Skip to content
WattsBack

Why is my electric bill so high?

A high electric bill usually comes from air conditioning or electric heat in extreme weather, a change in what you run, or a longer or estimated billing period. Answer the questions to narrow it down.

Photograph of an opened utility bill with a usage bar chart beside its window envelope on a kitchen table
On this page

A bill that jumps is rarely a mystery once you separate three things: the weather, what you ran, and how the bill was figured. The questions below sort a surprise into one of those, then hand you a short list of things to check and, where it helps, the checklist or letter that comes next.

Why is my electric bill so high?

Answer a few questions about what changed. You get the most likely causes, what to check first and which checklist to use next.

Any burning smell, sparking or buzzing, a hot outlet or panel, or a breaker that keeps tripping?

These are safety problems, not bill problems. They come first.

Yes, one of those

Act now

Call a licensed electrician now

A burning smell, sparking, a hot outlet or panel, or a breaker that will not stay reset can point to a fault that starts fires. A high bill is the smaller problem.

What to do

  1. If you see smoke or flames, or the smell is strong, leave the home and call 911.
  2. Otherwise stop using the outlet, appliance or circuit and call a licensed electrician now. Do not open the panel or reset a breaker over and over.
  3. Do not use extension cords or power strips to work around a hot or tripping circuit.
  4. Come back to the bill once the electrician has cleared the circuit.
No

What describes the high bill best?

It jumped in a very hot or very cold month

What heats or cools your home?

Air conditioning, and it was a hot stretch

Keep an eye on it

Air conditioning is the likely cause

Air conditioning was the largest single use of residential electricity in the EIA's 2020 survey, at 19% of site electricity use. A hot spell moves that share up fast, and prices tend to be highest in summer too.

What to do

  1. Set the thermostat as high as is comfortable when you are home and higher when you are away. Setting it colder than normal does not cool the house faster.
  2. Use ceiling fans: DOE says a fan lets you raise the setpoint about 4 degrees F without losing comfort. Turn them off when you leave the room.
  3. Keep window coverings closed on sunny days, and clean or replace the filter monthly in peak season.
  4. If it runs nonstop and the house still isn't cool, see the AC troubleshooters: ice on the unit is a separate problem.
Electric heat: a heat pump, baseboards or an electric furnace

Keep an eye on it

Electric heating is the likely cause

In 2020 space heating used 12% of residential site electricity nationally. Homes that heat with electricity carry that load on the electric bill, and cold weather pushes a heat pump or baseboard system hard.

What to do

  1. Lower the thermostat when you sleep or the home is empty, DOE suggests 7 to 10 degrees F for about 8 hours a day. If you have a heat pump, don't use manual setbacks unless the thermostat is made for heat pumps.
  2. Seal obvious drafts and keep vents and registers clear of furniture and drapes.
  3. Open south-facing curtains by day and close them at night.
  4. If the heat pump runs constantly with little warmth, use the heat pump troubleshooter when it is available, or call an HVAC technician.
Gas or oil heat, and it was a cold stretch

Keep an eye on it

Look at what else runs on electricity

If your heat is gas or oil, the heating itself isn't on your electric bill, apart from the blower and controls. Water heating alone was 12% of residential site electricity in 2020, and more time indoors means more lighting, cooking and electronics.

What to do

  1. Check the water heater setting. DOE recommends 120 degrees F.
  2. Look for plug-in space heaters or other added loads, and for devices drawing power while idle.
  3. Compare this bill with the same month last year before you assume something is wrong.
The weather didn't change, but the bill did

Did anything change at home or on the bill?

More people, a new appliance, working from home or a home business

Keep an eye on it

Your use probably changed

A household uses about 10,500 kWh of electricity a year on average, and what you run varies a lot by home. A new appliance, more people or more hours at home all add up, and devices on standby can add 5 to 10% to a monthly bill.

What to do

  1. List what is new or runs longer than it used to, then check the bill's usage line against last year's same month.
  2. Do the energy vampire hunt to find standby loads.
  3. Check the refrigerator and any second refrigerator or freezer: older units cost more to run.
The billing period was longer, the reading was estimated or the rate changed

Keep an eye on it

Read the bill's details first

A longer billing period, a reading the utility estimated, or a new rate can raise a bill with no change in how you live. Electricity prices also vary with fuel costs, regulation and the season.

What to do

  1. Find the number of days in the billing period, whether each reading is marked actual or estimated, and the rate or plan name.
  2. Compare the usage line, not just the total, with the same month last year.
  3. If anything looks off, ask the utility to explain the charges in writing. The review letter on this site gives you the wording.
Nothing I can think of

Deal with it soon

Ask the utility to review the bill

If your use really hasn't changed and the weather and rate didn't either, the next step is to ask the utility to review the charges and, if the review finds nothing, to check the meter.

