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How to Read Your Electricity Bill
It’s easier than you think.Written by Jamie Cesanek
Edited by Hannah Hillson
Last updated September 9, 2026
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Key Points
- Understanding the terms of your electricity bill can help you identify opportunities to conserve energy and save money.
- Although electricity bills vary slightly depending on your retail electricity provider (REP), they all include the same key information.
- The SaveOnEnergy marketplace is a one-stop shop to find your area's best electricity rates and plans.
Electricity bill FAQ
Most retail electric providers offer the option to pay by mail, online, over the phone, or in person. Contact your provider for details.
The main component of your electricity bill is determined by how many kWh of energy you use and your energy rate. Additional charges on your bill include utility fees and taxes.
Your energy consumption and rate determine most of your electricity bill. If your bill is higher than normal, it is likely because your usage went up. This can happen during more extreme temperatures in the summer or winter. Check how your current energy usage compares to previous months to determine if this is the case.
You can decrease your energy usage by switching to LED light bulbs, limiting your HVAC use, turning off unused lights, and unplugging unused electronics. If your electric rate is too high, you can also compare cheaper electricity rates in your area on the SaveOnEnergy marketplace.