This week (April 15-21) is Money Smart Week. This national public education program aims to empower people with the tools to make better personal financial decisions. Electricity is an often-overlooked area of peoples’ budgets, so now is the perfect time to discuss how to compare electricity prices.
Why compare electricity prices?
Electricity is a significant household expense for most Texans. If you compare electricity rates to find the cheapest electricity or the plan that makes the most sense for your home and life, you could lower your energy bill. And that’s money that goes right back into your budget for other things.
How do I compare electricity prices?
Being “money smart” when it comes to your electricity can mean leaving no stone unturned. One way to begin your energy comparison is to reach out to your neighbors. They would probably be happy to compare energy prices and see who has the cheapest electricity supplier. Everyone could benefit from the sharing of information. For some, it may be an eye-opening exercise.
Just remember to look beyond the balance. Make apples-to-apples comparisons of rates and other charges listed.
How else can I make an energy comparison?
The easiest way to compare electricity prices, plans and providers is to use an energy broker like Everything Energy. We help you compare numerous plans from a variety of trusted electricity providers.
When you compare electricity, price per kilowatt hour (kWh) may be at the top of your list. But other factors can affect your overall energy costs, including:
- Term length – A month-to-month plan may show a lower price-per-kWh online. But its rate varies by month and could rise any time. Longer-term plans offer price security for a specific length of time.
- Early cancellation fee – Some electric companies charge an early termination fee. This could affect your total energy costs if you decide to switch plans or providers before your contract ends.
- Your monthly usage – Before you get excited about that low price per kWh, check to see if it applies to your usage. If you use less than 500 kWh, for example, you may end up paying a bit more per kWh than someone who uses three times that amount.
- Time-of-use conditions – A time-of-use plan offers discounted rates — but only during certain periods, like nights or weekends. If you don’t use a significant amount of energy during those times, your price per kWh could be much higher.
- Additional benefits or perks – Some plans offer perks for signing up, which might more than make up for a slightly higher rate than other plans.
The lesson here is to make sure you take into account other factors when you compare electricity prices. Check the plan’s fine print to make sure it’s truly the cheapest electricity plan for your lifestyle.
What’s the first step to compare electricity rates?
You’re already where you need to be! Head over to Everything Energy’s home page. Then, simply enter your ZIP code to see electricity plans available in your area. Don’t forget to enter your monthly usage and check out the other filters available. You’ll be on your way to your best energy plan in no time?