Utility Bills 101: Tips, Average Costs, Fees, and More
Unless you live off the grid in a lakeside cabin (in which case you’re probably not reading this), you need to plan your monthly budget around utility bills for electricity, gas, water, internet, and cable. In the US, people who rent apartments should plan to spend $100–$150 (sometimes more) per month for utilities,1 and we’ve found that homeowners should budget closer to $400 a month.
Of course, climate and energy costs vary from one state to another, so utility bills do too. That’s why we looked into the average utility costs in individual states. If you’re thinking of moving to another state and you want to see how much people pay for utilities there, skip down to our section about utility costs in different states.
Keep reading to learn more about monthly utility costs and what you should be spending—and to get money-saving tips.
Average monthly utility costs in the US
Electricity: $110.76
Natural gas: $72.10
Water: $70.39
Cable TV: $85
Internet: $60
Trash/recycling: $14
Total cost: $398.24
How to save money on your utility bills
Before we get into the nitty-gritty of how much utilities cost, here’s a handful of ways to save money on your utility bills every month:
- Replace your old thermostat with a smart thermostat.
- Swap out your lightbulbs with energy-efficient replacements.
- Replace your curtains with insulated curtains.
- Unplug all your electronics when you’re not using them.
- Get solar panels for your house.
- Replace your water heater if it’s more than 10 years old.
- Replace your furnace’s air filter once every three months.
- Use less water for tasks like showering and brushing your teeth.
How to get your utilities repaired during COVID-19
If one of your essential utilities breaks during the COVID-19 pandemic, you can still bring a repairperson into your home. You just need to take a few extra steps to keep you, your family, and your technician safe.
When you schedule your appointment, ask the company what steps it’s taking to avoid spreading the virus. If you don’t think the company is doing enough, you can also make special requests, like asking that the technician wears a mask, allows you to open all doors for them, and sanitizes each surface they touch while in your home.
As always, you should follow these CDC guidelines for stopping the spread:
- Wash your hands, and make sure the technician does as well.
- Wear a mask.
- Disinfect every surface before your technician arrives and after they leave.
- Stay at least six feet away from your technician at all times.
You should also avoid handing money or your credit card to the technician. Ask if you can pay them online or over the phone instead. And remember to tip them generously (if you can) for providing an essential service during a tough time.
Even though following these steps can keep you as safe as possible, there is still some risk in interacting with strangers. This is especially true if you or someone you live with is in a high-risk group.
If you don’t feel comfortable having a stranger in your home at this time, call the repair company, describe the problem you’re having, and ask if a technician can talk you through the repairs instead of coming to your home. If that’s not possible, ask the repair company what you should do instead.
How utility companies are responding to COVID-19
How utility companies are responding to COVID-19
In response to COVID-19, many companies that provide valuable utilities like wi-fi and power are changing their services to help their customers. For example, CenturyLink is suspending late fees for 60 days and Xfinity is offering unlimited data for all plans. To learn how other utility providers are evolving, read this guide from Reviews.org.
Heating and cooling: What’s the cost of comfort?
According to the US Energy Information Administration, the average cost of energy in US households is about $1,411.80 a year2—with nearly half of that money going to heating and cooling.3
This might seem like a small fortune, but luckily there are ways to reduce your energy bill. It all depends on where you live, the size of your house or apartment, and (most importantly) whether you make smart decisions about conserving energy.
A bigger house often means a bigger bill
Let’s start with size. Heating and cooling a small apartment with modern windows and proper insulation costs less than heating and cooling a large home.
According to the US Census Bureau, the median size for multifamily apartment units is 1,081 square feet, and today’s new homes have an average of 2,435 square feet of space.4 This is more than double the living space per person compared to homes in 1973.5
Coupled with greater energy efficiency than their earlier counterparts, however, new homes are going to be less expensive per square foot to heat and cool than in previous decades.6
How to save on heating and cooling your home
The US Department of Energy offers tips for saving energy and therefore money, but there’s one tip that jumps out to us above the rest—keep an eye on your thermostat.
Upgrade to a smart thermostat
Switching from a conventional thermostat to an energy-efficient smart thermostat can save you 10%–12% on heating and up to 15% on cooling.7
Over time, smart thermostats adapt to your temperature preferences and automatically adjust their settings to keep you comfortable when you’re home and save energy while you’re away.
