How much does it cost to run a water heater?
We've pre-filled a typical water heater below. Set your electricity rate and adjust the hours to match how you use yours — the cost updates instantly.
This is about the electricity cost of running a water heater, not the price to buy or install one — that's a separate one-time cost, usually $800–$2,500.
An electric tank heater's elements pull 3,000–5,500W and cycle on through the day — often ~10–13 kWh/day.
Running a water heater at 4,000W for 3 h a day costs about
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An electric water heater is usually the second-biggest energy user in a home after heating and cooling. The elements draw several thousand watts, and although they only switch on to reheat the tank, that adds up to roughly 10–13 kWh on a normal day for a family — every day, all year.
Because it's reheating water you've used (and losing a bit of standby heat from the tank), the cost tracks your hot-water habits more than anything else.
What drives the cost of running a water heater
- Hot water used — long showers, hot laundry and the dishwasher all make it reheat.
- Tank temperature: a setpoint of 140°F costs more to hold and reheat than 120°F.
- Standby loss — an old, poorly insulated tank in a cold space leaks heat around the clock.
How to cut it
- Turn the thermostat down to 120°F — plenty hot, and it cuts both reheating and standby loss.
- Shorter and cooler showers are the biggest lever, since showers are most of the hot water.
- Insulate an old tank and the first few feet of pipe; fix any dripping hot tap.
- A heat-pump (hybrid) water heater uses a fraction of the electricity if you replace it.
Common questions
How much does it cost to run a water heater per month?
At a typical 4,000W and about 3 hours a day, a water heater costs roughly $61 a month at $0.17/kWh. Set your own rate and hours above for an exact figure.
How can I cut the cost of running a water heater?
Turn the thermostat down to 120°F — plenty hot, and it cuts both reheating and standby loss.
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