Financial Freedom Starts Small: How to Keep Energy Costs in Check

When we think about improving our finances, we usually focus on finding new ways to make more: getting a raise, starting a side hustle, or investing smarter. But the true first step to building financial security is taking control of your spending habits and budget.

Some may think budgeting means cutting back on eating out or shopping less, but sometimes it’s as simple as keeping a closer eye on your monthly energy bill.

For a long time, we paid our electric bill automatically and didn’t think much about it. As we became more serious about our finances, we realized we were spending over $300 some months solely on electricity, and that was without pool pumps, EV charging, or blasting the AC while we were away. That cost caught our attention quickly.

We started by reviewing our bills — a small step that helped us feel more in control and led us to consider what else we could do. We’re based in the Bay Area, so our provider is PG&E. After a quick search, we found a range of programs and tools to help customers understand and manage their energy bills.

1. Time-of-use rate plans

PG&E offers different rate plans based on how and when you use energy. We found the Time-of-Use plan, which charges lower rates during off-peak hours.

Even simple changes like running the dishwasher or doing laundry later in the evening can make a difference. PG&E estimates that more than one million residential customers could save $100 or more annually just by switching to a plan that better fits their energy use.

If you’re unsure which one’s right for you, PG&E has tools that compare your current usage and recommend the most cost-effective option.

2. Budget Billing

Another option to avoid unexpected energy bills is Budget Billing. This program spreads out your energy costs evenly over the year, which can prevent big spikes during the summer or winter when usage spikes.

While it doesn’t reduce overall usage, it can make your payments more predictable — especially useful for those who work from home, like me, or prefer consistent monthly expenses.

3. Free tools and rebates

PG&E's Home Energy Checkup is another free online tool to help identify easy ways to improve efficiency, like replacing old bulbs or appliances.

Their Energy Action Guide also allows you to compare energy-smart products that can help reduce your electricity costs, so you can find models that are right for you and your needs.

And if you’re a business owner like us, PG&E’s rate optimization and upgrades helped small businesses save over $5.3 million last year alone.

Final thoughts

Electricity costs can change, but PG&E reports that average residential electric rates were about 2% lower this year than last year. While it’s a small drop, every bit of savings helps, especially during high-usage months. If your electric bill feels too high, it’s worth asking how you’re using energy at home and whether your utility offers programs to help manage costs.

PG&E’s rate plans, tools, and rebates can give you more flexibility and control. Exploring what’s available could make your bill a little easier to handle — and I consider that a win.