Save Money5 minJune 17, 2026

How to Reduce Your Electric Bill — Without Freezing or Sweating

Electricity costs have risen sharply. Here's how to cut your bill without turning off the AC or living in the dark.

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General information only. This article is for general information and educational purposes. It does not constitute financial, debt, benefits, tax, legal, or regulated advice. Information may change — always verify with official sources or a qualified adviser before acting.

Electricity is one of the few household bills you have real control over. Average US household electricity costs have risen significantly in recent years, but there are practical ways to reduce your bill without major discomfort or expensive upgrades.

Heating and cooling: the biggest lever

Roughly half of the average US household energy bill goes to heating and cooling. Even small adjustments here create real savings. Setting your thermostat 7–10 degrees lower when you're asleep or away from home can save up to 10% a year on heating and cooling costs, according to the Department of Energy.

A programmable or smart thermostat makes this automatic. Many utility companies offer rebates on smart thermostats — check your utility's website before buying one.

Check for "phantom loads"

Electronics and appliances that stay plugged in draw power even when not in use — this is called a phantom load or standby power. TVs, gaming consoles, phone chargers, microwaves with displays, and cable boxes are common culprits. Plugging these into smart power strips (which cut power when devices aren't actively being used) can reduce phantom load significantly.

Wash clothes in cold water

About 90% of the energy a washing machine uses goes toward heating water. Modern detergents work just as well in cold water for the vast majority of loads. Switching to cold water washing for most loads can cut laundry energy use by more than half.

Check if you're on the right utility rate plan

Many utilities offer time-of-use (TOU) plans where electricity is cheaper during off-peak hours — often late at night and early morning. If you can shift energy-heavy tasks (running the dishwasher, charging devices, doing laundry) to off-peak times, these plans can lower your bill meaningfully. Call your utility or check their website to see if TOU pricing is available in your area.

Check for assistance programs

If money is tight, the Low Income Home Energy Assistance Program (LIHEAP) provides federal assistance with heating and cooling costs. Eligibility is based on income and household size. Many utility companies also have their own bill assistance programs for customers facing hardship. These programs go significantly underused — millions of eligible households never apply.

Simple habits that add up

Switch to LED bulbs if you haven't already — they use up to 75% less energy than incandescent bulbs and last years longer. Run the dishwasher only when it's full and use the air-dry setting. Seal any drafts around doors and windows with weatherstripping or caulk. Keep your refrigerator between 35–38°F and your freezer at 0°F — colder than necessary wastes energy.

None of these changes requires sacrificing comfort. Most take under an hour to implement and start saving money on your next bill.

Put this into practice

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