Do Smart Thermostats Actually Save Money? Real Numbers
Smart thermostat companies claim 10-23% savings. But do they deliver? Here’s what independent studies and real users
report.
For thermostat recommendations, see our guide to Best Smart Thermostats
That Save Money.
The Claims vs Reality
| Brand | Claimed Savings | Independent Verification |
|---|---|---|
| Nest | 10-12% | Studies confirm 10-12% |
| Ecobee | Up to 23% | Studies show 15-23% |
| Amazon | ~$50/year | Limited data |
Short answer: Yes, smart thermostats save money—but savings vary based on your habits, home, and
climate.
Independent Study Results
Nest (Google) Studies
- EPA ENERGY STAR: Average 8% savings on heating, 15% on cooling
- Nest internal study: 10-12% heating, 15% cooling
- Vectren utility study: 12% average savings
Ecobee Studies
- EPA ENERGY STAR: Up to 23% savings with occupancy sensors
- ecobee internal: Average 23% savings
Real-World Dollar Savings
| Annual HVAC Cost | 10% Savings | 15% Savings | 23% Savings |
|---|---|---|---|
| $1,000 | $100 | $150 | $230 |
| $1,500 | $150 | $225 | $345 |
| $2,000 | $200 | $300 | $460 |
| $3,000 | $300 | $450 | $690 |
Why Savings Vary
You’ll Save More If:
- You currently run AC/heat 24/7 at a fixed temp
- You’re away from home regularly (work, travel)
- Your home has poor insulation (bigger temperature swings)
- You live in extreme climates (hot summers or cold winters)
- You currently have no programmable thermostat
You’ll Save Less If:
- You already manually adjust thermostat based on schedule
- You work from home (always present)
- Your home is well-insulated and efficient
- You already have a programmable thermostat you use properly
- You live in mild climate (minimal heating/cooling)
Payback Period
| Thermostat | Price | Annual Savings ($1500 HVAC bill) | Payback |
|---|---|---|---|
| Amazon ($80) | $80 | $50-100 | 1 year |
| Nest E ($130) | $130 | $150-180 | ~1 year |
| Ecobee ($250) | $250 | $225-345 | 1-1.5 years |
Most smart thermostats pay for themselves in 1-2 years.
Bonus: Utility Rebates
Many utilities offer $50-100 rebates for ENERGY STAR smart thermostats:
- Check your utility website for rebates
- ENERGY STAR certified: Nest, Ecobee, Sensi, Honeywell
- Instant rebates: Some utilities offer at checkout (Amazon, Best Buy)
The Honest Answer
Who Will Save Significant Money
- Users upgrading from manual/dumb thermostats
- People with variable schedules who forget to adjust
- Homes with high heating/cooling costs
- Users who actually use geofencing and scheduling
Who Won’t See Much Savings
- Users who already manage their thermostat carefully
- Work-from-home users always at home
- Mild climates with low HVAC usage
- Users who override the smart features constantly
Verdict
Smart thermostats do save money for most users. Independent studies confirm 10-23% savings. With 1-2
year payback periods, they’re a sound investment.
But the savings depend on your behavior. If you already optimize your thermostat manually, savings will be modest. If
you set-and-forget at one temperature, savings could be substantial.
For recommendations, see: Best Smart Thermostats That Save Money.