7 Frugal Habits That Will Save You Money on Utilities

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Saving money on utilities — and helping the planet in the process — doesn’t require grand gestures like installing top-of-the-line solar panels, recycling your own water or imposing rolling blackouts on your household. There are plenty of habits to pick up and smaller changes you can make that can really add up.

Perhaps a parent or other loved one drives you crazy by switching off lights in a room the moment it empties. Well, they’re on the right track.

“It really does come down to mindfulness and carefulness,” said Kelli Latuska, a spokesperson for the Public Works and Utilities Department in often-chilly Duluth, Minnesota. “Especially in years when fuel rates are going up because of availability.”

Depending on where you live, utilities can cover different services such as electricity, gas, water, sewer, garbage, internet, cable, home security systems and more. For the purposes of this story, let’s focus on heating, cooling, water and electricity.

With winter approaching and inflation still tough on many Americans, now is a great time to find some money-saving opportunities around your home. Forbes reported earlier this year that Americans were spending about $5,152 a year for utilities on average, and that electricity costs about 14% more on average in 2022 than it did the year before. To reduce your utility bills with varying levels of effort, here are seven small-but-impactful tips to consider if you aren’t doing them already.

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Use Your Dishwasher, but Only When It’s Full

If you think you’re saving water and money by handwashing your dishes, think again. The Natural Resources Defense Council (NRDC), an environmental advocacy group, reports that modern dishwashers can use as little as three gallons per load. Washing a load by hand can take up to 27 gallons.

Try to hold off on running the dishwasher until you have a full load, though. And be wary of rinsing your dishes before you load them. This practice sucks up gallons of water, and those modern dishwashers can usually get the job done on their own.

Quit Letting Your Water Run

You can save more gallons with a little mindfulness around your faucets. Many of us have a tendency to let them run when there isn’t a need.

“Don’t leave the tap running the whole time you’re brushing your teeth or washing your hands,” Latuska said. “It’s just going down the drain.”

Also, keep in mind that you don’t necessarily need to open your tap up all the way every time. Sometimes a medium stream or a trickle of water is plenty.

Unplug Fully Charged Devices or Other Items You Aren’t Using

“Vampire loads” are a real thing, and they’ve come to suck your power. The term refers to electricity used by devices even when they don’t appear to be doing anything. Culprits include cell phone chargers left in outlets, phones over-charged while you sleep, gaming consoles in standby mode, and more.

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According to the NRDC, about 23% of electricity consumed in U.S. homes disappears into this standby power void. In addition to unplugging devices more often, NRDC experts advise investing in power strips and charging your phone for a shorter time in the morning, rather than all night.

Lower the Water Heater Temperature

Do you know where your water heater’s temperature is set? Many of us have them cranked up to 135 degrees or even hotter.

“Try turning the heat down to 120,” Latuska advised. “Most of us run them a little higher than that. It’s not necessary to have water that hot for human beings.”

NRDC experts concur, noting that about 18% of residential energy use goes toward producing hot water. A reduction from 140 to 120 degrees can save a consumer up to $400 a year, according to NRDC figures. And don’t forget to turn the temperature way down if you’re headed out on vacation for more than a few days.

Use Your Ceiling Fan More Often and Strategically

Ceiling fans use a fraction of the energy consumed by air conditioners — about 10%, according to NRDC research. Plus, using a ceiling fan instead of an air conditioner can save up to 1.35 tons of carbon dioxide in a single year.

Ceiling fans aren’t just for summer, either. Change the direction of your fan to clockwise during the cold winter months. Hot air rises, and a fan rotating clockwise can push some of that warmer air back down into your room.

Optimize Each Laundry Load

These are not your parents’ and grandparents’ washing machines. More recent models, combined with more efficient detergents, can usually get your clothes clean with just cold water.

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Even a switch down to “warm” can save you half the energy you would have used had you washed your load in hot water, according to the NRDC.

As is the case with your dishwasher, make sure you have a full load before you run your washing machine. Use a front-loading washing machine if possible, with a high spin cycle to wring more water out of your clothes. This cuts down on dryer time.

Turn Your Thermostat Down

Want to save 10% on your heating bills? Try lowering your thermostat by 10-15 degrees for the hours while you’re asleep. Smart thermostats can be a big help when it comes to cranking that temperature down when you’re asleep or not around. The NRDC estimates that using a smart thermostat can save you about $180 a year in energy costs.

Of course, if you’re heading out on vacation, you can turn your air conditioning or heat way down. It’s worth getting used to a lower temperature even when you are in your home, though, Latuska advised.

“Some people could use to be reminded that more clothes can be worn,” Latuska said. “Put an extra blanket on your bed. It makes a big difference.”

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