How Much Is the Average Electric Bill?

Cost Of The Average Monthly Electric Bill

Whether you are moving, saving money, or just trying to win a debate you may be wondering what the average electric bill looks like in your area. The answer to this question is going to be affected by two things. Follow along with APGE to learn what they are or call APG&E for more information. 1.866.715.7890

1.    The amount of electricity you use

Your energy consumption may be higher or lower than someone down the street, even if you live in a very similar house or apartment. In general, your monthly usage is heavily linked to the climate in which you live and the size of your home.

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2.    The average price of electricity

Electricity costs vary by state, region, zip code, and even person to person. The average cost of energy for your state may be much higher than you are paying if you have shopped around.

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How Is the Average Electric Bill Calculated?

Depending on your state or municipality there may be taxes or other charges to consider but a good rule of thumb is that:

Average Kilowatt Hours Used x Average Cents per Kilowatt Hour ÷ 100 = Average Electric Bill

A Kilowatt Hour is a measure of the electricity you use per hour to power your heating, lighting, cooling, appliances, devices, washer, dryer and any other household items. If you are looking at your bill you may see the short form of kilowatt-hour displayed as kWh along with the electricity rate displayed as cents per kWh or ¢ per kWh.

If your television uses 0.20 kilowatts per hour and you use your television 4 hours per day, you will have used 24-kilowatt hours by the end of the month. (0.20 kWh x 4 hours per day x 30 days = 24 kWh) If your average cost of electricity is 10 cents per kilowatt-hour, your television costs you $2.40 for that month.  (24 kWh x 10 cents per kilowatt-hour ÷ 100 = $2.40)

The Average Electric Bill in the United States

According to the U.S. Energy Information Administration (EIA), the average electric bill in 2018 was $117.65. The average amount of electricity used was 914-kilowatt hours and the average cost of electricity was 12.87 cents per kilowatt-hour.

Customers in Tennessee use the most electricity – 1,283 kilowatt hours to be exact.

Customers in Hawaii pay the highest rate at 32.47¢ per kilowatt-hour and have the highest average electric bill at $168.13. Fortunately, customers in Hawaii also use the least electricity – 518-kilowatt hours.

At the other end of the spectrum, customers in Louisiana have the lowest average cost of electricity at 9.59¢ per kilowatt-hour. Residents of Utah have the lowest average electric bill at $77.25.

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Breaking Down the Average Electric Bill

EIA’s Annual Energy Outlook will help you understand how you use your electricity and may even help you target those areas where you are most likely to reduce your usage.

Average Energy Cost For Homes

The electricity bill for your home is going to be affected by a variety of factors. The primary three are the size of your home, the age of your home, and the number of occupants.

The size of your home is the biggest driver of your energy bill because it determines the total amount of space that you are heating, cooling, lighting, and cleaning. We have seen estimates ranging from 7 to 10 cents per square foot per month.

The age of your home contributes to your energy bill in two ways. Newer homes are being constructed with better insulation and more modern windows, keeping the outside out, and your hard-earned dollars in. Newer homes typically have more energy-efficient appliances as well.

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Average Electricity Bill for Apartments

Apartments can oftentimes be cheaper to heat and cool than a single-family home. The common walls and surrounding apartments provide extra insulation which can keep your home comfortable for less. Larger apartments cost more due to the increased area to heat, cool, and light. Apartments with more roommates will have higher utility bills because there will be more people performing more electricity consuming activities. According to ForRent.com energy costs for apartments break down as follows:

• Studio, 1 resident: $55/mo

• One-bedroom, 1 resident: $60/mo

• One bedroom, 2 residents: $66/mo

• Two-bedroom, 2 residents: $76/mo

• Three-bedroom, 2 residents: $87/mo

• Three-bedroom, 3 residents: $93/mo

The Average Monthly Electric Bill by State

The amount that you pay per kilowatt-hour will be impacted by the state that you are in and the distribution company or electric provider that you purchase your electricity from. If you think that you are paying too much, look at your electric bill and see whether your usage or the average cost of electricity should be tackled first.

If you live in California, Connecticut, the District of Columbia, Delaware, Illinois, Massachusetts, Maryland, Maine, Michigan, Montana, New Hampshire, New Jersey, New York, Ohio, Pennsylvania, Rhode Island, and Texas you may be able to select your residential electricity provider and lower your rate. Some of these states also allow you to choose a natural gas provider as well.

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For more great information about your electricity bill, check out our guide. Your Electricity Bill - 6 Questions You Should Ask?