In this money saving lesson we are focusing on how to save money on your electric bill and air conditioning. The following modules can be implemented by anyone who has to pay the monthly electricity bill.
Please know, this lesson is part of a larger course on how to save money on everything (click here to read the introduction). Check out the other lessons for more ways you can save money here.
Understanding Your Savings Impact
- To estimate cost savings we use a number of sources to help understand how much power is being used.
- One of the most critical data sources for our estimates include a 2013 study by the Lawrence Berkeley National Laboratory, which analyzed the specific costs associated with different electrical devices around your home. We encourage you to check out the study, as understanding where most of your power is going can help you better improve the energy efficiency around your home.
- According to the US Energy Information Administration, US residential utility customers consume 10,972 kWh / year or 914 kWh / month (2018). In addition, we used the US EIA’s average price of electricity to consumers data sheet, which as of May 2020, put the price at $0.1314 per kWH. This gives us an average cost to US residential energy consumers of $1,441.72 / year or $120.14 / month.
- All of our estimates are indeed only estimates. Estimating energy consumption is incredibly difficult, as your individual habits, climate, square footage, home, appliances, insulation, country, energy rates, total people living in the home, and a number of other elements all factor into your costs and potential for savings.
Table of Contents
- Don’t Open the Oven Door While Cooking
- Use Smaller Appliances to Cook
- Use Your Ceiling Fan
- Increase the Temperature in Your Home in the Spring & Summer
- Keep Your Home Cooler in the Fall / Winter
- Use an Outside Grill
- Clean Air Vents
- Plants Trees for Shade
- Use a Smart / Programmable Thermostat
- Use Major Appliances at Off-Peak Times
- Use Your Dishwasher
- Run Your Dishwasher When it’s Completely Full
- Air Dry or Hand Dry Your Dishes
- Replace HVAC Filter Once a Month
- SuperCool Your Home
- Air Dry Clothes
- Use Wool Dryer Balls
- Clean Dryer Lint Trap Every Load
- Clean the Dryer Vent Once a Year
- Wash Your Clothes in Cold Water
- Upgrade Your Washing Machine
- Lower the Temperature on Your Hot Water Heater
- Set a Timer on Your Water Heater
- Maintain & Optimize Your Refrigerator
- Re-Consider Using An Old Refrigerator
- Don’t Put A Refrigerator In the Garage
- Use a Variable Speed Pump on Your Pool
- Improve Insulation & Sealing in Your Home
- Install a Door Sweep
- Switch to Dimmer Switches
- Switch to LED bulbs
- Unplug Electronics
- Use Window Coverings
- Upgrade Your Windows
- Switch to a Low Flow Shower Head
- Add Rooftop Solar
- The Duh List
1. Don’t Open the Oven Door While Cooking
- 🧾 Description – Avoid opening the oven door while cooking, doing so can reduce the temperature by 25 degrees. Use your oven’s timer and oven light to monitor food.
- ⏳ Effort – Low
- 💰 Cost – Free
- 💲 Savings – $15.36 / year
- If you open your oven door to check food 2 times while cooking it will reduce the temperature 25 degrees each time, extending cooking time. Let’s say on average that habit increases cooking time by 20% and you use your oven 40 hours per month at a cost of $0.16 / hour. Your annual oven operating cost would be $76.80 without opening the door and $92.16 if you open the oven door. That means you’re spending $15.36 / year that you could be saving.
- As with any energy related savings, your specific savings will vary based on a number of factors unique to your home and habits.
- In addition to the increased cooking time, by opening the door more often you release the oven’s heat into your home. If it’s the summertime, that means your AC has to work harder to keep your home cool. This further increases your electricity costs.
2. Use Smaller Appliances to Cook
- 🧾 Description – Use your smaller appliances to cook with, especially in the summer, as your oven puts out way more heat into your home that your AC needs to fight against. Toaster ovens, toasters, air fryers, and the microwave are all small, but still get the job done, and put much less heat out into your home. They also consume significantly less power compared to your full sized oven.
- ⏳ Effort – Low to Moderate
- 💰 Cost – Free
- For most homes, you’ll already have a toaster and microwave. In that case, the cost should be free. A toaster oven and air fryer are nice additions if you really want to take advantage of more small appliance cooking.
