To think saving on Universal Credit is extremely difficult?

[FirmGreyMember]

It feels like Universal Credit doesn’t really leave much room for saving once basic living costs are covered. I know in theory people say to put even small amounts aside but in practice it seems very difficult when most of the money goes on essentials.

AIBU to think there’s very little opportunity to build savings on UC?

Then she doesn't understand her job because you're allowed 6k of savings before it impacts UC in any way. And even if we give her the benefit of the doubt and assume she had your best interests at heart, it would take a lot of £17s to add up to 6k!

I do believe what you're saying though. In my experience (assisting people to set up and manage UC claims is part of my job), the quality of coaches varies massively.

‘Straightforward risks’ ? You really have NO idea what you’re talking about. Try getting income protection after declaring major mental illness from any of the big providers and they’ll either straight up refuse to insure you for this or they’ll increase your premium so much that you won’t be able to afford it.

https://www.gov.uk/get-help-savings-low-income

I don’t think you are very good at economics.

“Universal Credit doesn’t really leave much room for saving once basic living costs are covered.”

That’s because it’s meant to cover basic living costs and that is it. The government isn’t handing out tax payers money for people to save it..

That doesn't have a clear yes or no answer, it depends on what your household take home pay is. Same applies to free prescriptions, free eye-tests, and contribution towards new glasses (you just get a voucher, and if you have to get specialist frames or lenses you have to pay the difference)
https://www.nhsbsa.nhs.uk/hwhc-universal-credit

I try desperately to do this but my 4 kids always want fed or something. Inconvenient really. Especially when my husband is away bringing in his full-time substantially above minimum wage salary. But wait, that makes him a taxpayer AND a worker AND we get benefits. Oh no, but that doesn't fit the narrative! Deary me.

Also, I am utterly itching to reply to most of these (typically utter shite) comments on the 117th benefit bashing thread of the week but I cannot be bothered. They never listen to facts anyway.

Outside of pensioners, most benefit recipients are working. And working hard.

Have you tried making shadow puppets? Much the same but free! Oh wait, except the light source. Are people on benefits allowed to buy torches? Anyone know?? Maybe use a candle. Actually, candles are quite luxurious and don't you dare get a scented one! Ffs, no just go back to staring at the blank wall.

I think what people can and should do is budget long term not short term. If you budget by the month and allow your discretionary spending to be dictated by what is available on that increment, there will always be a crisis. Budgeting categories need to include expenses that occur infrequently.

in some ways, that is a semantics issue. Put a a bit towards appliances breaking down every month or put a bit into savings every month. The difference though is that one isn’t considered optional. You know an appliance is going to break. You know December is always more expensive. You know school uniforms will have to be purchased. So thinking about those annual expenses as monthly expenses does actually really help keep the budget on track.

I think the reason some people think disabled people shouldn't be allowed Netflix is why the government have to spend so much on initiatives aimed at educating against ableism. Another source of money the taxpayer is forking out for totally unnecessarily that we should all be pissed off about. We shouldn't have to be spending money on this kind of thing in 2026 but here we all are.

Because facts are so horribly inconvenient! They dont feed into the "scrounger" narrative. I notice that the poster banging on about critical illness cover etc didnt respond when I pointed out that my son is disabled due to birth injury. Fingers in ears, eyes closed, lalalala......

Give it time. Sometimes that sort of person comes back with "..but I didn't mean people like you." Other times they don't come back because.(?)

I was waiting for the "that's different" comment!

ETA and I need the response so I can tell DS whether he is allowed Netflix or not.

[Whisper] he has Disney+ too!!

All well and good, but if your monthly income is barely enough to cover your regular day to day expenses (food, housing, utilities, essential transport) and leaves you with £2 at the end of the month (if you're lucky), you literally don't have the money to budget for putting aside a little every month for those expected additional costs. Discretionary spending just doesn't exist, not even for a bottle of cheap plonk once a month or a couple of takeaways a year, or in some cases not even shoes for the children.

That's what this whole thread started with - UC doesn't allow for long term budgeting just basic day to day costs.

Is this a joke! You expect people to pay tax for you to save up!