If replacing your thermostat seems daunting and you’re looking for an easier fix, then swapping out your old curtains and hanging insulated curtains over your windows is another great option.8
Electricity: What’s the cost of keeping the lights (and fridge) on?
The average monthly electricity bill in the US is $110.76.
If your average electric bill seems higher than ever before, that’s because it is! In July 2019, the average price per kilowatt-hour (kWh—the unit of measurement for electricity) for the residential US was 13.3 cents, according to the US Energy Information Administration.9 At the start of 2001, the price of electricity was only 7.73 cents per kWh.10
How does that translate to your monthly utility bills? It depends on where you live. Some states fare better than others—Louisiana is the most affordable state to power your home in, while Hawaii is the least.
Some appliances and electronics use more power than others
It may come as no surprise that running an electric clothes dryer uses more kWh than charging your mobile phone or using other small electronics.
Silicon Valley Power (a municipal utility provider in California) breaks down energy use by appliance, basing energy use on a little over 11 cents per kWh and average conditions.11
Energy use by appliance
| Estimated energy usage | Estimated energy cost |
| 3.0 kWh/hour | $0.33/hour |
| 2.5–4.0 kWh/load | $0.28–$0.44/load |
| 6.3 kWh/load | $0.69/load |
| 60.0 kWh/month | $6.60/month |
| 0.016 kWh/hour | ~$0.01/hour |
| 28.8 kWh/month | $3.17/month |
| 0.25 kWh/use | $0.03/use |
| 1.44 kWh/month | $0.16/month |
How to save on your average electric bill
The two fastest ways to trim your power bill are to invest in energy-efficient lightbulbs and unplug electronics and appliances when they’re not in use.
Replacing your old incandescent lightbulbs with energy-efficient alternatives can save you $75 per year,12 while unplugging your appliances and electronics when not in use can save you over $100 per year.13
Solar panels are another option that could save you money on your electric bill and increase the value of your home. You can actually see for yourself how much money going solar can save you using Google’s Project Sunroof tool. Use a site like Solar Power Authority to find solar companies in your area and compare prices from local solar panel installation experts.
The final tip for saving money on your power bill is to replace your water heater. Most water heaters use either a natural gas flame or electricity to heat water. Unfortunately, electric water heaters typically cost more to operate than gas-powered options,14 which can increase your power bill. Find out if your water heater is electric, and if it is, replace it with a gas one to save on your monthly bills.
Invest in energy-efficient lightbulbs and smart power strips
The benefits of energy-efficient lightbulbs are pretty straightforward, but investing in a smart power strip can save you the hassle of unplugging individual electronics or appliances when not in use.
Natural gas: How much does it cost to keep warm?
The average monthly gas bill in the US is $72.10, though natural gas costs more in some states than others.
Natural gas is used to warm your house, to keep the hot water running, and, in many instances, to cook.
Reading your gas bill may feel like reading a science report, so let’s get down to the most important acronym, BTU. It’s short for British Thermal Unit, a unit of energy.
The average US household consumed 63 million BTUs of gas in 2016, costing $661 over the course of the year.15 Don’t let that number fool you though. Depending on where you live, you may end up paying a higher price for your natural gas.
Your bill isn’t based strictly on BTUs. You may also see some other items on your gas bill—such as taxes. Check with your local provider for details to see what’s included in your bill.
Gas is more expensive in some states than others
If you live in Hawaii or South Carolina, chances are you’ll be paying more for gas than the rest of us. Residents of Montana, Utah, and Idaho, however, don’t pay nearly as much for their gas.
If you’re curious about where your state falls, go check out our chart below where we break down the average utility costs in different states.
How to save on your gas bill
We understand that most people aren’t willing to move to Idaho just to save a few bucks on their gas bill, so we have a couple of other ideas for saving money.
Aside from fitting your home with one of the smart thermostats we recommended earlier, the best way to save on your gas bill is to regularly replace your furnace air filter and perform annual furnace maintenance.
A dirty air filter can slow down air flow through your furnace, causing it to work harder to heat your home. Neglecting annual maintenance can also cause key furnace components to operate inefficiently.