- 💲 Savings – Varies based on several factors
- Your savings will vary based on how much oven cooking you’re able to offset, your region, your AC, the temperature you keep your home at, your climate, and a number of other factors.
- Beyond the direct heat generated, a microwave uses between 30 to 80% less energy compared to an oven, according to Energy Star.
- Toaster ovens use 30 to 50% less energy compared to an oven, according to Energy Star.
- Below are the average energy costs to operate various cooking appliances according to the California Energy Commission.
- Electric Oven – $0.16 / hour
- Electric Convection Oven – $0.11 / 45 minutes
- Gas Oven – $0.07 / hour
- Electric Frying Pan – $0.07 / hour
- Toaster Oven – $0.08 / 50 minutes
- Electric Crock Pot – $0.06 / 7 hours
3. Use Your Ceiling Fan
- 🧾 Description – Using a ceiling fan can make the room feel 10 degrees cooler. That means you can keep your AC temperature higher, while still maintaining ideal comfort.
- ⏳ Effort – Low
- 💰 Cost – Free
- Many rooms will already have a ceiling fan, you just need to make a point to use it. If you don’t have a ceiling fan they are relatively easy to install. You can find them on Amazon here. If you don’t want to install a ceiling fan you can get a standalone fan.
- 💲 Savings – $144 / year
- Savings will vary based on your region, climate, home, insulation, and how cool you keep your home. However, consider the cost in energy it takes to keep it 10 degrees cooler. If you are able to use a fan and keep your home 10 degrees warmer that is a significant decrease in total energy costs.
- Setting the temperature 7 to 10 degrees warmer for 8 hours a day from its normal setting can reduce energy costs by up to 10%, according to Energy.gov.
- Energy costs in the US vary from as low as $78 / month to as high as $287 / month. We’ll use the national average, which is $120 / month (source and source). At a monthly average of $120 reducing your energy costs by 10% would yield a savings of $12 / month, which is $144 / year.
4. Increase the Temperature in Your Home in the Spring & Summer
- 🧾 Description – The US Department of Energy recommends a day time temperature of 78 degrees, 85 degrees when you’re away, and 82 degrees at night. While that may be too warm for you, the idea is to keep it as warm as you can stand. The lower the difference between the inside and outside temperature the less your power bill will be.
- ⏳ Effort – Low
- 💰 Cost – Free
- 💲 Savings – $29.95 / year
- According to the US Department of Energy, you can reduce your electricity bill by 1% for each degree of thermostat adjustment per 8 hours. A full 24 hours of adjustment could result in a 3% savings per degree.
- If you can increase the temperature in your home from 70 degrees to 78 degrees for 12 hours per day you can reduce your AC operating costs by up to 16%.
- The average monthly energy costs in the US is $120.
- According to the Lawrence Berkeley National Laboratory, cooling accounts for 13% of the total electric bill. 13% of $120 is $15.60 / month or $187.20 / annually. Reducing your annual AC operating costs by 16% (by increasing temperature from 70 to 78 degrees for just 12 hours / day) would result in a savings of $29.95 / year.
5. Keep Your Home Cooler in the Fall / Winter
- 🧾 Description – Keep your home cooler in the winter months.
- ⏳ Effort – Low
- 💰 Cost – Free
- 💲 Savings – $41.76 / year
- The Department of Energy estimates a savings of 1% for each degree of thermostat adjustment per 8 hours. So if you can keep your home at 65 for 8 hours a day instead of 75, that’s a savings of 10%.
- The average US power bill is $120 / month. According to the Lawrence Berkeley National Laboratory, 29% of US residential electricity costs are heating. That breaks down to $34.80 / year.
- If we reduce the temperature by 10% that gives us an average reduction of $3.48 / month or $41.76 / year.
6. Use an Outside Grill
- 🧾 Description – Use an outside grill to cook, especially in the summer. This will avoid heating up your home by not cooking in your kitchen, especially if you typically use an oven to cook. You can find a good selection of grills here.
