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How to Save Money On Your Electric Bill [7 Essential Strategies]

Jan 03, 2024

The cost of energy needed to power your home has not been immune to inflation, and so we'd like to offer a few electric bill savings strategies.

According to the Energy Information Administration, the average monthly electric bill increased by 13 percent from 2021 to 2022, and that trend doesn’t appear to be changing any time soon. Rather than reduce your quality of life and leisure spending, implementing money-saving strategies can help get energy costs under control.

Saving Money on Your Electric Bill IS Possible

It’s not uncommon for homeowners to hire professionals to conduct a home energy audit. Contractors typically charge a few hundred dollars to assess energy loss and identify structural inefficiencies. The idea is to circle back and spend more money on energy-efficient windows, doors, and insulation, among others. That strategy can become expensive, even after tax rebates. Rather than throw big money at the problem, try these 7 cost-reduction techniques first to see if you can create some savings yourself.

1: Give Your Thermostat a Nudge

Changing the temperature on your thermostat can save money on a daily basis. Consider raising it by 5-10 degrees during the hot summer months and lowering it during winter. Naturally, you don’t want to be uncomfortable at any point, so just try a modest adjustment that makes sense and you can save potentially 10 percent on your bill. 

2: Adjust the Temperature of Your Water Heater

Water heaters are tasked with maintaining temperatures whether you’re showering, doing dishes, or the tap is closed. When the hot water is running, the setting dictates how hard the device has to work to continuously produce a flow at that temperature. What’s interesting about this tip is that few people ever notice the difference when they change the settings. That’s because users tend to balance the hot with the cold to find the sweet spot. This simple trick can save you up to $61 annually according to the Department of Energy.

3: Switch to LED Lighting

About 15 percent of monthly electricity usage involves lighting your home, and switching to LEDs can make a significant difference. According to the Department of Energy, over the course of a year, the average household can save upwards of $225 annually by making the switch.

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4: Use Smart Power Strips 

Most people use power strips to plug in multiple devices and protect against surges. Smart power strips do far more. When someone leaves a laptop or desktop on, it eventually trails into sleep mode. Unfortunately, ordinary power strips keep feeding it and wasting electricity. Smart power strips, on the other hand, notice the electronic device has gone to sleep and shut off the power.

5: Ask About Time-of-Use Discounted Rates

Time-of-use discounts reward homeowners who reduce energy consumption during peak time periods. The reason utility companies are willing to offer discounts is that peak energy usage costs them more money, thereby lowering profits. According to the Georgia Public Service Commission, peak hours occur on weekdays from 2 p.m.-7 p.m. during the summer months. By charging laptops, running air conditioners, and powering other electrical devices during off-peak hours, you can save nearly 18 cents per kWh. Ask your utility company about how to maximize time-of-use discount rates and start saving today!

6: Wash Laundry in Cold Water and Air Dry

Using cold water when washing your laundry reduces your electricity usage by 75-90% according to GE Appliances. Even switching from hot to warm can cut your load’s energy usage in half. Other benefits of washing laundry on the cold setting include reducing shrinkage, wrinkles, and fading. 

Air drying some or all of your clothes uses less energy and makes less of an impact on the environment. During the warmer months, you can use a clothesline to air dry clothes outside. During cooler months, dry clothes indoors by hanging them on a drying rack. Place the rack near an air vent for quicker dry times.

7: Pay Your Electric Bill With Bill Pay

Using Peach State's Bill Pay service is a convenient way to pay your monthly electric bill. Paying your electricity bill with a debit or credit card can sometimes incur additional processing and convenience fees. Bill Pay allows you pay bills quickly, securely and at no cost when you sign opt-in to receive eStatements. You can schedule payments in advance and set reminders to help you avoid late fees. Save time and money by enrolling in Bill Pay today!  

Peach State Can Help You Save

If you're trying to save money on your electric bill and other expenses, Peach State has the solutions to help you achieve your goals! 

Our free budget templates are a great tool to get you started! Once you know your overall budget, these electricity savings tips can help you save even more. For more tips on saving money, be sure to check out our resource center!

Learning how to save money on your electric bill is just the beginning. Save more money by downloading our free "3 Practical Budget Templates That Actually Work!" Guide.

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