Energy costs have risen sharply in recent years, and for many households the utility bill has become one of the more painful line items in the budget. The good news is that a meaningful portion of most energy bills comes from habits and settings that are easy to change without spending money on new appliances or home improvements.
Heating and cooling account for almost half your energy use
According to the Department of Energy, heating and cooling typically account for about 43 percent of home energy use. Adjusting your thermostat by even a few degrees makes a real difference. Setting it 7 to 10 degrees lower when you are asleep or away from home can reduce heating and cooling costs by up to 10 percent per year. If you have a programmable or smart thermostat, scheduling those adjustments automatically costs nothing and requires no ongoing effort.
Check what is plugged in and drawing power
Electronics and appliances draw power even when they appear to be off. This is called standby or phantom load. Televisions, gaming consoles, cable boxes, and older appliances are common culprits. Plugging these into a power strip and switching the strip off when devices are not in use eliminates standby draw without any inconvenience. Some households reduce their electricity bill by 5 to 10 percent from this change alone.
Water heating is the second largest energy expense
Most water heaters are set to 140 degrees by default. Turning it down to 120 degrees is still hot enough for showers and dishwashing and reduces the energy used to keep water hot throughout the day. It also reduces the risk of scalding. This takes about two minutes to adjust and typically shows up in lower gas or electric bills within the first billing cycle.
Run appliances at off-peak times if your utility offers it
Many utility companies charge different rates depending on time of day, with higher rates during peak hours, usually mid-afternoon to early evening, and lower rates at night. Running your dishwasher, washing machine, and dryer after 9 pm can reduce electricity costs if your utility uses time-of-use pricing. Check your bill or your utility's website to see whether you are on a plan that makes this worth doing.
Check for utility assistance programs
The Low Income Home Energy Assistance Program, known as LIHEAP, provides financial help with heating and cooling costs for qualifying households. Eligibility is based on income, and many people who qualify do not apply. Most state energy offices also have their own assistance programs, and many utilities offer budget billing or payment plans that can smooth out seasonal spikes even if you do not qualify for assistance. These are worth checking before assuming your bill is simply what it is.