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The Biggest Contributors to Your Energy Bill

Your phone, your internet, your streaming services…these are bills that cost the same from month to month. They’re bills you can count on and plan for. Your energy bill, on the other hand, is always full of surprises. You never know exactly what it’s going to be. So, what goes into that seemingly random number? This article is all about your energy bill and what’s driving it.

What Makes Up Your Energy Bill?

Your energy usage—and therefore, your energy bill—is driven by four main factors:

1. Your Climate

If you live in a cold-weather climate, like Indiana, you’ll run your furnace much more than if you live in South Carolina. On the flip side, folks in South Carolina will probably run their air conditioner earlier and more often than we do here. Similarly, if you live in a humid area, like the Midwest, you’ll run your dehumidifier more than if you live in a desert, like Arizona. 

2. Your Appliances

Are your appliances old or new? Do you have central A/C or a window unit? Have you opted for energy-efficient models? No two appliances will be the same in terms of energy required to run them, so the make, model, and age of your appliances are pretty big factors when it comes to how much they end up costing you from month to month. Choose wisely.   

3. Your Home

As you might imagine, the cost to heat a studio apartment is going to be significantly cheaper than, say, Buckingham Palace. The size of your home definitely affects your bill. The type of home you live in can also play a part—apartments and condos are partially insulated by the units around them, so they tend to use up to three times less energy than a single-family, detached home. The quality and condition of your window seals and insulation affect your energy usage, too—the less cooled or heated air that escapes your home, the lower your energy bills. 

4. The People in Your Home

How many people live in your home? Obviously, a person who lives alone is most likely going to have a lower energy bill than a family with ten kids. But it’s not just the number of people who live in the house. It’s also how those people behave. Do your family members or housemates go out of their way to conserve energy, or do they leave all the lights on and crank the heat up to 78?

What’s Using All of the Energy?

It’s important to know which elements of your home use the most energy, so you can try to conserve wherever you can. Here are some loose approximations—the exact percentages will depend on the factors we discussed above.

  • Electronics 4%
    You plug in your phone, turn on your TV, and use your laptop every day, multiple times a day. So, you might find this one surprising, but your electronics typically make up the smallest portion of your energy bill. If you’d like to conserve energy, turn your phone and laptop off while they’re charging—they’ll charge faster that way. And unplug them when not charging or in use.
  • Lighting – 12%
    Your lighting makes up about 1/8th of your energy bill. But you can save a lot of energy by switching to LED bulbs. According to The Department of Energy, LEDs use up to 90% less energy than traditional incandescent bulbs. Of course, you can also save energy by turning off the lights when you leave a room.
  • Appliances – 12%
    Your fridge, microwave, and dishwasher make up about as much of your energy bill as your lighting. If you’d like to make that number even lower, unplug your microwave when it’s not in use—even though it’s one of the most energy-efficient appliances in your home, it still consumes energy when it’s plugged in and not in use. Unfortunately you can’t just unplug your refrigerator or dishwasher when you’re not using them, but you can invest in energy-efficient models. In addition, only running your dishwasher when it’s full can help reduce energy consumption, as well as extend the life of the appliance.
  • Washer and Dryer – 13%
    Much like your dishwasher, how often you run your clothes washer and dryer has an impact on your energy bill. You can manage some of your usage by getting an energy-efficient model, only running full loads, and air drying your clothes. Another good way to reduce energy is to switch to cold water for laundry—according to GE, “75 to 90 percent of all the energy your washer uses goes to warming up the water.” It’s also much better for your clothes and often cleans just as well, if not better, than hot water. 
  • Water heater – 14%
    Your water heater uses quite a bit of energy, but there are a couple different ways to rein that in. Hiring a plumber to insulate your pipes and tank means helps reduce heat loss, which means the unit won’t have to turn on as often. You might also consider lowering the water heater’s thermostat to around 120° (most manufacturers set them at 140°)—there’s a good chance you won’t even notice the difference.
  • Heating and Cooling – 45%
    This is one of the biggest ways you can make a noticeable impact on your energy bill. Your HVAC system accounts for almost half of your usage, so if you really want to lower your bill, your approach to HVAC can make all the difference. 

How to Lower Your Energy Bill Through HVAC

We mentioned heating and cooling is almost half of your energy bill. But that’s on average. Whether it’s more, or less…that’s up to you. Here’s how you can manage the HVAC side of your bill:

  • Adjust Your Thermostat
    When it’s freezing outside, it’s tempting to crank your thermostat up to the mid-70s. But a lot of people are surprised to find they can be perfectly comfortable at 68° during the day and 65° at night. So, try setting your thermostat in that moderate range and see how it goes. Then use the same approach during the summer, setting your A/C at 78° during the day and 74° at night. Running a fan uses much less energy than your HVAC system and can make it feel much cooler in the room than it actually is.
  • Do The Maintenance
    Your HVAC system is much more efficient when it’s firing on all cylinders. You know what that means…maintenance, maintenance, maintenance! Be sure to stay up-to-date on your clean and checks and tune ups, and change those filters regularly. Otherwise, your HVAC system will end up working harder than it needs to, which can waste a lot of energy. 
  • Use the Latest Tech
    A high-efficiency HVAC system provides the same (or better) level of comfort, while using much less energy than the old-fashioned models. In fact, it could save you a whopping $1,000 per year on your energy bill. Switching to a WiFi thermostat can also make a big difference. According to the Environmental Protection Agency, a WiFi thermostat could save users an average of 8% on their utility bills.

Your energy bill can seem like a mystery, but when you take a closer look, it all adds up. There are several things you can do to conserve energy in your home—the most important of which is giving us a call! Whether it’s signing up for one of our Platinum Maintenance Plans and scheduling your next clean and check, or getting our advice on the latest and greatest energy-efficient HVAC systems, we’re here to keep you comfortable as efficiently and inexpensively as possible.