Money Advice Service introduces a benefits budgeting tool

The Money Advice Service (MAS) has launched a tool to help people using universal credit budget.

Money Advice Service introduces a benefits budgeting tool

The Online Money Manager is a free and interactive tool that offers personalised advice on how to budget while on universal credit.

Universal credit is a single monthly payment which replaces six benefits and adjusts automatically when someone moves into work.

MAS said this structure makes the transition much easier for claimants and means there is always an incentive to work.

It offers help and advice on a range of money topics, including opening a bank account, keeping on top of bills and dealing with debt.  

The tool will also signpost users to further support, such as advanced payments and free debt advice.

Caroline Rookes, chief executive of MAS, said: “The Online Money Manager is an essential tool that will help people to plan and budget for this way of receiving their money and paying their bills.

“They will be able to find personalised information about bank accounts, help with setting up direct payments to landlords, budgeting and saving money on regular bills, as well as where to go for additional support if they are struggling with financial commitments.

“We are pleased to be working closely with DWP to bring this tool to the people who can benefit the most.”