diff --git a/public/locales/en/common.json b/public/locales/en/common.json
index 5ec3f196f..1e8fe5216 100644
--- a/public/locales/en/common.json
+++ b/public/locales/en/common.json
@@ -184,11 +184,11 @@
       "description_placeholder": "Enter description",
       "pick_a_date": "Pick a date",
       "select_user_or_group": {
-        "add_to_split_pro": "Add to Split Pro",
+        "add_to_split_pro": "Add to Expense",
         "note": "Note: sending invite is disabled for now because of spam",
         "only_one_group_time": "You can have only one group at a time",
         "send_invite": "Send invite to user",
-        "warning": "Warning: Don't use send invite if it's invalid email. use add to Split Pro instead. Your account will be blocked if this feature is misused"
+        "warning": "Warning: Don't use send invite if it's invalid email. Use add to expense instead. Your account will be blocked if this feature is misused"
       },
       "split_type_section": {
         "direction": {
@@ -324,12 +324,12 @@
     "no_members": {
       "add_members": "Add members",
       "add_members_details": {
-        "add_to_split_pro": "Add to Split Pro",
+        "add_to_split_pro": "Add to Group",
         "note": "Note: sending email invites is disabled",
         "placeholder": "Enter name or email",
         "send_invite": "Send invite to user",
         "title": "Add members",
-        "warning": "Warning: Don't use send invite if it's invalid email. use add to Split Pro instead. Your account will be blocked if this feature is misused"
+        "warning": "Warning: Don't use send invite if it's invalid email. Use add to group instead. Your account will be blocked if this feature is misused"
       },
       "invite_link": "Invite link",
       "no_members": "No members in the group yet."
@@ -441,6 +441,11 @@
     "on": "on",
     "or": "or",
     "outstanding_balances": "Outstanding balances",
+    "people_list_empty": {
+      "no_contacts": "You have not shared expenses with anyone",
+      "no_matches": "No one matches that name",
+      "all_added": "Everyone you share expenses with is already in this group"
+    },
     "total_balance": "Total balance",
     "select_currency": "Select currency",
     "select_balance": "Select balance",
diff --git a/src/components/AddExpense/SelectUserOrGroup.tsx b/src/components/AddExpense/SelectUserOrGroup.tsx
index 85ef2265b..df1c16c36 100644
--- a/src/components/AddExpense/SelectUserOrGroup.tsx
+++ b/src/components/AddExpense/SelectUserOrGroup.tsx
@@ -10,6 +10,7 @@ import { z } from 'zod';
 import { useAddExpenseStore } from '~/store/addStore';
 import { api } from '~/utils/api';
 import { deserializeDefaultSplit } from '~/lib/defaultSplit';
+import { peopleListEmptyReason } from '~/lib/peopleList';
 
 import { EntityAvatar } from '../ui/avatar';
 import { Button } from '../ui/button';
@@ -45,6 +46,13 @@ export const SelectUserOrGroup: React.FC<{
     (f.name ?? f.email)?.toLowerCase().includes(nameOrEmail.toLowerCase()),
   );
 
+  /* Both friends and groups populate this list, so either one counts as having contacts. */
+  const emptyReason = peopleListEmptyReason({
+    isLoading: friendsQuery.isPending || groupsQuery.isPending,
+    hasAnyContacts: 0 < (friendsQuery.data?.length ?? 0) || 0 < (groupsQuery.data?.length ?? 0),
+    isFiltering: '' !== nameOrEmail.trim(),
+  });
+
   const onAddEmailClick = useCallback(
     (invite = false) => {
       if (isEmail.success) {
@@ -212,8 +220,13 @@ export const SelectUserOrGroup: React.FC<{
         ) : null}
 
         {0 === filteredFriends?.length && 0 === filteredGroups?.length ? (
-          <div className="mt-[30%] flex flex-col items-center justify-center gap-20 transition-discrete starting:opacity-0">
+          <div className="mt-[30%] flex flex-col items-center justify-center gap-8 transition-discrete starting:opacity-0">
             <Image alt="empty user image" src="/empty_img.svg" width={250} height={250} />
+            {emptyReason ? (
+              <p className="text-center text-sm text-gray-400">
+                {t(`ui.people_list_empty.${emptyReason}`)}
+              </p>
+            ) : null}
           </div>
         ) : null}
       </div>
diff --git a/src/components/group/AddMembers.tsx b/src/components/group/AddMembers.tsx
index 0a101537d..f6a617b26 100644
--- a/src/components/group/AddMembers.tsx
+++ b/src/components/group/AddMembers.tsx
@@ -9,6 +9,7 @@ import { z } from 'zod';
 
 import { Button } from '~/components/ui/button';
 import { AppDrawer } from '~/components/ui/drawer';
+import { peopleListEmptyReason } from '~/lib/peopleList';
 import { api } from '~/utils/api';
 
 import { EntityAvatar } from '../ui/avatar';
@@ -45,6 +46,15 @@ const AddMembers: React.FC<{
       (friend.name ?? friend.email)?.toLowerCase().includes(inputValue.toLowerCase()),
   );
 
