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US heat waves are pushing power bills higher, but smart thermostats can trim cooling costs

Reducing AC runtime can also mean less wear and tear on costly HVAC equipment.

A smart thermostat.

Photo Credit: iStock

Across the U.S., prolonged heat is forcing air conditioners to work overtime, leaving many households with enormous summer utility bills. 

Experts now say using smart thermostats can trim some of that spending, but the reductions are typically smaller than the most optimistic ads imply.

What's happening?

A consequence of having more severe and frequent heat waves is a jump in home electricity costs for Americans.

During periods of extreme heat, cooling systems often run for hours at a time, especially when temperatures stay high overnight and homes have little chance to cool down.

Reporting from CBS News says smart thermostats are proving that they can lower cooling costs during these heat waves, though typical results are usually around 10% to 15%, lower than figures often advertised for total energy savings.

Put another way, if a household's power bill rises to $400 during a heat wave and air conditioning makes up about half of that amount, cutting cooling costs by 10% would save roughly $20 for the month.

The savings come from avoiding unnecessary AC use, not from making the air conditioner itself run more efficiently. Smart thermostats do that by changing temperature settings automatically when people are asleep, out of the house, or following a preset routine.

Why does it matter?

For many families, summer utility spikes arrive when household budgets are already stretched. Even a modest reduction in a monthly bill can help during long periods of sustained heat.

The biggest savings usually go to homeowners who previously kept their thermostat at the same setting all day and night. If someone already adjusts the temperature regularly before leaving home or going to bed, the financial payoff from switching to a smart thermostat may be smaller.

Reducing AC runtime can also mean less wear and tear on costly HVAC equipment. That could help lower repair expenses and potentially extend the life of a system that might otherwise cost thousands of dollars to replace.

Pairing other efficiency improvements with better thermostat controls can often deliver stronger savings than relying on a single change alone.

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