In the end, the harder your furnace has to work to do its job, the higher your gas bill will be at the end of the month.
Replace your furnace air filter at least once every 3 months
ENERGY STAR even recommends replacing your air filter monthly during the summer and winter seasons to ensure your furnace is running as efficiently as possible.16
However, it’s easy to forget when to replace your filter. That’s why a subscription service like Second Nature or Amazon Subscribe & Save is the way to go. You simply select how many filters you need, specify their sizes, and set how often you’d like your filters delivered.
Water: How much does the average water bill cost?
The average American water bill is $70.39 per month.
The Environmental Protection Agency (EPA) estimates the average American family uses 300 gallons of water per day.17 To put that number into perspective, that’s enough water to fill a six-person hot tub.
How much does it cost to fill this hypothetical hot tub, you ask? According to the nonprofit organization Circle of Blue, it could cost you more than $50 per month (depending on where you live).18
The price of water is on the rise too. In fact, it rose 41% between 2010 and 2015, and sewer prices and fees rose even more dramatically during that time.19 The rate of increase has slowed since 2015, but prices do continue to climb.
How to save on your water bill
Combating rising water costs is simple; you just have to use less water. As you go about your day, pay attention to every time you use water. While you shouldn’t decrease how much water you drink, take stock of every other way you use water and see if you can use a little less each time while still getting what you need.
Turning off your faucet while brushing your teeth is one easy way to cut back on your water usage. According to this commercial from Colgate, you waste approximately four gallons of water every time you leave the faucet running when you brush your pearly whites.
Another way to save water is to take shorter showers. On average, showers in the US last around eight minutes, which uses up over 17 gallons of water per shower.20 By cutting your shower time back to five minutes, you can save several gallons every time you wash up.
Small changes like these can make a big difference over time.
Cable TV and internet: What’s the price of screen time?
In the old days, “hooking up the TV” meant plugging it into the wall and adding a wire coat hanger as an antenna. Back then, television was essentially free.
Today, cable prices are all over the map, and most are not regulated by the FCC.21 You can watch basic channels for free using a digital antenna, but full cable subscriptions cost around $85 a month on average.22
The monthly cost of your internet will vary widely based on connection type and speed. Slow dial-up connections cost as little as $10 per month, but the fastest fiber optic connections can cost upward of $150 each month.23 The average internet bill is around $60 per month.24
How to save on your cable and internet bills
You can often bundle internet and cable into one bill, saving money on both utilities. If you’d rather not bundle your cable and internet, however, check with providers near you to see if there are any promotions you can take advantage of.
You can also save money by foregoing cable altogether and opting for a subscription service like Netflix, Hulu, or Disney+. Keep in mind, though, that if you want to watch all the hot new shows people talk about around the coffee machine, you’ll have to get multiple subscriptions, which can end up costing just as much as cable services.
Shop around to find the best cable and internet deal for you
You’ll find a wide range of plans whether you choose DIRECTV, AT&T U-Verse, DISH, or another TV service. Click through to see which best matches your cable and internet needs, and your budget.
Mobile phone: How much does it cost to stay connected?
According to the Pew Research Center, 96% of American adults own a mobile phone.25 The major cellphone carriers are constantly changing their prices to compete with one another, but you can expect to pay anywhere from $120 per month to $240 for a family of four.26
How to save on your cellphone bill
The best way to save money on your cellphone bill is to keep an eye on each mobile carrier’s promotions. You’ll often see promotions advertising discounted prices on phone plans (and even new smartphones) if you add an extra line to your plan or switch carriers.
If you aren’t concerned about using a lot of mobile data each month, a prepaid mobile plan may be right for you. Prepaid plans are often less expensive than standard postpaid plans, and many of the major mobile carriers have prepaid plan options to choose from.
Garbage: What’s the price of collecting trash?
Americans generate about 4.4 pounds of trash every day and, lucky for you, your garbage bill—on average between $8 and $12 per month—ensures you don’t have to drive it to the waste station yourself.27
While recycling doesn’t typically show up as a line item on your garbage bill, Americans with curbside recycling are being charged between $3 and $5 per month for the service.28
Sometimes you’ll even see water, sewage, and trash all on the same bill with one monthly fee.
