There are several things you can do to cut the costs of using the water heater in your home, including insulating your water heater, turning down the temperature, and adding a timer. In some homes, water heaters can be the biggest energy user besides heating and cooling systems, regardless of whether it runs on gas or electricity. Think about it- your water heater is designed to keep the water inside at a pre-determined temperature, all day every day, so that there is hot water available when you are ready to use it.
Insulating Your Water Heater
Insulating your water heater is one of those things that may not save you a ton of money per year, but combined with other small home improvement projects and small changes to you and your family’s habits, these small changes can put a significant dent in your expenses. Water heaters come with some insulation of their own, but no insulation is perfect, and heat is constantly being lost from the tank to the surrounding air. If you live in a cold area, and your water heater is located somewhere like your attic, you’re probably losing even more heat than most.
First, you should try calling your local utility to see if you can get a free insulating blanket or water heater blanket. If so, everything you save on your bill is instant money in your pocket! You may also be able to get a rebate from the city or state for $5-$10. If you can’t get a free one, look for a pre-cut water heater blanket at your nearby hardware stores. You should be able to find one for around $30. Make sure you find one with an R-value of R-8 or more.
You will be able to install the water heater insulation blanket in less than an hour, without professional help. Just make sure to follow the manufacturer’s directions that come with the blanket carefully, avoiding covering any vents and keeping the blanket away from pilot lights for water heaters that run using gas instead of electricity.
Turning Down the Temperature on Your Water Heater
While you are installing the water heater blanket, check to see what temperature the water heater thermostat is set to. Most manufacturers use a preset temperature of 140 degrees Fahrenheit. However, setting this temperature to something lower prevents scalds, and water that hot isn’t necessary for a comfortable shower. Some sources say you can set your water heater as low as 123 degrees Fahrenheit. On the other hand, water at this temperature does not actively kill certain dangerous bacteria, such as the bacteria that cause Legionnaire’s. It does, however, prevent the bacteria from multiplying at that temperature. The general conclusion is that if you have small children that could get scalded, or if you are interested in saving money and don’t have anyone who would be at high risk of contracting the disease living with you, it would be beneficial to turn down your water heater temperature to as low as 123 degrees Fahrenheit. This will produce significant savings per month, especially in combination with adding the insulating blanket.
Put Your Water Heater on a Timer
Possibly the best tip for saving money with your water heater is to add a timer. Timers allow you to control when your water heater is on and actively maintaining the heat of the water. For some households, even just turning the water heater off at night produces significant savings. But if no one is home during the day, you may also be able to turn off the heater while everyone is at work or at school. This could save a significant amount of money per year. If you are familiar with electrical wiring, you may be able to install the timer yourself. Otherwise, you may need to hire a contractor. This will mean that it will take longer for the timer to pay for itself in terms of savings, but it will instantly reduce your fixed costs per month, which is more important for some people. A final note is that while a timer can save you a lot of money, the time that your water heater spends at a lower temperature could allow bacteria in the water to multiply quickly, depending on the climate where you live. If you are installing a timer, you may consider leaving your water heater’s thermostat at 140 degrees Fahrenheit or close to it in order to kill the bacteria when the water heats back up.