- ⏳ Effort – Low to Moderate
- 💰 Cost – Free
- If you already have a grill the cost will be free. Of course you can spend several hundred dollars on a fancy grill, but you can easily find an inexpensive mini grill for as cheap as $25. And there are a litany of value options in between.
- 💲 Savings – Varies
- The savings will vary based on how often you’re able to grill outside, how much oven time you’re able to reduce, your home, climate, and a number of other factors.
7. Clean Air Vents
- 🧾 Description – Every 2-3 months wipe down all of your HVAC vent covers and make sure air vents are unobstructed by furniture and other objects. This will allow your HVAC system to operate more efficiently.
- ⏳ Effort – Low to Moderate
- 💰 Cost – Free
- 💲 Savings – Varies
- Allowing your HVAC to operate more efficiently is always in the interest of saving money. As with most energy savings, the savings will depend on a litany of variables unique to your home.
8. Plants Trees for Shade
- 🧾 Description – “The best time to plant a tree was 20 years ago, the second best time is now.” While planting a tree probably won’t help your energy costs today, it might down the road and it will almost certainly be a selling point if you are selling the home in the future.
- ⏳ Effort – Moderate to High
- 💰 Cost – $10+ / per tree (bare root saplings)
- This site has a list of the best fast growing trees for shade. Costs will vary based on the size of the tree you get. Use this site to find trees that will grow well in your climate.
- You can find baby trees as cheap as $10, so the costs to get at least something growing aren’t high.
- 💲 Savings – Varies based on the size and quantity of the trees
9. Use a Smart / Programmable Thermostat
- 🧾 Description – A smart thermostat can automatically adjust itself when you’re not home. Many can also learn your behaviors to help keep temperature at optimal levels. Even a basic programmable thermostat will let you schedule temperatures while you’re at home, away, and asleep. This level of control will help keep your home cool when you need it and warmer when you don’t. Smart thermostats let you control your HVAC via an app, scheduling, or with AI. Programmable thermostats usually just have a more basic scheduling feature.
- ⏳ Effort – Low
- 💰 Cost – $20+ for a programmable thermostat and $100+ for a smart thermostat
- You can find a programmable thermostat here and smart thermostats here.
- 💲 Savings – $72.58 to $139.10 / year
- According to Google Nest, the Nest Learning Thermostat can reduce heating bills by 10 to 12% and cooling bills by 15%. If we call it an average of 12% reduction, over the course of a year that could save the typical home $72.58 (assumes average monthly electric bill of $120 and your heating / cooling accounts for 42% of total usage).
- Amazon’s Ecobee claims to reduce HVAC costs by 23% (compared to a hold of 72 degrees). That would yield a savings of $139.10 / year.
10. Use Major Appliances at Off-Peak Times
- 🧾 Description – Many power companies use different rates for different days, times, and/or billing plans. Check out your power company’s website and see what billing plan you’re on and others they may offer. You may be able to reduce power costs by using major appliances at off-peak times, or rather, times when the cost for electricity is lower.
- ⏳ Effort – Low
- 💰 Cost – Free
- 💲 Savings – Varies
- Will vary dramatically by your power companies billing plan, as well as your habits.
11. Use Your Dishwasher
- 🧾 Description – Use your dishwasher instead of washing dishes by hand. It takes less water, less time, and is more efficient.
- ⏳ Effort – Low
- 💰 Cost – Free
- 💲 Savings – $40 / year
- According to the California Energy Commission, if you use an Energy Star dishwasher as opposed to washing dishes by hand you’ll save 5,000 gallons of water, 230 hours of your time, and $40 in utility costs per year.
12. Run Your Dishwasher When it’s Completely Full
- 🧾 Description – Make a point to only run your dishwasher when it is completely full. By doing so you can reduce the number of times each month you need to run it, saving both water and electricity costs.
- ⏳ Effort – Low
- 💰 Cost – Free
- 💲 Savings – $66.96
- According to CSMonitor.com, it costs $0.40 to $0.50 in hot water and $0.17 per dishwasher load in electricity costs. We’ll split the difference in hot water and call it $0.45. Add that $0.45 to $0.17 and we have a total cost per load of $0.62.