How to save on your garbage bill
The best way to save on your monthly garbage bill is to create less garbage. Some cities and private collection services charge per bag, so the fewer bags you use, the less you pay.
If you need to pay a private company to collect your trash, be sure you’re getting the best deal. Shop around with your garbage collector’s competitors to see if you can find a better price elsewhere.
Bonus: what’s the cost of insurance?
Bonus: what’s the cost of insurance?
Though they’re not utilities per se, renters insurance and homeowners insurance are still housing costs you need to be aware of while you’re budgeting. If you own your home, you should expect to pay around $1,192 annually for insurance, though the cost varies by state.29 For renter’s insurance, you should expect to pay between $15 and $30.30
Average monthly utility costs by state
Now that we’ve discussed the national averages for utility expenses and how to save money on your utility bills, let’s get more specific and talk about how much utilities cost per month in each state.
States with the most expensive utilities
1. Hawaii: $587.79
As we said earlier, Hawaii’s average electricity bill is the highest in the nation, but it actually isn’t the highest utility bill in Hawaii. That honor goes to Hawaii’s average gas bill, which costs a little over $223 a month (and is the highest average gas bill in the US). Together, these utilities mean the average Hawaiian pays more each month for utilities than residents of other states.
2. Florida: $459.40
It’s no secret that Florida is hot. In fact, the state holds two of the US’s top 10 hottest cities. To combat the state’s oppressive heat and humidity, Floridians have to keep their AC units running for most of the year, which may be part of the reason their utility bills are the second highest in the US.
3. South Carolina: $450.51
At $140.80 a month, South Carolina’s average electricity bill is actually higher than Florida’s—but its total utility costs are slightly lower. Like a few other states on this list, South Carolina has a hot climate that necessitates a lot of AC, which may contribute to these hefty bills.
4. Alabama: $448.73
Nestled in the heart of the South, Alabama has some of the hottest summers in the US. This heat is one possible reason that the state’s average electricity bill is the second highest in the country, lagging only slightly behind Hawaii’s.
5. Georgia: $441.10
Right beside Alabama on the map, Georgia is also right up next to its neighbor in terms of utility rates. This should come as no surprise since the two southern states have very similar subtropical climates.
6. Connecticut: $440.03
The first northern state to make our list, Connecticut’s utility bills are only slightly lower than the southeastern states we’ve mentioned. This is at least partially due to the fact that electricity is more expensive in Connecticut than it is in most other states.31
7. Arizona: $431.07
Arid desert covers 42% of Arizona’s land,32 so it’s easy to see why it’s the only western state in our top ten. While the state’s southern position means hot summers, the desert can cause freezing temperatures in winter, keeping gas bills relatively high.
8. Delaware: $420.53
Pair Delaware’s low altitude (60 feet above sea level)33 with its close proximity to the Atlantic Ocean (large bodies of water help regulate temperatures), and you’ve got a recipe for a fairly moderate climate year-round. However, these factors aren’t enough to keep Delaware out of our top ten.
9. Maryland: $420.50
Maryland’s average gas bill is the lowest in our top ten. That said, the state’s humid, buggy summers and frequent winter snowfalls keep electricity bills soaring high above the national average.
10. New Hampshire: $419.17
Rounding out our top 10 is New Hampshire, another northeastern state. New Hampshire borders Canada, so as you’d expect, it’s pretty darn cold there, which partially explains why New Hampshirites pay more for gas than residents of most other states.
Moving? Here’s what to do with your utilities
Moving? Here’s what to do with your utilities
If you’re researching utility costs in different states because you want to move somewhere new, there’s some utility-related paperwork you should take care of. First, you need to set a shutoff date for all of your utilities in your current home. Next, you’ll need to set up utilities at your new place before moving day. Read our guide to moving paperwork to learn more.
States with the least expensive utilities
1. New Mexico: $344.55
Utility bills in New Mexico are the cheapest in the nation, so you wouldn’t need to pull a Walter White (à la Breaking Bad) to afford living there. While residents of many states have slightly lower gas bills, none have electricity bills that can rival New Mexico’s for affordability.
