What are the potential issues with encoding Umlauts in PHP code when working with UTF-8 databases?

When working with UTF-8 databases in PHP, encoding Umlauts (such as ä, ö, ü) can be an issue if the PHP code itself is not saved in UTF-8 format. To solve this problem, make sure that your PHP files are saved with UTF-8 encoding to properly handle Umlauts.

<?php
// Ensure that PHP files are saved with UTF-8 encoding to handle Umlauts correctly
// This can be specified in your code editor or IDE settings

// Example PHP code snippet with Umlauts
$umlaut = 'ä';
echo $umlaut;
?>