- Let’s say you’re in the habit of running your dishwasher at about half capacity, which you run every day. If instead you reduce your dishwasher runs from 7 times per week to 4 times per week you will reduce your total runs by 9 per month or 108 runs a year. That will return a savings of $66.96 / year.
13. Air Dry or Hand Dry Your Dishes
- 🧾 Description – Turn heat drying off on your dishwasher and allow them to air dry instead.
- ⏳ Effort – Low to Moderate
- 💰 Cost – Free
- 💲 Savings – $9.46 / year
- It costs around $0.17 per load to run your dishwasher. According to Hunker and SFGate, not using the heat function on your dishwasher will save around 15% of the total power costs. That nets out to $0.026 / per dishwashing load. If you use your dishwasher once a day that’s a savings of $0.18 / week or $9.46 / year.
14. Replace HVAC Filter Once a Month
- 🧾 Description – Replace your HVAC filters once per month.
- ⏳ Effort – Low
- 💰 Cost – $3 per filter
- Most HVAC professionals I’ve spoken with recommend the most basic air filter you can find. More advanced filters can put more strain on your unit, increasing operational costs. It’s better to use a less expensive filter and make sure you replace once per month.
- 💲 Savings – $26.50 / year
- According to the US Department of Energy, a clean filter can reduce your air conditioner’s energy consumption by 5 to 15%.
- According to HVAC.com, it costs $4.34 to run your AC 8 hours per day.
- Let’s say you live in a climate where you need to use an AC for 180 days per year at a cost of $4.34 per day. That’s a total cost of $781.20 / year. Now, let’s add in our clean filter reductions. We’ll split the 5 to 15% range and just call it an 8% reduction. That 8% reduced energy cost results in a savings of $62.50 / year. Subtract our filter cost of $36 / year and we have a net savings of $26.50 / year.
- In addition to this direct savings, you also extend the life of your AC by replacing filters on time and ensure that your warranty is protected.
15. SuperCool Your Home
- 🧾 Description – If your city offers an electricity plan that offers reduced rates at certain times of the day you can use supercooling (pre-cool) to cool your home. The basic idea is to get your home extra cool during the off-peak billing times and make sure you are not using your AC or other major appliances during the most expensive on-peak energy price times. If your home has good insulation, it will hold all of the extra cool air from earlier in the day and allow you to not use your AC until the next off-peak hours activate. You can read more about supercooling here and here.
- ⏳ Effort – Low to Moderate
- 💰 Cost – Free
- You may need to log on to your energy company’s website or call them to change your plan to take advantage of off / on-peak pricing plans.
- 💲 Savings – Varies
- Savings will vary significantly on your diligence to avoid using power during on-peak times, your home’s insulation, your AC, your energy plan, big appliances, and a number of other factors. However, if you are able to change your habits to fully take advantage of supercooling the savings can be significant. This HVAC company estimates you could see “triple digit savings during the cooling months”. See this site for FAQs.
16. Air Dry Clothes
- 🧾 Description – Air, hang, and/or line dry your clothes as opposed to using heat to dry them.
- ⏳ Effort – Moderate
- 💰 Cost – Free to $50
- Most door frames are wide enough that you can hang your clothes hangers on them to dry.
- You can also use a simple indoor drying rack like this.
- If you prefer a more robust solution, an exterior clothesline can range from $20-$50
- 💲 Savings – $170 in year 1, $200 / year in subsequent years
- According to The Spurce, you can save $200+ / year by using a clothesline instead of your dryers heat functions. If an indoor drying rack or clothesline costs you $30 then you’ll save $170 in year one and $200 / year in subsequent years.
17. Use Wool Dryer Balls
- 🧾 Description – Use wool dryer balls to help your clothes dry more quickly.
- ⏳ Effort – Low
- 💰 Cost – $8 to $10 for 4-6 wool dryer balls
- 💲 Savings – $0 in year 1, $8 / year in subsequent years
- Wool dryer balls are not miracle workers, but according to the Simple Dollar you’ll save around $0.03 / load. This site estimated their savings at $0.04 / load.
- If you do 200 loads of laundry per year that’s $8 / year. In which case, you should pay for your laundry balls within the first year and then be saving around $8 / year after that.
