Your faucets, showerheads and plumbing appliances consume plenty of hot water. In fact, the Department of Energy says that water heating is the second-largest utility cost behind space heating and cooling, accounting for roughly 18% of your monthly bill. Find out more about how much energy a typical water heater uses and helpful tips to reduce your water heating costs.
How Much Electricity Does an Electric Water Heater Use?
The precise cost to run an electric water heater is determined by the size of the unit, how much you use it, its power draw and local costs for electricity. For example, a medium-sized, 40-gallon water heater that needs 4500 watts and is active for 2 hours a day at a rate of $0.13 per kilowatt-hour (kWh) costs about $1.17 to run per day, which arrives at $35 per month or $426 per year.
How Much Natural Gas Does a Gas-Fired Water Heater Need?
If your water heater runs using natural gas, you have to consider the size of the unit, how much you use it, its power draw and the price for natural gas. As an example, a medium-sized, 40-gallon water heater that uses .205 therms per hour and is active for two hours per day at a cost of $1 per therm costs about $0.62 to operate per day, which is approximately $18.60 monthly or $226 each year.
Gas vs. Electric Water Heater Costs
As you can determine from the examples above, gas water heaters typically cost less to use than comparable electric models because natural gas prices have a tendency to run lower than electric prices. Refine the calculations with your exact energy usage and rates to get a more accurate picture of gas vs. electric water heater costs.
Tips to Reduce Your Water Heating Bills
Whether your water heater runs using electricity or gas, you can cut your utility costs with these money-saving suggestions.
Change Your Hot Water Habits
Remember that each and every time you turn on a hot water tap, you need to pay to heat it. Modify your everyday habits to reduce costs. Here’s how:
- Take shorter showers.
- Only use the dishwasher and washing machine with full loads.
- Limit pre-rinsing dishes before you load them into the dishwasher.
- Clean your clothes in cold water as much as possible.
Resolve Plumbing Leaks
Leaky faucets, showerheads and pipes can waste significant quantities of hot water. For example, one drip per second wastes over 1,600 gallons annually. Eliminate this waste by repairing plumbing leaks as soon as you discover them.
Install Low-Flow Faucets and Showerheads
Modern laws require new showerheads to consume 2.5 gallons per minute (gpm) or less while kitchen faucets are limited to 2.2 gpm. New bathroom faucets must have flow rates below 1.5 gpm.
You can find quality, low-flow kitchen and bathroom fixtures for approximately $10 to $20 each, resulting in up to 60% savings on water use. Search for the ENERGY STAR® WaterSense label to maximize efficiency without negatively impacting performance.
Turn Down the Water Heater Temperature
The default setting is 140 degrees. Lower this to 120 degrees to save on water heating costs and lower the chance of scalding at the tap. Just don’t go any lower than 120 degrees to prevent microbial growth inside the tank.
In case your water heater doesn’t include a temperature readout, determine the setting with a thermometer at the bathroom or kitchen tap. Adjust the water heater’s dial, wait two hours and check the water’s temperature. Repeat this process until the thermometer reads 120 degrees.
Add Insulation
Both electric and natural gas water heaters can be insulated with special jackets available at home improvement retailers. Be careful to install the insulation correctly to avoid creating a dangerous operating situation. If you're not sure how to proceed, ask a professional for help. After the tank is insulated, add insulation to the hot and cold pipes coming from the water heater to help things heat up faster at the tap.
Buy More Efficient Equipment
In case your water heater is approaching the end of its life span, consider replacing it with an ENERGY STAR-rated model. A tankless water heater is a good option. This upgrade can save approximately 34% on your water heating bills by producing hot water on demand and getting rid of standby heat loss. Save even more by replacing your hot water appliances with high-efficiency models, including your dishwasher and washing machine.
Schedule Water Heater Services with an Expert
Gordon's Service Experts is your source for reliable, affordable water heater services in North America. Our highly trained technicians can satisfy any water heater repair or replacement request that comes our way. We carry top products from today’s best brands, including conventional tanks as well as tankless models, to suit your needs while staying in your budget. To get the full details, please contact your local Gordon's Service Experts office today.