+  /* Says why the list is blank instead of rendering nothing, which reads as a broken dialog. */
+  const emptyReason = filteredUsers?.length
+    ? null
+    : peopleListEmptyReason({
+        isLoading: friendsQuery.isPending,
+        hasAnyContacts: 0 < (friendsQuery.data?.length ?? 0),
+        isFiltering: '' !== inputValue.trim(),
+      });
+
   function onUserSelect(userId: number) {
     setUserIds((prev) => ({ ...prev, [userId]: !prev[userId] }));
   }
@@ -160,6 +170,11 @@ const AddMembers: React.FC<{
         </div>
       </div>
       <div className="mt-4 flex flex-col gap-4">
+        {emptyReason ? (
+          <p className="text-center text-sm text-gray-400">
+            {t(`ui.people_list_empty.${emptyReason}`)}
+          </p>
+        ) : null}
         {filteredUsers?.map((friend) => (
           <Button
             variant="ghost"
diff --git a/src/lib/peopleList.test.ts b/src/lib/peopleList.test.ts
new file mode 100644
index 000000000..477a3303a
--- /dev/null
+++ b/src/lib/peopleList.test.ts
@@ -0,0 +1,48 @@
+import { peopleListEmptyReason } from '~/lib/peopleList';
+
+describe('peopleListEmptyReason', () => {
+  describe('Loading', () => {
+    it('should say nothing while contacts are still loading', () => {
+      expect(
+        peopleListEmptyReason({ isLoading: true, hasAnyContacts: false, isFiltering: false }),
+      ).toBeNull();
+    });
+
+    it('should stay silent while loading even once a filter is typed', () => {
+      expect(
+        peopleListEmptyReason({ isLoading: true, hasAnyContacts: true, isFiltering: true }),
+      ).toBeNull();
+    });
+  });
+
+  describe('NoContacts', () => {
+    it('should report having no contacts at all', () => {
+      expect(
+        peopleListEmptyReason({ isLoading: false, hasAnyContacts: false, isFiltering: false }),
+      ).toBe('no_contacts');
+    });
+
+    it('should report having no contacts even when a filter is typed', () => {
+      // The filter is irrelevant: there was never anything to match against.
+      expect(
+        peopleListEmptyReason({ isLoading: false, hasAnyContacts: false, isFiltering: true }),
+      ).toBe('no_contacts');
+    });
+  });
+
+  describe('Filtering', () => {
+    it('should report that the filter matched nobody', () => {
+      expect(
+        peopleListEmptyReason({ isLoading: false, hasAnyContacts: true, isFiltering: true }),
+      ).toBe('no_matches');
+    });
+  });
+
+  describe('AllAdded', () => {
+    it('should report that everyone has already been added', () => {
+      expect(
+        peopleListEmptyReason({ isLoading: false, hasAnyContacts: true, isFiltering: false }),
+      ).toBe('all_added');
+    });
+  });
+});
diff --git a/src/lib/peopleList.ts b/src/lib/peopleList.ts
new file mode 100644
index 000000000..7070bd5e4
--- /dev/null
+++ b/src/lib/peopleList.ts
@@ -0,0 +1,32 @@
+export type PeopleListEmptyReason = 'no_contacts' | 'no_matches' | 'all_added';
+
+export interface PeopleListEmptyOptions {
+  isLoading: boolean;
+  /** Whether the user has any contacts at all, before the search box filters them. */
+  hasAnyContacts: boolean;
+  /** Whether the search box currently narrows the list. */
+  isFiltering: boolean;
+}
+
+/**
+ * Explains why a list of people came out empty, so the UI can say something true rather
+ * than rendering nothing.
+ *
+ * Returns null while the contacts are still loading: showing "you have not shared expenses
+ * with anyone" before the query resolves would be the same misleading blank in a new form.
+ */
+export const peopleListEmptyReason = ({
+  isLoading,
+  hasAnyContacts,
+  isFiltering,
+}: PeopleListEmptyOptions): PeopleListEmptyReason | null => {
+  if (isLoading) {
+    return null;
+  }
+
+  if (!hasAnyContacts) {
+    return 'no_contacts';
+  }
+
+  return isFiltering ? 'no_matches' : 'all_added';
+};