renters, this is being passed down from landlords, with one in five tenants in privately rented properties seeing monthly rent prices hiked by 10% or more between February last year and February 2023. This is occurring alongside food prices rising at their fastest pace ever, and sky-high energy bills.

Making more financial adjustments

To cope with the financial blows of the cost of living crisis, millions are having to rethink their finances and make adjustments and cutbacks. According to Which? around six in 10 people have had to make “at least one” financial adjustment in order to be able to afford essentials.

Which? shared that this covered everything from selling their possessions to dipping into savings. This comes to an estimated 16.6 million households across the country – a figure 35% higher than two years ago.

These figures are supported by data from Barclays, which found that increasing household bills has led to half (54%) of consumers cutting back on discretionary spending. Likewise, in order to save, people have been switching from nights out and restaurant meals to nights in, with research from KPMG finding that 63 per cent of people have been cutting back by making fewer trips to restaurants. More nights in have also led to an increase in spending on subscription services such as Netflix and NowTV.

Forming a plan of action for rent and mortgage payments

With mounting bills and pressure from lenders and landlords, it’s understandable that you might be feeling stressed – and while people deal with stress in different ways, the temptation to try and avoid the issue is often strong. Many also shoulder a lot of the stress alone. In fact, according to research by Lowell Financial, a whopping 69% of people who are in debt don’t talk about it with anyone.

But however tempting that might be, when it comes to rent and mortgage payments, it’s important to deal with the situation head-on.

With rent, while it’s always a top priority to put enough money aside to pay your landlord or letting agent, it’s not always possible. After all, right now, rent prices are increasing at their fastest rate in 13 years. But, you must act straight away.

It’s also important to remember that a landlord can start the eviction process straight away, and if you’ve previously missed or been late on payments, you’re already in arrears or you’ve come to the end of your fixed term period.

Citizens Advice also recommends that you reach out immediately if you’ve not paid rent for eight weeks or more, your landlord has initiated court procedures to have you evicted, you’ve received court papers, or you’re expecting bailiffs.

An important point of action is to assess your finances and see how much you can realistically pay, even if it’s not the full amount. Then, initiate a conversation with your landlord and propose these terms. It’s key to see what you’re entitled to and see if you can apply for Discretionary housing payments (DHPs) or certain benefits. You should also be aware that landlords can ask to make deductions from your benefits.

Below are some key contacts to reach out to when dealing with rent arrears:

• MoneyHelper
• Shelter
• Citizens Advice

If you’re having difficulty paying your mortgage or are in arrears, while lenders typically wait around 15 days after a missed payment to reach out, you should reach out straight away. However, prior to doing that, as with rent arrears, it’s important to calculate a budget of what you can afford to pay, which you can share when you contact them. If this feels difficult, speak to an adviser at your nearest Citizens Advice.

It’s also important to be honest, and assess whether or not the situation is likely to be temporary or long-term. If the former, they may suggest making a temporary payment arrangement or an interest-only mortgage – find out more about that here.

If the situation is not looking like it will be temporary, there are other routes you can take. For example, you may be eligible for certain benefits or Support for Mortgage Interest (SMI) and be sure to look into mortgage rescue schemes, for example, the Breathing Space scheme.

As the sun finally begins to emerge from behind the clouds, summer is on its way. So, it’s likely that you’ll be thinking ahead to possible getaways, whether that’s relaxing by the beach, cocktail in hand, exploring ancient city ruins, or hiking up a mountain.

Financial prepping is key for ensuring you have enough saved up to really enjoy wherever you’re visiting, and get the most out of your holiday.

This week, at The Salary Calculator, we’ll run through:

• Helpful budgeting tips to get you ready for your break
• Weighing up holidaying at home or abroad
• Holiday homes, hotel rooms and camping
• Finding free and discounted activities

Helpful budgeting tips

While inflation is currently at a high point (10.1 per cent) and causing continued financial concern for many, predictions are that it’s due to fall below double digits. Likewise, energy prices are also predicted to drop by July. Considering those in the UK have been hammered with high prices as of late, the gradual ease could leave you with more in your pocket than expected, which could go toward your holiday budget.

According to research, over 70% of the UK’s adult population currently do not have a budget plan, regardless of whether for a holiday or more long-term goals. However, budgeting can help you figure out how much you spend each month, areas you can cut back, and, crucially, help you can realistically save.

There are plenty of apps that can do the hard work for you, too. As outlined in our previous article, apps like Money Dashboard can help you pinpoint overspending and categorise spending, while Hyperjar provides you with specific jars for different savings purposes.

To put that into real terms, the former, in collaboration with the University of Edinburgh and Harvard Business School, found that new Money Dashboard users typically saved 14% of their discretionary spend in the first month.

