How Does a Smart Thermostat Save Money on Energy Expenses?

December 07, 2020

Keeping your Wisconsin Rapids residence cozy can consume a good amount of money. The usual homeowner spends about $172 on monthly heating and cooling bills, according to ENERGY STAR®, or approximately $2,060 annually. At least half of that goes to heating and cooling.

The majority of homes use programmable thermostats, but most people don’t take the time to program them. The process is annoying, involved and only provides you limited options for temperature settings. When your house stays at an identical setting throughout the day, it requires energy and badly affects your monthly bill.

Smart thermostats adjust to your schedule and adapt the temp to match it. But can getting one really conserve money on heating and cooling? Yes, and here’s why.

Studies Show Smart Thermostats Decrease on Heating and Cooling Expenses

Independent studies have found these devices can lead to large savings.

These studies involved home heating and cooling costs in 41 states before and after putting in a Nest smart thermostat. Nest said the study found its thermostats can save up to 12% on heating and 15% on cooling, producing an estimated savings of $131 to $145 each year.

With the typical smart thermostat priced between $100–$250, those savings can help it pay for itself. And the majority of local energy companies have rebates for smart thermostats as they’re ENERGY STAR® certified.

How Does a Smart Thermostat Work?

After your smart thermostat is put in, you’ll at first program it just like any other thermostat. You’ll turn it up and down, so the thermostat can figure out your wants. Then, it will start creating a program that helps you conserve more money, whether you’re at your house or away. Because it geofences with your smartphone, you won’t have to think about adjusting it when you exit or come home.

Pros and Cons of Getting a Smart Thermostat


As we talked about before, smart thermostats offer a lot of advantages to your home and energy bill, like:

  • No need to set—Your smart thermostat will learn your routine, so you won’t be required to waste time adjusting programs or remember to turn it up or down.
  • Knows when you get home and take off—As a lot of smart thermostats geofence with your phone, your home will go into an energy-efficient setting when you take off and be comfortable when you get back.
  • Remote temperature management—You’ll be able to keep an eye on your residence’s settings from just about anywhere, on account of an app on your phone.
  • Supervise heating and cooling use—Many smart thermostats provide detailed data through their app, such as how long you needed heating and cooling on a specific day.
  • Reminders—Some smart thermostats will let you know about important maintenance tasks, such as when you’re due to change your air filter.
  • Extra savings—Many local energy companies offer rebates for smart thermostats, so contact with yours for more information.


Having said that, there’s a couple of things you should contemplate regarding installing a smart thermostat in your residence:

  • Compatibility—Depending on the type and age of your heating and cooling system, a smart thermostat might not function with it. If you don’t know, it’s advisable to check with an HVAC professional like Rapids Sheet Metal Works Inc. We also recommend having it professionally installed. This guarantees that you have the proper number of wires and that it’s linked accurately. Some systems don’t include a common wire, which causes compatibility problems with a smart thermostat. This wire energizes your thermostat, so if your home doesn’t have a C-wire, we can install one.
  • Housing situation—If you own your home and want to reside there for years, it’s a wise investment to have a smart thermostat. If you plan to move in the next year or rent, we suggest holding back unless you want to take the thermostat with you. If you rent, you’ll often need to get your landlord’s permission first in advance of getting a new thermostat.
  • Cost—Smart thermostats cost more than programmable thermostats, and we suggest having yours professionally installed. However, the energy savings over the years can help pay for itself.
  • Lifestyle—Does a family member work from home, or is someone frequently at the house? If that’s the case, you might not see as many savings, but you’ll have the perks of not having to program or adjust a thermostat.

Trust Rapids Sheet Metal Works Inc for Your Smart Thermostat Needs

At Rapids Sheet Metal Works Inc, our number one priority is to keep your home pleasant while helping you save on heating and cooling costs. If you’re wanting to install a smart thermostat, our professionals can help, from selecting the right model to expert installation. Give us a call at 715-301-0256 today to learn more.