How Much Energy Does a Water Heater Use? 

Your faucets, showerheads and plumbing appliances use lots of hot water. Believe it or not, the Department of Energy reports that water heating is the second-largest utility cost behind space heating and cooling, accounting for about 18% of your monthly bill. Discover how much energy the average water heater uses and helpful tips to scale back 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 needs and local costs for electricity. For example, a medium-sized, 40-gallon water heater that needs 4500 watts and is active for two 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 per month or $426 each year. 

How Much Natural Gas Does a Gas-Fired Water Heater Need? 

If your water heater uses natural gas, you need to consider the size of the unit, how much you use it, its power draw and typical costs for natural gas. As an example, a medium-sized, 40-gallon water heater that uses .205 therms per hour and is active for a couple of hours per day for a price of $1 per therm costs about $0.62 to operate per day, which is roughly $18.60 per month or $226 per year. 

Gas vs. Electric Water Heater Costs 

As you can see from the examples above, gas water heaters usually cost less to run than comparable electric models because natural gas prices tend to run lower than electric prices. Fine-tune 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 uses electricity or gas, you can cut your utility costs with these money-saving suggestions. 

Change Up Your Hot Water Habits 

Remember that every time you turn on a hot water tap, you need to pay to heat it. Modify your day-to-day habits to lower your bills. Here’s how: 

  • Take faster showers.  
  • Only use the dishwasher and washing machine with full loads.  
  • Avoid pre-rinsing dishes before you load them into the dishwasher. 
  • Wash your clothes in cold water if possible. 

Resolve Plumbing Leaks 

Leaky faucets, showerheads and pipes can waste large amounts of hot water. For example, one drip per second can waste as much as 1,600 gallons annually. Eliminate this waste by handling plumbing leaks as soon as you discover them. 

Install Low-Flow Faucets and Showerheads 

Modern regulations 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 around $10 to $20 each, resulting in as much as 60% savings on water use. Look for the ENERGY STAR® WaterSense label to maximize efficiency without negatively influencing 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 in the tank. 

If the water heater doesn’t include a temperature readout, determine the setting with a thermometer at the bathroom or kitchen faucet. Adjust the water heater’s dial, wait two hours and test the water’s temperature. Repeat this process until the thermometer reaches 120 degrees. 

Add Insulation 

Both electric and natural gas water heaters can be insulated with insulation jackets available at home improvement retailers. Be careful to install the jacket correctly to avoid creating a dangerous operating situation. If you’re not sure how to proceed, ask a professional for help. Once the tank is insulated, add insulation around 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 getting close to the end of its life span, think about replacing it with an ENERGY STAR-rated model. A tankless water heater is one such option. This upgrade can save approximately 34% on your water heating bills by producing hot water on demand and cutting out standby heat loss. Save energy and lower costs by replacing your hot water appliances with high-efficiency models, including the dishwasher and washing machine. 

Schedule Water Heater Services with an Expert 

Service Experts Heating & Air Conditioning is your source for dependable, 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 within budget. To find out more, please contact your local Service Experts Heating & Air Conditioning office today. 

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