How to save money on an electric water heater?

Author: Ralph Hagenes IV  |  Last update: Friday, June 6, 2025

7 Ways to Make Your Hot Water Heater More Energy Efficient
  1. Turn Down Your Thermostat. ...
  2. Invest in a Tankless Water Heater. ...
  3. Make Sure You're Using the Right-Sized Water Heater. ...
  4. Keep an Eye on Your Tank's Sediment. ...
  5. Insulate Your Water Tank and Pipes. ...
  6. Install in a Volt Timer. ...
  7. Use Less Hot Water.

How to save money on an electric hot water heater?

There are several things you can do to your current water heater to help it run more efficiently:
  1. Lower your water heater temperature. ...
  2. Cut back on baths. ...
  3. Wash laundry with cold water. ...
  4. Don't pre-rinse dishes. ...
  5. Drain your water heater tank. ...
  6. Repair any leaks. ...
  7. Insulate your water heater tank and pipes.

How can I reduce the cost of my electric water heater?

8 Ways to Reduce Water Heating Costs at Home
  1. Take faster showers. ...
  2. Run only full loads of dishes and laundry. ...
  3. Turn off water heater when vacationing. ...
  4. Lower your water heater's thermostat. ...
  5. Insulate your water heater. ...
  6. Insulate your pipes. ...
  7. Install low-flow faucets and showerheads. ...
  8. Use water-efficient appliances.

Is it cheaper to leave an electric water heater on all the time?

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.

How much will my electric bill go up with an electric water heater?

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.

How to Save Money on Hot Water Heater Electricity Bill

Do electric hot water heaters use a lot of electricity?

Kilowatts measure the rate at which electricity moves through an appliance. More kilowatts mean more electricity, and bigger water heaters will typically use more watts. The average water heater runs at around 1125 watts, though some more powerful water heaters can use up to 4000 watts.

What is better, a 4500 watt vs. a 5500 watt 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.

Should I turn my electric water heater off at night?

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.

Is it cheaper to have hot water on constant or timed?

Although it takes longer and requires more fuel to heat cold water, the energy required to maintain this constant temperature is much more expensive than the few times it is heated when necessary on occasion, due to its non-use, this water is also wasted, as a result, running a boiler continuously consumes more fuel ...

Does turning down water heater save electricity?

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.

How can I make my electric heater cheaper?

Heating saving tips
  1. Retain heat thanks to good insulation of doors and windows. ...
  2. Replace your radiators, towel rails and floor heating with energy-saving ones. ...
  3. Use a thermostat to increase monthly savings. ...
  4. Saving by maintaining the right temperature. ...
  5. Program your heating systems from your smartphone.

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.

What is the best temperature for a hot water heater to save money?

Turn down the temp.

A good rule of thumb is to keep your water heater at 120 degrees—any higher than that increases the risk for scalding. Plus, for every 10-degree decrease in hot water temperature, you can save 3 to 5 percent on your water heating bill***.

What is the downside of an electric water heater?

Electric Water Heaters: Pros and Cons

Electric water heaters confer multiple benefits over gas units, including ease of installation, higher efficiency levels and safer operation. On the flip side, they have their own unique challenges, like slower heating and vulnerability during power outages.

Why is my water heating bill so high?

Temperature Is Too High

The most obvious reason for a high water heater gas bill is if the temperature is set too high. According to experts, most homeowners should keep water heater temperatures between 120 and 140 degrees F.

Do electric water heaters cost a lot to run?

Are electric water heaters expensive to run? According to the Department of Energy, the average American household spends between $400 and $600 each year on water heating alone.

Should I leave my electric water heater on all the time?

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. Your immersion heater or boiler will heat up hot water which is stored in a tank.

Why do I only get 10 minutes of hot water?

If your hot water runs out too fast, you may have an issue with: Too much hot water demand from multiple sources at the same time. Sediment build up inside of your water heater tank. A broken dip tube.

What setting should I put my water heater on?

Water Heater Temperature Recommendations

120 degrees Fahrenheit is the safety recommendation against scalding, but 140° is the common default setting.

Does turning off electric water heater save money?

Turning your water heater off completely when it's not in use can help you save a small amount of money each month on your energy bills, but the hassle of manually turning your unit off and on typically outweighs the benefits.

Is it OK to leave electric heater on all night?

Electric heaters of any type are unsafe to leave running overnight because they carry a significant amount of risk. If a space heater falls over or becomes too hot from running for too long of a period of time, that can lead to a fast-moving fire that occurs while you are asleep and cannot act fast enough.

Does a water heater consume electricity when not in use?

But despite providing a reliable hot water supply, traditional tank heaters consume much energy by constantly working to keep the water warm. This leads to homeowners seeing a significant increase in their electricity bills over time, especially for those who do not insulate their heating units.

Is Rheem or AO Smith a better water heater?

If you're looking for a reliable, efficient, and cost-effective water heater, Rheemhas the edge over A.O. Smith. With superior energy efficiency, longer warranties, and better overall performance, Rheem units are designed to meet the needs of modern homeowners.

Can I use a 20 amp breaker for a 4500 watt water heater?

Standard Electric Water Heaters

For example, a 4500 watt heating element in a water heater that works on a 240V connection would require a 20 amp breaker. It is important to note that the National Electric Code (NEC) dictates that a circuit breaker must be sized at 125% of the intended load.

Is 5500 watts enough to power a house?

Yes, you can easily use a 5500-watt generator to run a house. It can power critical items such as a microwave oven (1000W), sump pump (1050W running), washing machine (500W), and several LED lights (10W each).

Previous article
What can I drink to stop my pee from smelling?
Next article
How long can you wait to water new grass seed?