What Is a Thermostat Savings Calculator?
A Thermostat Savings Calculator is a tool that provides an estimate of the potential annual savings you can achieve by using a programmable or smart thermostat. By systematically setting back your thermostat's temperature for a period each day, you can significantly reduce your home's energy consumption for heating and cooling, leading to lower utility bills. This calculator helps quantify those potential savings to see if an upgrade is right for you.
Last updated: November 8, 2025
How to Use the Thermostat Savings Calculator
Our free savings estimator is simple to use. Follow these steps for an instant calculation:
- Enter Annual HVAC Cost: Input your total estimated yearly cost for both heating and cooling your home.
- Input Average Setback: Enter the number of degrees (°F or °C) you typically set back your thermostat. For example, if you lower it from 68°F to 60°F at night, your setback is 8 degrees.
- Enter Setback Duration: Input the number of hours per day your thermostat remains at the setback temperature (e.g., while you are at work or asleep).
- Click "Calculate Savings": Get an instant estimate of your potential annual savings.
Understanding Your Savings Results
The result is based on a widely cited rule of thumb from the U.S. Department of Energy: you can save up to 1% on your annual HVAC costs for every degree Fahrenheit you set back your thermostat over an 8-hour period. Our calculator adjusts this percentage based on the duration of your setback.
- Estimated Annual Savings: This is the dollar amount you could potentially save on your heating and cooling bills over the course of a year.
According to ENERGY STAR, a properly used programmable thermostat can save the average household about $180 per year in energy costs.
Key Factors That Affect Thermostat Savings
Your actual savings can vary based on several factors. The most significant are:
- Climate: Savings are generally higher in moderate climates compared to extreme hot or cold climates.
- Setback Amount: The greater the temperature difference you can tolerate, the more you will save.
- Home Insulation: A well-insulated home will lose heat slower, making temperature setbacks even more effective.
Example Thermostat Savings Calculation
Here is a common scenario for an average American household.
| Input | Example Value |
|---|---|
| Annual HVAC Cost | $1,500 |
| Average Setback | 8 °F |
| Setback Duration | 8 hours/day |
| Estimated Annual Savings | ~$120.00 |