18. Clean Dryer Lint Trap Every Load
- 🧾 Description – Remove the dryer lint trap before each load and clean it thoroughly. Not only is this good for efficiency, but it’s also good for safety and fire prevention.
- ⏳ Effort – Low
- 💰 Cost – Free
- 💲 Savings – $34 / year
- According to the Environmental Protection Agency you can save an average of $34 / year by cleaning the lint trap before every load.
19. Clean the Dryer Vent Once a Year
- 🧾 Description – Clean your dryer vent annually. This isn’t the lint trap, this is the bit of tubing that runs from the dryer to outside your home, it brings air to the dryer so it can function better.
- ⏳ Effort – Low to High
- 💰 Cost – Free
- If you’re able to do it yourself the cost will be free. If you have a fairly simple dryer vent then that should be doable.
- If you have a more complex dryer vent then you may need to hire a professional to clean, which can cost $50 to $100.
- 💲 Savings – $288 / year
- According to this site, cleaning your dryer vent annually can save up to $288 / year.
- According to the National Fire Protection Association, nearly 15,000 house fires each year are caused by overheating dryers. Keeping a clean dryer vent could help prevent your house from burning down.
20. Wash Your Clothes in Cold Water
- 🧾 Description – Wash your clothes in cold water instead of warm or hot water. This will reduce the energy consumed via your hot water heater, not to mention that it also tends to help clothes last longer.
- ⏳ Effort – Low
- 💰 Cost – Free
- 💲 Savings – $40 / year
- According to SearsHomeServices.com, 90% of the energy used on washing clothes comes from heating the water. And the average household can save $40 / year by using cold water to wash clothes.
21. Upgrade Your Washing Machine
- 🧾 Description – Upgrade to a newer Energy Star certified washer. The older your washer is the more of a savings impact this can have for you.
- ⏳ Effort – Low
- 💰 Cost – $600 to $1,200
- 💲 Savings – $0 for the first 3-4 years, and then it will be yielding $190 / year in savings
- If your washer is 10 or more years old it is costing you an extra $190 / year to operate in energy and water costs, according to the US Department of Energy.
- New Energy Star certified washers start around $600 and go up from there. However, even if you purchase a new washer for $800, but it’s able to save you $190 / year, you will break even on your purchase in 4.2 years.
22. Lower the Temperature on Your Hot Water Heater
- 🧾 Description – Set your hot water temperature to 120 degrees.
- ⏳ Effort – Low
- 💰 Cost – Free
- 💲 Savings – $101.53 / year
- According to SFGate.com, it costs $781 / year to operate a hot water heater. Most water heater labels will include an annual operating cost.
- According to Energy Star, reducing your water heater to 120 degrees will save 4-22% annually on energy costs.
- We’ll split the difference and assume an average energy reduction of 13%. If we take our average cost to operate of $781 that results in a savings of $101.53 / year.
23. Set a Timer on Your Water Heater
- 🧾 Description – Install a timer on your hot water heater to help reduce energy costs by not heating water when you don’t need it.
- ⏳ Effort – Low to Moderate
- 💰 Cost – $40 to $80
- Savings – $46.80 / year
- According to this site, a water heater timer can save up to 25% on the costs of water heating.
- The average annual US monthly power bill is $120. On average, 13% of the total bill is related to water heating. That adds up to $15.60 / month and $187.20 / year.
- A savings of 25% would result in an annual cost savings of $46.80.
24. Maintain & Optimize Your Refrigerator
- 🧾 Description – By properly maintaining and optimizing your refrigerator and freezer you can improve energy efficiency and reduce your total annual energy costs.
- ⏳ Effort – Low to Moderate
- Start by setting the refrigerator at 38 degrees and freezer at 5 degrees. Energy Star recommends you keep your fridge at 35 to 38 degrees Fahrenheit.
- Clean the refrigerator’s coils twice per year. This can improve efficiency by 30 to 50% according to FamilyHandyman.com.
- Keep both your refrigerator and freezer full. If you don’t often keep that much food in them, get bags of ice for the freezer or jugs of water for the refrigerator. A full refrigerator runs more efficiency.
