Utility costs are one of the biggest recurring expenses in most households. Whether you own your home or rent, chances are you’ve experienced sticker shock when opening your electric, gas, or water bills. The good news? You don’t need to make major upgrades or invest in expensive home renovations to lower your utility bills. There are simple, cost-effective steps you can take right now that will reduce your consumption and save you money every month–we’re talking about hacks that require minimal time and effort.
1. Adjust Your Thermostat Settings
Heating and cooling make up over 40% of your home energy use, so adjusting your thermostat—even slightly—can yield major savings. In the winter, we recommend keeping your home at 68°F when you’re home and awake. Lower it 7–10°F while you’re asleep or away. During the summer months, set it to 78°F when you’re home and bump it up when you’re gone for the day.
If you haven’t already, consider installing a smart thermostat. Brands like Nest or Ecobee allow you to automate temperature changes based on your habits, leading to significant energy savings—some homeowners report annual reductions of $150 or more.
2. Plug Electronics into Power Strips
Even when you’re not using them, devices like TVs, gaming consoles, printers, and phone chargers draw power. This is called phantom energy, and it can account for up to 10% of your electric bill.
By plugging these electronics into a power strip and turning them off when they’re not in use, you’ll stop the drain at the source. To get even better savings, use smart power strips that cut power automatically when devices go idle.
3. Switch to Cold Water Laundry
Most of the energy your washing machine uses goes toward heating the water. Washing clothes in cold water can save you about $60 a year, plus it extends the life of your clothing by preventing fading and shrinkage.
Bonus Tip: Always wash full loads to maximize water and energy efficiency. And if you have an older washer, upgrading to an ENERGY STAR® certified model could cut your energy usage by 25%.
4. Seal Up Air Leaks and Drafts
If your home feels drafty in the winter or overly warm in the summer, chances are air is escaping through gaps and cracks. This forces your HVAC system to work harder and costs you more money.
To help seal up any air leaks and drafts, use weather stripping around doors, apply caulk around windows, and don’t forget outlet covers and attic access points, which can also leak air. These quick fixes are affordable, and you can find everything you need at a local hardware store.
5. Swap Out Your Light Bulbs
Lighting accounts for about 15% of a typical home’s electricity usage. If you’re still using incandescent bulbs, it’s time for an upgrade.
LED light bulbs use at least 75% less energy and last up to 25 times longer. Start by switching bulbs in high-use areas like kitchens, living rooms, and bathrooms. Though LEDs may cost more upfront, the savings add up quickly, and they’ll pay for themselves in less than a year.
6. Take Shorter, Smarter Showers
Water heating is the second largest energy expense in most homes. You can reduce that cost by simply cutting shower time by 2–3 minutes. The Environmental Protection Agency estimates that a family of four can save hundreds of gallons of water per month just by shortening their showers.
If you’re looking to make a switch, install low-flow showerheads to reduce water usage without sacrificing pressure. Look for options labeled WaterSense for the best results.
7. Unplug Chargers and Small Appliances
Phone chargers, coffee makers, toasters, and microwaves all consume power even when they’re turned off. Get in the habit of unplugging appliances you’re not using regularly. If that’s too inconvenient, cluster them together on a single power strip that can be shut off easily at night or while you’re away.
8. Replace or Clean Air Filters Regularly
A dirty air filter restricts airflow, making your heating and cooling systems work harder. Not only does this use more energy, but it also leads to wear and tear on your HVAC system.
Change your filter every 1–3 months, depending on usage and household size (especially if you have pets or allergies). Set a recurring reminder on your calendar or phone so you don’t forget. Clean filters = lower bills + better indoor air quality.
9. Let Natural Light Work for You
Instead of flipping on lights during the day, open your curtains and blinds to let natural sunlight brighten your space. It’s free, after all! Of course, this depends on the season. But you can make natural light work for you no matter what. In the winter, let sunlight help warm your home naturally. In the summer, close blinds during peak heat hours to keep your home cooler. If you live somewhere extremely warm or extremely cold, consider switching to light-filtering or thermal curtains depending on the season to help regulate indoor temperatures.
10. Lower the Water Heater Temperature
Most water heaters come preset at 140°F, but that’s hotter than most people need. Lowering the temperature to 120°F is safer (especially for children), reduces mineral buildup, and can save you up to 10% on water heating costs. To take it a step further, insulate your water heater tank and exposed hot water pipes with inexpensive insulating blankets or foam sleeves.
Don’t Wait—Start Saving Today
You don’t need to invest thousands of dollars or wait until your next big renovation to see meaningful changes in your utility bills. Even adopting just a few of these habits can lower your electric, gas, and water bills by hundreds of dollars a year. And the more you implement, the greater the savings. Yes, it really is that simple.
Are there other hacks that you like to implement that have worked for you?
Read more:
How Fixing Housing Disrepair Can Help Reduce Your Bills
7 Unexpected Ways to Lower Your Energy Bills
Riley is an Arizona native with over nine years of writing experience. From personal finance to travel to digital marketing to pop culture, she’s written about everything under the sun. When she’s not writing, she’s spending her time outside, reading, or cuddling with her two corgis.
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