According to the U.S. Department of Energy, about 18% of your electricity costs are directly tied to your water heating system. If you've noticed a rise in your recent electric bills, don't start taking cold showers just yet.
It is cheaper to only put it on when needed. The reason for this is that the amount of electricity required to heat the water depends on how quickly the heat leaves the tank. Some will leave whenever you use the water, but some also leaves by getting out through the insulation.
It is certainly possible for a water heater to increase your utility bill. Several factors can reduce the efficiency, including a unit that is too small, too old, bad water, or an incorrectly set thermostat can increase the energy bill. Leaks and long pipes can increase your water usage.
For poorly insulated units, the heat loss can be fairly significant. Of course, losing heat in this way leads to more energy consumption and increased heating bills. Some estimates state that turning your water heater off at night could save you up to 10% on your monthly energy bills.
Typically, a hot water heater that uses a tank will run for 3 to 5 hours per day. So, a 4,000-watt heater used for 3 hours a day at 10¢ per kWh will cost $1.20 per day, about $36.50 per month, or $438 per year.
In terms of your water heater, how quickly it heats water determines the overall energy efficiency of your unit. If your heater is taking too long to warm up the water for use throughout your home, it can send your electricity bill skyrocketing.
Heating and cooling: 45-50%
The largest electricity consumer in the average household is your heating and cooling appliance. By a long shot. Central air conditioners and heaters use tons of energy in order to keep your home set to the right temperature.
It's better to leave the hot water heater on all the time, rather than turning it on and off. This is a very common energy saving myth. But in fact, you really don't need to be heating your water all the time.
Savings resulting from turning down your water heater temperature are based on reducing standby losses (heat lost from water heater into surrounding area). Set too high, or at 140ºF, your water heater can waste anywhere from $36 to $61 annually in standby heat losses.
The maximum Department of Energy recommended water heater temperature setting you should never exceed is 140 degrees Fahrenheit. The lowest recommended setting should never be below 120 degrees Fahrenheit.
A tank-style water heater consumes energy even when you're not using hot water, because the unit's gas burner or electric elements have to cycle on repeatedly to keep the water inside at the thermostat's temperature setting.
According to the Department of Energy, the average American household spends between $400 and $600 each year on water heating alone. This cost will vary depending on the electricity rates in your area and your water heating unit's efficiency.
While today's water heaters are better designed than older models, they still require regular maintenance in order to prolong their lives. With regular inspection, draining, and flushing, you can expect a gas water heater to last anywhere from 8-12 years and an electric water heater to last anywhere from 10-15 years.
The real issue lies in other appliances that are constantly drawing power, like refrigerators, televisions, and devices plugged into outlets. Hot Water Heater: One of the biggest energy consumers when you're not at home is your electric hot water heater.
Higher wattage elements can lead to increased energy consumption, particularly if used inappropriately. A 5500 watt element may heat water faster but might not always be the most efficient choice for your household size. Conversely, a 4500 watt element can be more energy-efficient if your hot water demand is moderate.
An electric water heater generally takes longer, about 60 to 80 minutes.
Here's the catch: Modern water heaters are well-insulated meaning there is very little heat loss. Although electrical rates vary, the experts say turning off the water heater at night will likely save about two dollars a month.
When to Turn the Water Heater Off. Customers ask us all the time, “should I turn off my water heater if I have already turned off the main water supply?” There is no set answer to this.