How much should a water heater cost per month?

Author: Dr. Colby Upton I  |  Last update: Thursday, July 17, 2025

Gas water heaters are generally less expensive to operate than electric water heaters. Based on national averages, electric water heaters cost $42 a month. Gas water heaters average $30. Of course, your water usage habits and water heater setting also affect monthly energy costs.

How much does it cost to run a water heater per month?

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.

How much of your electric bill is a water heater?

Water heating accounts for about 18% of your home's energy use and is the typically the second largest energy expense in any home. You can reduce your water heating bills in four primary ways: Using less hot water. Using energy-saving strategies, such as turning down the thermostat on your water heater.

How much does hot water cost per month?

For instance, a medium-sized, 40-gallon water heater that draws 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 work per day, which comes to $35 each month or $426 each year.

Do water heaters use a lot of electricity?

Water heaters are among the highest energy-consuming appliances in your home. Energy star predicts that households spend between $400 and $600 on heating water every year for things like laundry, showers, and washing dishes, making water heaters the second most energy-consuming appliance in your home.

Water Heater Buying Guide 2022 - Energy Star rating, price, fuel, rebates, etc.

Can a water heater make your bill go up?

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.

What uses the most electricity in a home?

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.

Why are hot water heaters so expensive?

When it comes to buying a water heater, installation charges can be a huge factor in the cost. Newer models require specialized tools and training to install, and the associated labor costs can add up quickly, making the total cost of the water heater higher than you expected.

How much is water bill per months?

Months of the Year. January | February | March | April | May | June | July | August | September | October | November | December.

How to lower a water heater bill?

15 Ways to Save on Your Water Heating Bill
  1. Take short showers instead of baths. ...
  2. Reduce your time in the shower. ...
  3. Lower the temperature on your water heater to 120°F; for every 10ºF reduction in temperature, you can save from 3%–5% on your water heating costs. ...
  4. Don't let the water run.

How much does it cost to keep hot water on all day?

Assuming you have a modern cylinder you're looking at roughly 20p per day (providing you're not drawing off hot water and replacing it with cold water). Sadly your standing charge will be more than that - you try to do the right thing and turn the boiler off, but still have to pay.

How often does a water heater run when not in use?

In the average home, the water heater will run for about three hours each day. Total run time can range from one to two hours for new tankless water heaters to five or more hours for older tank style water heaters.

How much does a water heater add to electric bill?

According to the U.S. Department of Energy, about 18% of your electricity costs are directly tied to your water heating system.

Are water heaters expensive to run?

Heating water with electricity is expensive when compared to gas or even oil. Leaving your immersion heater on all the time can be a waste of energy.

How long do water heaters usually last?

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.

Does homeowners insurance cover a water heater?

Whether or not homeowners insurance covers water heater leaks depends on the specific circumstances of the leak and the terms of your policy. In general, if the leak is sudden and accidental, and not caused by your negligence, your policy will likely cover the cost of repairs.

Can hot water heater cause high water bill?

If you have a leaking water heater, your water bill will increase. Most people don't think to check their water heater when they discover their water usage has been increasing month-over-month.

Should I replace my 20 year old water heater?

Absolutely! After 20 years, your tank water heater is well past its life expectancy. If you have a tankless water heater, it's approaching its life expectancy. At this point, you should expect additional repairs from wear and tear.

What state has the cheapest water?

In 2024, West Virginia was the most expensive U.S. state regarding water rates, with an average monthly bill of almost 100 U.S. dollars. On the contrary, the state with the lowest average water bill during the same period was Vermont and Wisconsin.

Why is my water bill the same every month?

It is possible to have the same water consumption charged, even if your usage differs. For example, if you used 1,900 gallons of water, your current bill may show 1,000 gallons for the consumption. The additional 900 gallons rolls onto the next bill and is charged once it becomes 1,000 gallons.

What racks up an electric bill?

Be More Efficient

You will find that your electric heat, air conditioner and water heater will typically make up the greatest percentage of your electric bill, so these are the areas in which you may want to concentrate your energy management efforts.

What wastes the most energy in a house?

Here's what uses the most energy in your home:
  • Cooling and heating: 47% of energy use.
  • Water heater: 14% of energy use.
  • Washer and dryer: 13% of energy use.
  • Lighting: 12% of energy use.
  • Refrigerator: 4% of energy use.
  • Electric oven: 3-4% of energy use.
  • TV, DVD, cable box: 3% of energy use.
  • Dishwasher: 2% of energy use.

Does unplugging appliances save electricity?

According to the U.S. Department of Energy, standby power accounts for as much as 5% to 10% of residential energy use, and homeowners could save $100 to $200 each year on utility bills by unplugging devices that aren't in use.

Previous article
What do the Irish call the restroom?
Next article
Why is my dryer plugged in but no power?