How-to

How to Lower Your Electric Bill: Find and Fix the Energy Hogs

Updated Oct 27, 2026 3 min read By the WieHow – Home, Energy & Money Guides editorial team
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Quick answer

Start by measuring: read your meter or use your utility’s usage data, then check big users such as heating, cooling, water heating and old appliances. Switching to LEDs, killing standby power and adjusting your thermostat and water heater are the quickest wins.

On this page
  1. Step by step
  2. What does each device really cost?
  3. Typical energy hogs
  4. Check your rate plan, too

The average US household uses around 10,000 kWh of electricity per year. Most of it goes to just a few things: heating and cooling, water heating, the refrigerator, laundry and lighting. Cutting the bill starts with knowing which of these matter most in your home.

Step by step

  1. Look at your usage history

    Most utilities show monthly or even hourly usage online. Compare summer, winter and spring months to see how much goes to cooling and heating.

  2. Measure your base load

    Read the meter late at night when everything is idle. The usage then is your always-on base load. Multiply the watts by 8,760 hours to see the yearly kWh.

  3. Kill standby power

    Plug the TV, game console, sound system and computer peripherals into a smart power strip. Standby power can account for 5–10% of household electricity use.

  4. Switch to LED bulbs

    LEDs use at least 75% less energy than incandescent bulbs and last many times longer.

  5. Turn down the water heater

    Set it to 120 °F, insulate the first few feet of hot water pipe, and install low-flow shower heads.

  6. Adjust thermostat settings

    In summer, set the AC to 78 °F when you are home and higher when you are away. Ceiling fans let you feel comfortable at a higher setting.

  7. Check old refrigerators and freezers

    An appliance from before 2010 can use twice as much as a new ENERGY STAR model. Unplug the half-empty garage fridge if you can live without it.

  8. Wash laundry in cold water

    Most of the energy a washing machine uses goes to heating water. Modern detergents clean well in cold water.

What does each device really cost?

Look at the wattage on the label or measure it with a plug-in meter, then calculate the yearly cost:

Appliance Electricity Cost CalculatorWhat does a device cost to run?Try the calculator →

Typical energy hogs

DeviceTypical yearly use
Central air conditioning1,500–3,500 kWh
Electric water heater2,500–4,500 kWh
Refrigerator older than 15 years700–1,200 kWh
Second fridge or freezer in the garage500–1,000 kWh
Gaming PC used 4 h a day400–700 kWh

Check your rate plan, too

Many utilities offer time-of-use plans with cheaper electricity at night and on weekends. If you can shift laundry, dishwasher runs and EV charging to off-peak hours, switching plans can save money without using less energy. In states with retail choice, compare suppliers — but read the fine print on variable rates.

Frequently asked questions

Do energy-saving devices that plug into the wall work?

Devices claiming to cut your bill by 'optimizing' electricity are generally scams. Real savings come from using less energy or shifting it to cheaper times.

Is it worth replacing a working refrigerator?

If it is more than 15 years old and uses over 800 kWh a year, a new efficient model can pay back within a few years. Measure it first.

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