Average Household Electricity Usage: How Your Home Compares

In the grand scheme of things, electric bills are a relatively new invention. But, like much of modern life, you might take it for granted. It’s just another unavoidable expense that you can’t control.

But, while electricity isn’t going anywhere, your electric bill isn’t set in stone. You can take action to reduce it. From home solar panels to efficient HVAC systems to using smart plugs or a smart thermostat, there’s much you can do to reduce your consumption.

If you’re like me, you know comparison is the thief of joy, but just can’t help yourself. Here’s how much electricity the average household uses at the national and state level, and how you can bring your own home closer to (or below!) that mark.

How much electricity does the average house use? (And how much does it cost?)

In 2023, the average residential property in the US used 863 kilowatt-hours a month according to the US Energy Information Administration, though it varies by state or region. That number is eight kilowatt-hours higher than the year before. How many kwh does a house use? Your consumption depends on many factors, like the season, how many people live at home, whether you work from home, your appliances, and the age of the house itself. 

Your monthly bill depends not only on your consumption, but also on your utility’s rate. The average rate nationwide as of January 2026 was 17.45 cents per kWh. It was 15.94 cents per kWh in January 2025. The average monthly electric bill for more than 141 million US homes was $142.26 in 2024, up from $138 in 2023 according to the EIA. 

States with the highest average consumption don’t always have the highest bill. In 2024, Louisiana had the highest consumption with 1,202 kWh per month. (Much of the Deep South, southwest, Mid-Atlantic, and Great Plains us a higher average kWh per month as residents tend to use air conditioning more often for more of the year.) California has the lowest average electricity consumption in the lower 48 states at 503 kWh a month. The difference in average rates adds up to California’s average monthly bill being $160.86 and Louisiana’s being $140.96. 

The highest average bill goes to Hawaii at $212.12 a month and, in the continental US, Connecticut at $199.66. The lowest average bill is in New Mexico at $92.88.

Data from EIA.

What are a house’s biggest electricity consumers?

In 2020, air conditioning used 19% of electricity in residential settings in the US, and was the largest residential electricity consumer according to data from the US Energy Information Administration. Heating and water heating used about 12% each. Lighting, refrigeration, TVs and related devices, and laundry dryers are next going down the list.

Heating and cooling accounted for about 52% of overall residential energy usage in 2015. HVAC efficiency is improving, so it’s declining as a percentage of a home’s energy usage. Yet, the total gross energy usage, electric and total, is increasing as more homes and buildings have heating and cooling. In 1980, 57% of US homes had air conditioning. As of 2020, it was 88% of US homes.

Home electrification and energy consumption

Home electrification — moving your energy use from fossil fuels to electricity — will increase your electricity consumption, but could reduce your overall energy consumption. That means you’re likely to get a higher electric bill. If you’re looking to save money when you electrify your home, the increased electricity cost needs to be smaller than the decrease in overall energy cost. 

Combining an electric heat pump and a smart thermostat may give you a more energy-efficient HVAC system year-around as the thermostat learns your preferences and patterns and adjusts the home’s heating and cooling in the most efficient way possible.

Pairing electrification with home solar panels can have a significant impact on your electric bill. By shifting more of your energy to electricity, you can replace a larger portion of your overall energy use with solar panels. There’s no at home source of natural gas.

To see how much you could save with home energy changes, download the free Palmetto app today.

Solar panel systems are designed to last for 25 or more years. Many solar panel systems recoup the cost of purchasing them before their useful life is up. When you lease solar panels, you forgo the upfront payment for predictable monthly payments that can save you money from your first bill.

Other ways to use less electricity

There are plenty of strategies, from the simple to the more complicated, that can reduce your energy use. A home energy audit checks a home’s energy efficiency by inspecting where air can escape your home. An energy audit checks insulation, the foundation, walls, siding, chimney, caulking, window and door frames, vents, crawl spaces, and attics.  It can be done by a pro or you can do parts of it yourself. 

If it’s time for a new appliance, pay attention to its energy efficiency. Look for the Energy Star certification and know about any incentives you may qualify for. Most appliances are sold with an Energy Guide label that will give its average consumption and cost over a year of normal use.

Simple steps, like checking the light bulbs around your house, can also save. LED light bulbs use at least 75% less energy and last 25 times longer than incandescent bulbs.

Smart plugs can monitor energy usage, stop vampire energy consumption, and turn appliances on or off via an app, which can also improve safety.

You can use ceiling fans year-around to reduce your need for heating and cooling. We usually turn a fan on to make it feel cooler, but you can reverse the direction of a ceiling fan to move warmer air down in cool or cold months. Running the fan doesn’t actually change the temperature in a room, it makes it feel warmer or cooler, by up to four degrees, so you can adjust your thermostat accordingly.

Learn more about how your home uses energy and how you can save by downloading the free Palmetto app. Or, get a free solar quote and savings estimate for your home.

Home energy consumption FAQs

Why is my electricity bill so high?

The price of electricity has increased over the last year. From January 2025 to January 2026, the nationwide average rate rose from 15.94 cents per kWh to 17.45. Your home’s bill may vary due to weather, number of people at home, your daily schedule and habits, the age of the home, your appliances, and more. 

Which states have the highest and lowest electricity bills?

Average household electricity usage varies by state. By the average monthly bill in 2024, Hawaii was the most expensive US state with an average electric bill of $212.12. New Mexico had the lowest average bill of $92.88. By rate, Hawaii had the most expensive electricity rate and North Dakota had the lowest electricity rate. 

How much electricity does AC use?

Air conditioning is typically the biggest user of energy in a home in the US. According to the EIA, AC used about 19% of residential electric consumption. Heating plus cooling used about 52% of a home’s overall energy consumption. In 2024, the average monthly electric bill for more than 141 million US homes was $142.26, with the average home using 863 kWh a month. That means AC cost the average home $27.03 of an average bill and consumed 164 kWh.