- Double check the seals on your doors to make sure they are sealing well. If they are not, replace those.
- 💰 Cost – Free
- 💲 Savings – $60 / year
- By optimizing and maintaining your refrigerator you can save up to $60 / year, according to FamilyHandyman.com.
25. Re-Consider Using An Old Refrigerator
- 🧾 Description – If you have an older refrigerator, especially if you’re using it in a garage, basement, or other non-climate controlled area, you should re-considering using it at all. If you do need to keep a refrigerator there, consider upgrading it. Older refrigerator’s are incredibly inefficient compared to more recent models.
- ⏳ Effort – Low
- 💰 Cost – $400+
- While you can spend thousands on a refrigerator, we’ve found Energy Star refrigerators as low as $400 at Home Depot.
- 💲 Savings – $125 to $244 / year.
- Use this tool to estimate how much your refrigerator is costing you.
- As an example, let’s say you had a refrigerator in the garage that you were using to store your bulk up trips to Costco. If that fridge was built in the mid to late 1990s and is a typical size (19-21.4 cubic feet) then your annual cost to operate is $125. That’s a huge amount of money that could be eating into your bulk buying savings.
- If that same sized fridge was built in the 1980s, your operating costs balloons to $244 / year. The older the fridge the more you’re likely to see increased savings by getting rid or upgrading it.
26. Don’t Put A Refrigerator In the Garage
- 🧾 Description – Many homes will put a 2nd refrigerator or freezer in the garage to save space. Oftentimes using that fridge for bulk items to save money. However, because your garage gets so much hotter than your house it takes more power to keep the fridge cool. If at all possible, keep all refrigerators and freezers inside the house to maximize their efficiency.
- ⏳ Effort – Low to Moderate
- 💰 Cost – Free
- 💲 Savings – $11 / year
- According to Florida Power & Light, it costs $84 / year to run a refrigerator inside a home and $95 / year to operate in a garage.
27. Use a Variable Speed Pump on Your Pool
- 🧾 Description – If you have a pool use a variable speed pump to save money on electricity costs
- ⏳ Effort – Low or High
- Low effort if you pay someone to install for you, and high effort if you do the install yourself
- 💰 Cost – $700 to $1,500
- Cost will vary dramatically based on the pump required and your pool size
- 💲 Savings – $336 / year
- According to Energy Star, a variable speed pool pump can save up to 70% electricity compared to a traditional pump. Energy Star says that on average a traditional pool pump costs $480 / year to operate, which means making the switch could save you $336 / year. In many cases, the new variable speed pool pump will pay for itself in 2-3 years, and after that it starts paying you big bucks every year. In early 2020 my wife and I sold our first home that had a traditional pool pump that was around $100 / month to run (in Phoenix, Arizona). We could have gotten a new high-end variable pump for around $1,200. In retrospect, I wish we had done it the day we moved in, as the cost savings would have been significant.
28. Improve Insulation & Sealing in Your Home
- 🧾 Description – Improve the insulation and sealing of your home to keep your home air tight. This will keep your home hot or cooler for longer periods of time and keep the elements out. Consider doors, windows, or other places where air may enter.
- ⏳ Effort – Low to High
- Low if you pay a contractor to do it
- High if you do it yourself
- 💰 Cost – $155 to $210 (assuming 2 tubes of caulk or sealant and a 500 square foot attic)
- According to Home Advisor, fiberglass insulation costs $0.64 to $1.19 per square foot, which breaks down to $145 to $200 for a 500 square foot area if you do it yourself. If you pay someone to do it you can expect $300 to $500.
- A tube of caulk or sealant is $3-$8.
- 💲 Savings – $0 in year 1, $158.40 / year in subsequent years
- On average, US homes spend $120 / month in electricity costs, which is $1,440 / year. According to Energy Star, effective insulating and sealing can reduce power costs by 11%. In year 1 your savings would be $158.40, which for many homes would fully cover the insulation and sealing costs. This would yield $158.40 / year in savings for subsequent years.
29. Install a Door Sweep
- 🧾 Description – Install a door sweep on exterior doors that don’t seal well. The door to your garage is typically the worst offender.