Once you’ve identified key areas where perhaps you’re overspending and you’re looking to increase your holiday savings further, some of the below tips could help you cut back in ways you hadn’t thought of:

• Meal prep: planning your weekly meals ahead of time means that not only do you shop with purpose and better consider brand prices, but you’re also less likely to be tempted by takeaways and eating food out.
• Invite friends and family over to your home rather than going out for drinks. Research shows that it’s far cheaper to drink in rather than out; in fact, statistics from the Office of National Statistics show that alcohol is three times cheaper in supermarkets, so there are lots of savings to be made.
• Switch supermarkets: There is a huge range of supermarkets in the UK and plenty of fantastic budget choices. Aldi and Asda have both stolen the crown for the top-budget supermarket multiple times.
• See whether or not you can pay less on bills and subscriptions. With regard to bills, price comparison sites are your friend, and once equipped with the figures, advocate for yourself by negotiating with your supplier.

More and more people are employing this approach, too. A 2022 report by GlobalData, for example, found that 40% of UK adults planned to cut back on shopping in order to go on holiday this summer.

Holidaying at home or abroad?

A key decision that will hugely impact your financial preparation for your summer holiday is whether or not you’ll stay at home or travel abroad.

If holidaying abroad and travelling to Europe via the Eurotunnel can save you a big chunk of money, it’s also far more environmentally friendly. Eurostar, for example, estimates that taking the train from London to Paris saves more than 90% of the carbon emissions per economy-class passenger produced by flying. By travelling via the Eurotunnel, you also don’t need to worry about paying extra for luggage – so there are even more savings to be had there.

If flying is the only option, it’s likely you’ll be feeling a little concerned about the price of flights; after all, a number of factors have sent them skyrocketing, including high demand following the pandemic, as well as high inflation and fuel prices.

When you are looking for flights, though, make sure you clear your cookies. Many airline sites use cookies to monitor what kind of flights you’re searching for and then, through dynamic pricing, hike the prices up. Clearing your cookies means that they don’t have this data to inflate flight prices.

It’s also worth looking at what apps are active in the area you’re visiting. BlaBlaCar, for example, allows you to book into a carpool, which can be great for solo travel from a social aspect and can help with savings too. The same goes for EatWith, through which you can eat with locals as part of groups and can help with saving on eating out.

Holiday homes, hotel rooms and camping

Another factor bound to impact your holiday financial prepping and planning is where you plan on staying, whether a holiday home booked through a site like Airbnb, a hotel or a campsite.

Research from TripAdvisor shows that holiday rental properties can be up to 64% cheaper for a one-week stay when compared with hotels. This is especially true if you’re travelling in a group. One of the most popular sites to access such properties is Airbnb, for which there are also discounts and promo codes.

With regard to the price of hotels, data from Hopper shows that prices in the US averaged $212 per night in January 2023, 54% higher than the previous year, and summer is likely only to push prices further. While prices will vary widely depending on where you visit, globally, inflation and supply chain problems mean that hotels are, across the board, more expensive. So, it’s something worth bearing in mind when financially planning for your summer holiday.

While so-called ‘staycations’ have typically been the cheaper holiday option, in recent years, they have increased in price. According to Travelodge, shorter multi-location trips can help make things more affordable.

Camping is another option for those who want a stripped-back low-cost holiday in nature. ‘Glamping’ alternatively can offer the same, albeit with a few more frills.

Making the most of free and discounted activities

According to research by Staysure, UK holidaymakers in 2022 budgeted for £420 per person to spend while on a one-week holiday, which included money for activities. In the current climate, that’s quite a bit to save, and while it’s likely that you’ll want to spend some money on activities, doing your research ahead of time can mean that you unlock a whole range of free and discounted activities.

Festivals, museums, craft fairs and outdoor concerts are all great options that often cost little or no money. Likewise, make sure to utilise your concession status if you have one. There are also plenty of apps that can help you along the way, including:

• Roadtrippers,
• Fatsoma,
• Meetup.

As we enter a new financial year, it’s always worth doing a spring clean of your finances to see where you’re at, plan ahead, and save – if that’s on your agenda. This is where budgeting apps come in. These days, there are so many to choose from, with each offering a range of different features perfect for accommodating people’s varying needs.

This week, at The Salary Calculator, we’ll walk you through the following:

• How to find the best budgeting app for you,
• How a budgeting app can benefit you,
• Some of the best apps on the market right now.

How to evaluate which is the best budgeting app for you

When you’re determining the best budgeting app for you, there are a number of factors that you’ll want to consider; for example, first and foremost, it’s important to check that the app is available on your device – so check whether it’s available on App Store (for iOS) or Google Play (for Android).

Another consideration is whether or not the app is free, or offers a free trial. Luckily, the majority of the best apps on the market are entirely free and offer a wide range of features. However, there are apps that are tiered and only offer users certain features based on their subscription level.

