How to Save Money on Electric Bill in 2025

It is essential to save money in any way in today’s high-cost living environment. The cost of living is rising day by day. It is very essential to save money on electric bill in inflated living expenses. Upon reviewing your budget, you will discover that a significant portion of your income goes towards living expenses, and one of them is the electricity bill. It will reduce your financial pressure a little bit if you can reduce your electricity bill anyway. This savvy guide to save money by spending it on electric bill will help you to reduce your daily expenditure from your budget.

Switch to energy-efficient appliances

If you are using old-age conventional models of energy appliances (more than 10–15 years old), then it is advised to upgrade them and start using energy-efficient appliances. A study revealed that old appliances use 10–50% more electricity than the energy-efficient appliances. You can consider buying a new appliance as an investment that is going to reduce your electricity bill eventually. You can consider upgrading the below-given conventional models of energy appliances to save money on electric bill that consumes more energy.

Freezers and refrigerators, which operate continuously.
Dryers and washing machines.
Heating systems and air conditioners.
Dishwasher.
Water heater.

Factors to consider while buying new appliances

You can buy Energy Star-certified appliances that consume less energy.
Also, you can wait for seasonal sales to purchase new appliances to save money on the purchase.
Consider buying an appliance having smart features to save energy.

Also, you can maximize the energy efficiency of appliances by

Try to use it in off-peak hours.
Increase energy efficiency by performing regular maintenance.
Choose appliance size as per your need.

These are the ways to save money on electric bill in the summer and winter by using energy-efficient appliances. Consider saving thousands of dollars every year by switching to energy-efficient appliances.

Adopt LED Lighting

LED (Light Emitting Diode) lighting is a highly energy-efficient alternative to traditional lighting that offers numerous benefits.

LEDs are energy efficient and save money on electric bill.

LED bulbs use about 75-80% less energy than traditional incandescent bulbs.
LEDs convert about 95% of their energy into light and only 5% into heat. That is a huge saving on your costly energy.
Example: A 12-watt LED bulb can give you the same brightness as a 60-watt incandescent bulb.

Long-lasting benefits to save money

Traditional incandescent bulbs typically last between 1,000 and 2,000 hours, while LED bulbs can last between 25,000 and 50,000 hours or even longer. A longer lifespan is a significant saving over time. You can save hundreds of dollars annually by switching to LED bulbs from incandescent bulbs.

Positive Impacts on the Environment

Less energy consumption by LEDs means lower carbon emissions. Also, they do not contain mercury or other toxic materials. Also, it will reduce strain on power plants by reducing energy demand.

This is the most efficient way to save money on an electric bill by switching to LEDs.

Unplug Devices When Not in Use

Many electronics consume phantom power even if they are turned off but still plugged in. Look at the below-given examples.

Your phone charger left unplugged without a phone.
Your laptop charger left unplugged without a laptop.
TV left on standby mode.

All these consume lots of vampire power over time.

You can take the below-given steps and make them a habit to stop energy wastage and save money on electric bill.

Use power strips to turn off multiple devices at once.
Unplug chargers once your phone or laptop gets fully charged.
Look for all devices that are turned off before leaving home.

You can save $100–$200 annually by unplugging devices when not in use.

Change Your Thermostat Settings

Adjust your thermostat settings to keep your home comfortable, save energy, and save money on electric bill. Let us understand how you can do it.

Nowadays, thermostats come with programmable capacity, using which you can set a schedule for heating or cooling. Even smart thermostats can learn your habits and adjust automatically.

Choose a Comfortable Temperature

You can choose and set the temperature as per your need and comfort. You can set your thermostat as below in different seasons.

In Winter: Set Thermostat to 68°F (20°C)
In Summer: Set the thermostat to 78°F (26°C).

When you are sleeping or away

In Winter: Lower the temperature by 8-10°F.
In summer: Raise the temperature by 5-8°F.

Using these settings, you can save up to 10% annually on heating/cooling costs. Use these ways to save money on electric bill in the summer and winter.

Enhance Heating and Cooling Efficiency

You spend significant money on your home’s heating and cooling system. You can reduce your electric bill by making these systems efficient.

Here are the ways to make your heating and cooling systems efficient.

Fix air Leaks

Make sure there is no air leak in your house. Heated or cooled air can escape from these leaks.

Clean Filters or Replace

Dirty air filters can disturb airflow in HVAC systems and consume more energy. Regularly maintain and replace air filters if needed.

Utilize Ceiling Fans Efficiently

In summer, make your ceiling fan spin anti-clockwise to create a cool breeze by pushing air down. In winter, switch it to spin clockwise at a low speed to pull cool air up and move warm air down, spreading heat evenly.

Maintain Your System Regularly

Keep maintaining your heating and cooling systems regularly for lower energy consumption and save money on electric bill.

Use Appliances Wisely

You can save lots of energy by preventing wastage in various appliances used daily by unplugging them when not in use. Use only when loaded fully. Let us discuss it.

Dishwasher: Start only when it is full (but do not overload it). Unplug immediately after use.
Washing Machine: Use cold water to wash your clothes. Use modern detergents that work well in cold water as well. Use only when it is full but do not overload.
Refrigerators: Set temperatures—37-40°F for the fridge and 0-5°F for the freezer—to make them more energy efficient.
Maintenance: Maintain them regularly for better performance.

These are the ways to reduce your electric bill and save money on electric bill.

Enhance Natural Light and Airflow

You can save money on electricity by using natural light and fresh airflows in your house. Keep your windows and curtains open in good weather and environments. You can use cross-ventilation to cool your home naturally. You will get benefits in your mood, health, and wealth using this method.

Unlock the Benefits of Solar Energy

Consider installing your solar panels in an open space to generate your electricity. Also, you can install a solar water heater to reduce your energy bill. Initially, you need to invest in it, but later on, you can use these energy sources free of charge.

Reduce Dependence on High-Energy Devices

Try to reduce the use of high-energy-consumption devices like dryers and ovens. Also, you can use energy-efficient cooking methods like microwaves and pressure cookers to save electricity and money.

Monitor and Track Usage

Monitor the use of high-consumption energy appliances in your home. Try to reduce the usage of electric appliances and find alternative ways. Maintain your electric appliances regularly. Review and monitor your energy consumption bill. Compare bills of different months and identify areas for improvement in your daily habits.

Key Takeaways

You can use different methods, like using energy-efficient appliances and LED lights, unplugging devices when not in use, changing thermostat settings, enhancing heating and cooling efficiency, and many more ways to save electricity in the house as discussed above. You will save thousands of dollars annually using these tips to reduce your electricity bill at home.

FAQs

How can I save 90% of my electric bill?

You can save 100% on your electricity bill if you install solar panels on your terrace to produce your own electricity.

What runs your electric bill up the most?

Heaters and coolers consume approximately 40% of your total energy consumption. Washers, ovens, and dryers also consumes more energy.

How to save electricity cost?

You can save electricity by switching to energy energy-efficient appliances, Adopting LED Lights, Modifying thermostat settings and maintaining electric appliances regularly.

Author
Recent Posts

Prakash

Prakash is a personal finance enthusiast dedicated to helping you save more, invest smarter, and find new ways to earn money. With a passion for financial freedom, Prakash shares practical tips and proven strategies to take control of your money and build a secure future. Follow along for actionable advice on saving, investing, and making money work for you!