Will a Smart Thermostat Save Me Money on Utility Expenses?

December 07, 2020

Keeping your New Castle residence comfortable can require a lot of money. The average homeowner spends about $172 on monthly utility costs, according to ENERGY STAR®, or about $2,060 each year. At least half of that is consumed by heating and cooling.

Many houses use programmable thermostats, but most people don’t bother to set them. The process is annoying, complicated and only provides you limited options for temperature changes. When your residence is kept at an identical setting throughout the day, it requires energy and badly impacts your monthly bill.

Smart thermostats learn from your routine and modify the settings to accompany it. But can using one really save you money on heating and cooling? Yes, and here’s why.

Studies Show Smart Thermostats Reduce on Energy Costs

Independent studies have found these devices can produce major savings.

These studies involved home energy costs in 41 states before and after adding a Nest smart thermostat. Nest said the study found its thermostats can save up to 12% on heating and 15% on cooling, producing an approximated savings of $131 to $145 annually.

With the average smart thermostat costing between $100–$250, those savings can help it pay for itself. And many local energy companies offer rebates for smart thermostats as they’re ENERGY STAR® certified.

How Does a Smart Thermostat Work?

After your smart thermostat is ready to go, you’ll initially use it just like your old thermostat. You’ll switch it up and down, so the thermostat can figure out your wants. Then, it will start developing a program that helps you save money, whether you’re at home or away. Because it geofences with your smartphone, you won’t have to think about adjusting it when you leave or return.

Pros and Cons of Having a Smart Thermostat


As we covered previously, smart thermostats offer many advantages to your house and heating and cooling expenses, including:

  • No need to adjust—Your smart thermostat will pick up on your routine, so you don’t have to spend time adjusting programs or remember to change.
  • Knows when you arrive and go—Because a lot of smart thermostats geofence with your phone, your residence will move into an energy-efficient setting when you go and be cozy when you return.
  • Remote temperature supervision—You’ll be able to keep an eye on your house’s temperature from just about anywhere, because of an app on your phone.
  • Monitor heating and cooling use—Many smart thermostats offer valuable data through their app, like how long you required heating and cooling on a particular day.
  • Reminders—Select smart thermostats will let you know about important maintenance tasks, like when you’re due to replace your air filter.
  • Added savings—Many local energy companies offer rebates for smart thermostats, so check with yours for more information.


Having said that, there’s a few points you should contemplate when thinking about adding a smart thermostat in your home:

  • Compatibility—Depending on the type and age of your heating and cooling system, a smart thermostat might not work. If you’re unsure, it’s advisable to ask an HVAC specialist like Central Heating & Plumbing. We also recommend having it professionally installed. This guarantees that you have the correct number of wires and that it’s linked properly. Some systems don’t come with a common wire, which leads to compatibility issues with a smart thermostat. This wire powers your thermostat, so if your residence doesn’t have a C-wire, we can put one in.
  • Housing situation—If you own your house and plan to be there for years, it’s a smart investment to install a smart thermostat. If you’re thinking about moving in the next year or rent, we suggest waiting unless you will take the thermostat with you. If you rent, you’ll often need to have your landlord’s permission first in advance of getting a new thermostat.
  • Cost—Smart thermostats are more expensive than programmable thermostats, and we advise having yours professionally installed. However, the energy savings over the years can help pay for itself.
  • Lifestyle—Does a family member work from home, or is someone regularly at the house? If that’s your situation, you might not see as big of savings, but you’ll enjoy the convenience of not having to program or adjust a thermostat.

Rely on Central Heating & Plumbing for Your Smart Thermostat Needs

At Central Heating & Plumbing, our number one goal is to keep your residence pleasant while helping you spend less utility costs. If you’re considering installing a smart thermostat, our pros can help, from selecting the right model to expert installation. Contact us at 724-401-1843 today to learn more.