- ⏳ Effort – Low to Moderate
- More complex door sweeps will cost more and take more time to install. If you do it yourself, you can expect the time to be in the moderate effort level.
- Simple door sweeps can install in seconds, like this one.
- 💰 Cost – $5 to $20
- If you install yourself, the cost is relatively inexpensive. However, if you pay to have it installed it can cost up to $100 / door. At that price, it may not be worth it unless your current exterior doors are poorly sealed. If you’re able to do this project yourself you should.
- 💲 Savings – Varies
- Your savings will vary based on how many doors you’re sealing and how bad your current air leaks are. The worse the air leaks and/or the more doors you’re sealing, the bigger your savings will be.
30. Switch to Dimmer Switches
- 🧾 Description – Use dimmer switches in your home where they make sense. A traditional switch is 100% on or 100% off. A dimmer switch can vary the power output, so 10% light is roughly 10% of electricity. If you’re able to use the dimmer switches at less than 100% power you can see a proportional cost savings.
- ⏳ Effort – Low to Moderate
- Low if you pay someone else to install
- Moderate if you install yourself
- 💰 Cost – $20 to $50 / per switch
- 💲 Savings – -$24 in year 1, $76 / year in subsequent years
- According to this site, you can reduce your electricity bill (on a per switch basis) by 10 to 90%.
- On average, 12% of total electricity costs are for lighting. On average, US homes spend $120 / month in electricity costs. This breaks the average monthly lighting cost to $14.40 and the average annual cost to $172.80.
- If you switch your 5 most used light switches to dimmers at a cost of $20 per switch you’ll spend $100. If you’re able to consistently just use 50% of the light’s full power you will save 50% in power costs. If you assume that your top 5 switches account for 90% of your total lighting costs, we have an average annual cost of $155.52. If we can reduce that by 50% with dimmer switches you’ll see a savings of $77.76 / year. With a cost of around $100 for the 5 dimmer switches you will be down $22.24 in year one, but save $77.76 / year for subsequent years.
31. Switch to LED bulbs
- 🧾 Description – Switch your old lightbulbs (especially incandescent) out with new LEDs.
- ⏳ Effort – Low to Moderate
- 💰 Cost – $1.35 / bulb
- Prices can vary depending on the type of bulb you need. We were able to find a pack of 10 A19 bulbs for as cheap as $1.35 / bulb at Home Depot.
- 💲 Savings – $70.46 in year one, $80.96 / year for subsequent years
- According to Energy.gov, LED bulbs use 75% less energy compared to incandescent bulbs.
- According to TheSimpleDollar.com, an LED light costs $30 in energy costs for 25,000 hours (about 23 years of use). This compared to an incandescent bulb, which costs $180 over the same time period.
- That breaks down to $1.30 / year in energy costs for an LED bulb and $7.83 / year in energy costs for an incandescent bulb.
- Buying 10 new LED bulbs would cost as low as $13.50 and your annual energy costs would be $13.00. That’s a total cost of $23.50 in year one and annual energy costs of $13.00 in subsequent years. The annual energy cost if you keep your incandescent bulbs is $93.96. So if you replaced your 10 most used bulbs you would save $70.46 in year one and $80.96 in subsequent years.
32. Unplug Electronics
- 🧾 Description – Many electronics are “always on”. Even when they are turned off, they may actually be on and soaking up energy. The only way to truly turn them off is to unplug them. Make a point to either unplug electronics when not in use or put them on a smart switch / outlet / plug and schedule them to turn off when you’re asleep or otherwise not using them.
- ⏳ Effort – Low to Moderate
- 💰 Cost – Free
- Free if you simply unplug them, if you want to add smart switches / outlets / plugs that of course will cost extra. You can find smart plugs for $5 to $10 / per.
- 💲 Savings – $100 / year
- According to Hydro Quebec and How Stuff Works “phantom” power usage (aka “vampire” power usage) accounts for 5-10% of all electricity costs.
- The US Department of Energy says that these energy vampires cost US holdholds $100 / year.
- According to Lawrence Berkeley National Laboratory the average home contains 40 products constantly drawing power.
