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Use the calculator for an instant estimate, or read on for a full breakdown of how this cost is calculated.
Examples and calculation text checked September 22, 2026. This is a planning guide, not an individual engineering review.
Illustrative example
$1,000/year
Declared inputs, not a typical-home range
5,000 kWh/year × $0.20/kWh = $1,000/year. The 5,000 kWh is a declared input, not a prediction made from the home's area alone.
Use a documented annual estimate or suitable measurement and state whether it includes heating, cooling, fans and backup heat. If a whole-system total already includes both seasons, do not add it again under a second equipment entry.
Heating and cooling performance varies with operating conditions. A single assumed annual total cannot establish equipment capacity, comfort, replacement suitability or savings. For a planning estimate without measured use, the household walkthrough records climate, equipment and operating assumptions.
The calculator starts with the same example. Its $83.33 average-month cost is annual cost divided by 12; seasonal bills can look very different. The $0.20/kWh rate is illustrative, not a national average. Use your energy rate; fixed fees and taxes are separate.
The starting values are an example. Replace them with your equipment and usage.
Enter an annual electricity estimate covering the modes you want to include. A whole-system total may already include heating, cooling and backup heat; count it once. This tool does not size equipment.
5,000 kWh per year
$1,000.00 per year
$83.33 per average month (annual cost ÷ 12)
Energy charges only. Fixed fees, taxes, tiered and time-of-use billing are excluded. The average month is not a seasonal forecast.
Which heating and cooling modes the annual total includes
Backup heating and its fuel
Climate and thermostat schedule
One physical system versus separate heating and cooling equipment
Before making a change
Check the large loads and uncertain assumptions first. Compare a specific change against your existing equipment before deciding whether an upgrade is worth investigating.
These sources explain units and equipment labels. The worked household values are illustrative inputs, not measured customer data or published typical-use ranges.
Follow the free walkthrough to build a household electricity estimate, review its assumptions and compare changes. The optional $19 purchase unlocks both dated PDF report formats for your household profile.
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