2. Utah: $345.03
Utah’s average utility bills take a close second to New Mexico’s, trailing by a mere $1.52. Keep in mind that Utah does experience regular droughts, so sometimes water bills in the state may occasionally climb higher than the national average.34
3. Colorado: $348.43
Colorado lies directly east of Utah, and the two states are pretty similar in terms of topography, elevation, and climate. All things considered, it’s not surprising that the average Coloradan’s utility bills are within a few dollars of the average Utahn’s.
4. Montana: $352.74
The second state we’ve mentioned that borders our Canadian neighbors, Montana also holds a significant portion of the famous Rocky Mountains.35 In fact, most of the states that the Rockies run through made our list of states with the cheapest utility bills.
5. Idaho: $357.53
At number five on our list, Idaho’s cheap utilities are no small potatoes. The state stays relatively cold year-round, but despite this, the average Idahoan’s monthly gas bill is actually the lowest in the country.
6. Wisconsin: $359.80
Did you know that Wisconsin’s climate is perfectly suited for making cheese? Just kidding. We don’t know that. We aren’t cheese experts, but what we do know is that Wisconsin’s low utility bills mean you don’t have to be a big cheese to afford your monthly expenses.
7. Illinois: $362.88
Despite being in seventh place on our list, Illinois actually has far cheaper electricity bills than many states further up in our rankings. Illinois also produces more nuclear power than any other state, generating about 11% of the nation’s nuclear power.36
8. Michigan: $363.44
Just like the Atlantic Ocean helps to regulate temperatures in Delaware, the Great Lakes keep most of Michigan fairly mild. This temperate climate help the average Michiganite spend less on gas and electricity than people in most other states.
9. Minnesota: $366.88
Minnesota sits in the Midwest, and like residents of many other midwestern states, Minnesotans get hot summers, freezing cold winters, and everything in between. Since Minnesotans don’t have to keep their ACs or their heaters running year-round, their electricity and gas bills both stay relatively low.
10. Wyoming: $367.94
Like Minnesota’s climate, Wyoming’s is characterized by significant fluctuations in temperature that range from hot summers to below-freezing winters. However, Wyoming’s elevation means that it doesn’t get extremely hot very often, so AC bills usually aren’t too astronomical.
Methodology
For electricity bill costs, we got average electricity consumption figures and pricing information from the US Energy Information Administration.37
For natural gas bill costs, we found average gas usage and prices from TECO Energy.38
We based our internet and cable pricing information on research from the Leichtman Research Group as reported by USA Today.39,40
To calculate water bill costs, we first found residential water usage information from Circle of Blue,41 then tracked down how much water costs from a separate Circle of Blue study.42
The sum of these utilities make up our averages for each state’s total utility costs per month. States were ranked solely based on how much utilities cost their residents each month on average. Other factors were not considered for our rankings.
Rankings and full data set
| State | Electricity | Natural gas | Water | Internet | Cable | Total |
| Hawaii | $149.33 | $223.07 | $70.39 | $60.00 | $85.00 | $587.79 |
| Florida | $126.44 | $117.57 | $70.39 | $60.00 | $85.00 | $459.40 |
| South Carolina | $140.80 | $94.32 | $70.39 | $60.00 | $85.00 | $450.51 |