33. Use Window Coverings
- 🧾 Description – Whether you install blinds, curtains, shades, shutters, or something else, window coverings reflect the sun’s energy out of your home, keeping your home cooler in the warm months. In the cooler months you should open your window coverings to take advantage of the sun’s energy, increasing the heat in your home naturally.
- ⏳ Effort – Moderate to High
- 💰 Cost – $650 (blinds)
- The national average cost to install blinds on your windows is $650, according to Fixr.com. That assumes 8 windows, 27” wide, with a faux wood slat blind.
- 💲 Savings – $179 to $244 / year
- According to Energy.gov, 30% of your home’s heat is lost through windows in the winter. In months where you use your AC, 76% of the sunlight that falls on your windows becomes heat.
- Use Home Depot’s energy savings calculator here. It can give you a better idea of the savings you can achieve in your home. According to the tool, with faux wood blinds on a 2,500 square feet house I can reduce my annual energy costs by $179 (where I live in Arizona). With double cell black out shades that increases to $244 / year.
- If you already have a window covering you should absolutely use them. Close them in the hot months and keep them open in the cold months. If you don’t have a window covering you can make a good case for adding them to your home, as they can potentially pay for themselves within 3-4 years (depending on what you get exactly and where you live).
34. Upgrade Your Windows
- 🧾 Description – If you have single pane windows then you should consider upgrading to high-efficiency windows. Double-pane, triple-pane, and other high-efficiency window products keep your home better sealed and insulated.
- ⏳ Effort – Low
- Assuming you are paying a contractor to install
- 💰 Cost – $200 to $300 / window
- Costs can vary dramatically depending on the type of window, level of efficiency, design, brand, and more. Pella’s base line is in the $200 to $300 range. See more cost estimates here. However, you will likely want to get a quote for your home specifically.
- 💲 Savings – $101 to $583 / year
- According to the US Department of Energy you will save $101 to $583 / year when replacing single-pane windows with Energy Star certified windows.
- If you replace 8 windows at a cost of $250 per window you’ll spend $2,000. If those new windows improve the insulation of your home and reduce energy costs by $400 / year then the windows will pay for themselves in 5 years. New windows are not cheap or an immediate return on investment, but it will pay for itself in time.
35. Switch to a Low Flow Shower Head
- 🧾 Description – Switch your shower heads to a low flow shower head, which uses less water per minute.
- ⏳ Effort – Low
- 💰 Cost – $20 to $50
- 💲 Savings – $145 / year
- According to the US Department of Energy, by switching to a low flow water head you’ll save $145 / year in electricity costs (if you take 10 minute showers).
36. Add Rooftop Solar
- 🧾 Description – Add solar panels to your roof.
- ⏳ Effort – Low
- The effort is low because you’ll almost certainly need to hire a contractor to install and hook up your panels.
- 💰 Cost – $20,000
- Costs range based on your system size, but on average, a typical solar install is $20,000 in the US.
- 💲 Savings – Varies based on your home, climate, power company, and other factors
- Use this tool to estimate your savings by adding rooftop solar. For my home, the tool estimated a savings of $43,000 over 20 years and it would full pay for itself in 7.5 years.
- Solar costs, break-even points, tax credits, surplus energy sale prices, and more vary dramatically based on where you live. Given the costs associated, you absolutely want to do your homework and make sure you fully understand all of the costs involved and what you’re likely to save over the long run.
37. The Duh List
- If you need to upgrade major appliances (washer, dryer, water heater, dishwasher, HVAC, etc.) then choose the most energy efficient models. Look for the Energy Star seal.
- If you need to upgrade home fixtures (lights, doors, windows, etc.) then choose the most energy efficient models. Look for the Energy Star seal.
- If you need to upgrade your clothes dryer consider a gas dryer, which costs around $40 / year to operate vs. an electric dryer, which is $100 / year
- Use solar powered exterior lights, fixtures, cameras, and more, wherever possible.
- When major appliances are nearing the end of their life consider the cost to repair vs. the cost of a new machine. When you add in the costs to repair the machine to the costs you’ll save with a more energy efficient model it often makes more sense to replace a major appliance vs. repairing it.