What to do

  1. Gather a year of bills if you can.
  2. Send the utility a written review request. A letter creates a record that a phone call does not.
  3. Ask your state utility regulator how disputes and meter tests work. Rules differ by state.
It has been high for as long as I've lived here

Which is closest to your home?

Mostly electric: heat, hot water and cooking

Keep an eye on it

An all-electric home puts everything on one bill

Space heating and cooling account for 52% of an average household's annual energy use (EIA, 2020), and in an all-electric home that all lands on the electric bill.

What to do

  1. Work the winter and summer checklists: thermostat settings, filters and air sealing do most of the work.
  2. Have heating and cooling equipment checked. DOE says regular maintenance can cut costs by 10% or more.
  3. If a major system is old, ask a contractor for efficiency numbers before you decide to replace it.
Drafty, hard to keep comfortable, or poorly insulated

Deal with it soon

Air leaks and insulation are the likely cause

DOE says sealing air leaks can cut heating and cooling bills by 10 to 20%. A home that leaks makes the heating and cooling equipment work harder.

What to do

  1. Do a walk-through for drafts with the DIY audit checklist.
  2. Seal the obvious leaks you can reach safely, using the air sealing checklist.
  3. Renting? You can't insulate the attic, but you can ask the landlord to fix drafts and heating or cooling problems in writing.
I can't tell

Keep an eye on it

Start with a home energy audit

When you can't tell where the energy goes, an audit finds it. A do-it-yourself walk-through catches the obvious leaks and loads, and a professional assessment measures air leakage with equipment.

What to do

  1. Do the DIY home energy audit checklist this week.
  2. Ask your electric utility or state energy office about professional assessments.
  3. Keep your bills together: an assessor will ask for them.

What the tool is working from

The Energy Information Administration's household survey finds that cooling, heating and water heating are the three biggest uses of residential electricity. In that survey air conditioning led at 19%, with space heating and water heating at 12% and 12% each. The average household used about 10,500 kWh in a year. Homes in the South tend to use the most because they run more air conditioning and are more likely to heat with electricity. Those are national averages. Your own mix depends on your climate, your home and your equipment.

The EIA also explains that the price itself moves. Fuel costs, the cost of running plants and the lines that deliver power, the weather, and how your state regulates utilities all feed into it, and prices tend to be highest in summer when the most expensive generators are needed. So a bill can rise with no change in your habits.

Why safety comes first

Burning smells, sparking, hot outlets and breakers that keep tripping are not billing problems. The tool sends you to a licensed electrician right away for those, and to emergency services if there is smoke or fire. It does not describe any wiring work.

Worked example

Dana opens a bill that is much higher than last month's. No burning smells, so she moves past the safety question. It was a very hot month, so she picks the weather branch, and she has central air conditioning, so the result is that cooling is the likely cause. The next steps are to raise the thermostat, add ceiling fans, keep the shades closed on sunny afternoons and change the filter. Dana also notes that the result links the summer checklist and the AC freezing troubleshooter, because a unit that runs nonstop and still does not cool may be iced over.

Now take Dana's neighbor, who sees a jump in a mild month. He chooses the branch for no weather change, then the one for a longer billing period and an estimated reading. The result tells him to read the bill's details: the number of days, whether the meter reading was actual, and the rate. Those are the places a bill changes without any change in what he used. If they do not explain it, the result points to the review letter.

When math would help

This site does not do the arithmetic. To model a rate against your usage, try Calcimator's electricity rate analysis calculator, or browse its energy calculators.

Renting

You cannot replace a landlord's equipment or seal an attic, but you can adjust settings, use the energy vampire hunt and the summer and winter checklists, and send the repair letter for drafts or equipment that does not work.

Check the price, too

Before blaming the house, see whether power simply costs more in your state than it did a year ago: electricity rates by state lists EIA's latest averages next to the same month last year.

Sources

  1. U.S. Energy Information Administration, Electricity use in homes eia.gov
  2. U.S. Energy Information Administration, Electricity prices and factors affecting prices eia.gov
  3. U.S. Department of Energy, Energy Saver Guide (2022) energy.gov
  4. U.S. Department of Energy, Consumer Guide to Home Heating and Cooling energy.gov
  5. U.S. Department of Energy, FEMP Home Energy Checklist energy.gov
  6. U.S. Department of Energy, Consumer Guide to Home Energy Assessments energy.gov
  7. U.S. Department of Energy, Consumer Guide to Air Sealing the Home energy.gov
  8. U.S. Energy Information Administration, Use of energy in homes eia.gov
  9. U.S. Consumer Product Safety Commission, Carbon Monoxide Information Center cpsc.gov
  10. Calcimator, Energy and utilities calculators calcimator.com