| Alabama | $142.55 | $90.79 | $70.39 | $60.00 | $85.00 | $448.73 |
| Georgia | $126.38 | $99.33 | $70.39 | $60.00 | $85.00 | $441.10 |
| Connecticut | $139.97 | $84.67 | $70.39 | $60.00 | $85.00 | $440.03 |
| Arizona | $128.40 | $87.28 | $70.39 | $60.00 | $85.00 | $431.07 |
| Delaware | $121.73 | $83.41 | $70.39 | $60.00 | $85.00 | $420.53 |
| Maryland | $131.16 | $73.95 | $70.39 | $60.00 | $85.00 | $420.50 |
| New Hampshire | $114.95 | $88.83 | $70.39 | $60.00 | $85.00 | $419.17 |
| Virginia | $124.54 | $74.32 | $70.39 | $60.00 | $85.00 | $414.25 |
| Texas | $122.47 | $73.96 | $70.39 | $60.00 | $85.00 | $411.82 |
| Massachusetts | $116.86 | $78.86 | $70.39 | $60.00 | $85.00 | $411.11 |
| Rhode Island | $105.76 | $89.66 | $70.39 | $60.00 | $85.00 | $410.81 |
| Missouri | $115.60 | $76.55 | $70.39 | $60.00 | $85.00 | $407.54 |
| Mississippi | $125.38 | $66.20 | $70.39 | $60.00 | $85.00 | $406.97 |
| Kentucky | $114.15 | $75.11 | $70.39 | $60.00 | $85.00 | $404.65 |
| Pennsylvania | $114.48 | $73.14 | $70.39 | $60.00 | $85.00 | $403.01 |
| Kansas | $114.65 | $72.88 | $70.39 | $60.00 | $85.00 | $402.92 |
| Alaska | $127.83 | $59.02 | $70.39 | $60.00 | $85.00 | $402.24 |
| Oklahoma | $110.27 | $76.19 | $70.39 | $60.00 | $85.00 | $401.85 |
| Tennessee | $123.30 | $62.95 | $70.39 | $60.00 | $85.00 | $401.64 |
| Louisiana | $115.54 | $69.65 | $70.39 | $60.00 | $85.00 | $400.58 |
| West Virginia | $119.30 | $64.52 | $70.39 | $60.00 | $85.00 | $399.21 |
| Maine | $87.21 | $95.42 | $70.39 | $60.00 | $85.00 | $398.02 |
| Ohio | $106.13 | $76.11 | $70.39 | $60.00 | $85.00 | $397.63 |
| North Carolina | $113.98 | $67.87 | $70.39 | $60.00 | $85.00 | $397.24 |
| Arkansas | $105.64 | $76.18 | $70.39 | $60.00 | $85.00 | $397.21 |
| New York | $103.22 | $76.60 | $70.39 | $60.00 | $85.00 | $395.21 |
| Vermont | $95.02 | $81.40 | $70.39 | $60.00 | $85.00 | $391.81 |
| Indiana | $114.04 | $60.85 | $70.39 | $60.00 | $85.00 | $390.28 |
| District of Columbia | $96.52 | $71.14 | $70.39 | $60.00 | $85.00 | $383.05 |
| South Dakota | $115.06 | $51.29 | $70.39 | $60.00 | $85.00 | $381.74 |
| Oregon | $103.26 | $62.42 | $70.39 | $60.00 | $85.00 | $381.07 |
| North Dakota | $109.38 | $55.19 | $70.39 | $60.00 | $85.00 | $379.96 |
| California | $101.49 | $62.51 | $70.39 | $60.00 | $85.00 | $379.39 |
| Iowa | $102.55 | $61.28 | $70.39 | $60.00 | $85.00 | $379.22 |
| Nebraska | $104.96 | $57.36 | $70.39 | $60.00 | $85.00 | $377.71 |
| Washington | $98.78 | $59.20 | $70.39 | $60.00 | $85.00 | $373.37 |
| Nevada | $102.29 | $54.31 | $70.39 | $60.00 | $85.00 | $371.99 |
| New Jersey | $102.38 | $51.11 | $70.39 | $60.00 | $85.00 | $368.88 |
| Wyoming | $97.10 | $55.45 | $70.39 | $60.00 | $85.00 | $367.94 |
| Minnesota | $97.58 | $53.91 | $70.39 | $60.00 | $85.00 | $366.88 |
| Michigan | $97.41 | $50.64 | $70.39 | $60.00 | $85.00 | $363.44 |
| Illinois | $89.63 | $57.86 | $70.39 | $60.00 | $85.00 | $362.88 |
| Wisconsin | $94.67 | $49.74 | $70.39 | $60.00 | $85.00 | $359.80 |
| Idaho | $100.38 | $41.76 | $70.39 | $60.00 | $85.00 | $357.53 |
| Montana | $94.75 | $42.60 | $70.39 | $60.00 | $85.00 | $352.74 |
| Colorado | $82.47 | $50.57 | $70.39 | $60.00 | $85.00 | $348.43 |
| Utah | $81.65 | $47.99 | $70.39 | $60.00 | $85.00 | $345.03 |
| New Mexico | $79.16 | $50.00 | $70.39 | $60.00 | $85.00 | $344.55 |
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- USA Today, “Five Steps to Cutting Your Expensive Cable TV Bill”
- Circle of Blue, “Residential End Uses of Water, Version 2”
- Circle of Blue, “The Price of Water”
About Joe Roberts
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