The government encourages savings on UC up to £6000 to £16000 - see previous posts about their help to save schemes. It's obviously rarely possible to do this depending on individual circumstances but it is recognised that allowing people a measure of stability against minor set backs is a positive thing for the whole of society. Obviously low wage jobs should pay enough at least for this modest level of saving too. The fact that they often don't does not mean we should be trying to take this right away from UC claimants, many of whom do not have the option of working due to disability or caring responsibilities.

This comment section went exactly as I thought it would when I read the original post.

The thing is, I do get it. I've been on both sides.

I went from working full time since I left school, up until a couple of years ago. I had a great career in STEM. I wasn't rolling in money by any stretch, but I was comfortable.

I was also stupid not to save anything then. Because when I ended up with a brain tumour that made me develop a chronic condition which has rendered me unable to work, I could really have done with hindsight.

Not in a million years did I ever imagine I'd end up on benefits. Unable to work. It's a complete shock to the system.

And this is the reality for a lot of people.

There's no way I could save now. I scrape by every month - literally. I count down the days until the next pay day.

But I get it. I'm not supposed to be rich! I'm on benefits!

The unfortunate thing is, when most people think of people on benefits, they think of the ones who have never worked a day in their life, never contributed, the "scroungers" portrayed in the MSM, the ones who pretend they're ill so they can claim PIP etc.

And they do exist, nobody here can deny that. But we aren't all like that. And many people who claim benefits DO also work! It isn't like every person on benefits is unemployed.

But I repeat - I understand. I get that I'm not gonna be able to save up now, afford luxuries etc. These aren't circumstances of my own making but this is my life now. I accept it! It isn't the best but what can I do?

I just wish I'd been more savvy back when I could have been. Those meals out almost every night weren't really worth it tbh 😂

Wouldn't you just have lost any savings though - had to live off them until they had been run down to the point you were eligible for UC? In reality I've read the stories of people who saved and it didn't make them any better off when disability struck.

And so sorry by the way - that sounds very tough.

I believe you are allowed savings of about.... 6k I think? I'm honestly not very well versed with benefits, but I'm sure it's something like if you have 6k your benefits aren't affected at all, then up to (I think) 16k you can still claim but your benefits are reduced every month.

Which is understandable- I can imagine the DWP being like "well why should we be paying you every month when you have 16k in the bank?"

But like I said I honestly do see both sides. The frustration of hardworking people seeing people on benefits with thousands sat in the bank, and the frustration of people perhaps in similar situations to me where it is just completely situational that they've ended up on UC.

It hasn't been (and continues to not be) the easiest but I'm here, I have a roof over my head, I have my 3 lovely children and DP, and (most importantly) my 3 kitties.

It could be worse ❤️

In order to watch normal TV I would need to get a TV license.

... which would cost more than what I pay for Netflix.

Please explain your working out.

I think most people on UC could save a small amount, even if it’s just £5, on the basis that most people manage to celebrate Christmas and other events (as they should be able to) and “splash out” a bit, even if it’s only a “very little bit”.

YABU to expect to gave savings from UC. If you're claiming due to unemployment only bit well and not illness/disability then you're getting paid to provide for your basic needs aamdm is generally looked upon as being temporary until you secure a job and getting paid a wage.

If you're long term ill and/or disabled your ability to provide financially for yourself is extremely limited and so higher rates of benefits are payable. So you may have a better chance to save some money because you can't work to improve your finances and need government assistance.

Lucky you being a TAB.

How would you cope if you were too ill to work? What about if you and your DH split up?

Why should someone like me pay for your child benefit? Or the school your child attends? Or for 100 other things I don't directly benefit from?

The answer is because we live in a society and we pay for things for others in that society so we all benefit.

OP

Could you try the '1 p challenge'? Ideally you start it on Jan first. You put 1p in a jar or a bank account on day 1, then 2p on day two, 3p on day three etc

You can do it in any order so you can start (if you have it) with £3.65 which is the maximum. If you go on the money saving expert site there is a printable sheet you can tick off.

It is possible to save, but it depends how miserable you are prepared to be.

My carer has managed a couple of trips to Japan on UC, before anyone starts screaming that he gets too much UC he does not put the heating on in his flat. And I mean never, not even when it is snowing. He has a £20 budget for food each week.

He doesn't have a fridge so saves a bit of electric that way. He walks rather than take the bus.

When he gets to Japan he stays in hostels.

He doesn't go out drinking, or to the cinema or to anything else. He doesn't buy clothes unless he absolutely has to.