The upcoming leap year poses an unnoticed financial impact on full-time employees in the UK.
- Employees are set to lose an average of £134 due to the extra day in February 2024.
- Most UK workers are not receiving additional pay for their added day of work.
- A £134 loss equates to two weeks’ worth of grocery shopping for the average household.
- Experts suggest switching bank accounts or using saving apps to mitigate financial burdens.
In the year 2024, a leap year adds an extra day—February 29th—which may seem insignificant but carries unanticipated financial consequences for Britain’s full-time salaried workers. According to research by finder.com, this additional day means employees effectively work without pay, resulting in an average loss of £134.
Typically, salaries are dispensed on a monthly basis and do not account for an extra day, leading to employees working more for the same compensation. Given the annual average salary of £34,963, this daily rate equates to the aforementioned £134 loss, which employees will not receive despite working an additional day.
To put this into perspective, the average UK household spends approximately £62.20 per week on groceries as per the Office for National Statistics (ONS). Hence, the monetary loss from the leap year day could cover the expense of two weeks’ worth of groceries.
Despite the losses, options exist to alleviate financial stress. Kate Steere, a savings expert, advises employees concerned about their financial state to consider switching to banks offering attractive deals. Notable offers include switching to Natwest or RBS, yielding £200, facilitated easily through the Current Account Switching Service.
Alternatively, utilizing free financial apps such as Plum or Chip can help. These platforms offer competitive savings rates and investment opportunities, providing a straightforward method to bolster savings.
The impending leap year day highlights a subtle but notable impact on UK employees’ finances, warranting attention and strategic financial planning.