An incredibly important feature of an app, especially when you’re providing personal information and, in some cases, access and syncing to your bank accounts, is security. In such situations, assurance that your data is protected is of utmost importance. Check to see if the app is FCA regulated, whether there’s multi-factor authentication to prove your identity, and encryption.

Customisability is also a key consideration, and having the option to make a budgeting app work for you, and add your own spending, budgeting, and saving categories can really help you get in control of your finances.

How can budgeting apps benefit you?

Budgeting has a whole raft of benefits, including giving you insight into your spending habits. This is especially true with apps that have a more visual element and include graphs and charts. Seeing this data organised into clear categories can really help break down the numbers.

Once you have a snapshot of your spending habits, this can give you the power to identify areas where you could be overspending and, subsequently, help you create a savings plan. Savings plans can have a wide range of different applications, whether it’s wanting to save for a holiday, a new course, or even more long-term goals, like saving for the deposit on your first house, or creating a retirement fund.

Another element of this could be creating an emergency fund, which can act as a parachute when facing financially difficult times.

What are some of the best budgeting apps?

Below, we’ll walk you through some of the best budgeting apps on offer.

Money Dashboard – This app is award-winning and stole the title of ‘best personal finance app” in 2017, 2018, 2020 and 2021. It allows you to categorise your transactions automatically and is also highly customisable and comprehensive. Another plus is that it is very visual, with graphs and charts that help break down your income and expenditure easily. It also has an income and expenditure prediction function and is totally free with no premium features.

Some of the drawbacks are that it’s not the easiest budgeting app to set up, and it takes a fair bit of input to personalise and categorise.

Plum – Plum is similar to Money Dashboard, but instead utilises its AI function to calculate how much you can afford to save, based on your previous spending habits. Further to this, based on its analysis of your data, it also makes recommendations for how to save.

It does, however, have tiered membership, all offering different features, which are as follows:

• Plum Basic – free
• Plum Plus – £2.99 a month
• Plum Pro – £4.99 a month
• Plum Premium – £9.99 a month

With all premium tiers, customers also have the option of a free 30-day trial.

It’s also important to note that there are different pockets where you keep your funds. The primary pocket offers instant access to your funds but does not pay any interest and is also not protected by the Financial Services Compensation Scheme (FSCS). Easy Access pockets are FSCS protected, but also require you to give one day’s notice for withdrawal of funds and pay interest. With premium accounts, you can also access higher interest.

Hyperjar – This app is often highlighted as a go-to for couples and families and is a budgeting app with a twist. With this app, you use a prepaid card, which you load your money onto. From there, via the app, you assign money to different jars which you label. A useful feature is that you can even auto-link shops to the jars and use those jars to pay when you visit a particular store.

When abroad, you can use this for purchasing goods and services with no foreign transaction fees applied.

Any money that you load onto your cards is managed by Modulr FS Limited, an authorised Electronic Money Institution which is regulated by the Financial Conduct Authority, but your money is not covered by the FSCS. Another drawback is that you can’t make ATM withdrawals with this app.

Cleo – Cleo targets the younger generation and has been dubbed the Gen Z super app. It’s a money management app that uses an AI chatbot as a financial assistant. It tracks your spending patterns, helps you manage your budget, and recommends amounts to save in your Cleo Wallet.

Unlike some of the other apps on our list, it’s simple and straightforward to set up; that said, the free version of the app is considerably more limited than some of the other free apps on our list.

Its premium versions include:

• Cleo+ which costs £5.99 and comes with an overdraft service that’s interest-free and must be paid back within 3 to 28 days and also offers cashback.
• Cleo Builder, on the other hand, is a much pricier version, at £14.99 per month, and primarily functions to improve your credit score.

Emma – Like some of the other apps we’ve listed, Emma uses open banking to connect and combine all your bank accounts, investments and credit cards. This means that you can get a snapshot of all your spending in one place. One of the key free features of Emma is that it allows you to identify all of your different subscriptions, even the ones that you’ve forgotten about.

You can also enter your payday date and set a monthly budget and it offers a fee tracker and savings advice. This is another app which is easy to set up and navigate, which is a huge plus for those who don’t feel particularly tech-savvy, but there are some drawbacks. The Emma app doesn’t work with all banks, for example; compatible banks include:

• American Express,
• Barclays,
• First Direct,
• Lloyds,
• Nationwide,
• NatWest,
• TSB,
• Revolut,
• Starling Bank,
• Monzo.

Additionally, the app doesn’t offer users a day-by-day or month-by-month comparison, so it isn’t as comprehensive as other apps.

Likewise, as with some of the other apps on our list, you won’t be able to access some of the features without premium subscriptions:

• Emma Basic is free,
• Emma Plus is £4.99 per month,
• Emma Pro is £9.99 per month,
• Emma Ultimate is £14.99 per month.