Financial Expert Reveals 4 Things You Can Do to Save Money at Home This Winter

As temperatures drop, energy bills go up, and this winter could be especially costly for U.S. households.

Last month, the U.S. Energy Information Administration (EIA) projected that Americans can expect to pay up to 28 percent more to heat their homes this winter than last year due to rising fuel costs and what's forecasted to be a cold winter in many regions.

However, there are a few simple steps homeowners can take to cut those increasing bills.

Angie Hicks, Chief Customer Officer at home services website Angi and co-founder of Angie's List, told Newsweek of some hacks she'd recommend doing around the house.

Tips For Saving Money This Winter

1) Upgrade Your Thermostat

"If you don't have a programmable thermostat, you might consider investing in one," Hicks said. "That allows you to keep your thermostat lower when you're not there."

She said consumers may expect to spend around $100 to $200 for a good programmable thermostat, but the savings that accrue over time will make it a wise investment.

Ram Narayanamurthy, Emerging Technologies Program Manager in the Department of Energy's Building Technologies, seconded the idea of a thermostat upgrade.

Narayanamurthy told Newsweek that homeowners should buy a "smart thermostat that has capabilities for automation," adding most utility companies have rebates for such products.

2) Check for Drafts

Hicks recommended that homeowners walk through their house and check for drafts. She said, "One of the easiest ways to do it is take a lit candle and walk past your windows or your doors. And wherever you're seeing the flame flicker, you know you've got a draft."

If Hicks' test shows you do indeed have a draft in your house, she said your next step is a trip to the store (or check the internet) for weatherstripping.

"A lot of people can DIY putting weatherstripping up. I did this on one of my doors. I put a sweep at the bottom of my door—super easy—and I think it was maybe 10 bucks on Amazon," Hicks said. "You'll be amazed at how much heat you lose from around those windows and doors."

Hicks said homeowners should also consider seeing if it's time to update older windows. If the investment is a little too high, people could check into putting a temperature-controlling film on the window or weatherstripping around it to prolong window life.

3) Improve Insulation

Though this may not fall into the category of a "quick, simple fix," homeowners should think about insulation, Hicks said. Putting in insulation is a "bigger project," but she said insulated parts of the house, especially the attic, can result in major savings on energy bills.

An insulated attic is important because "heat rises that can keep your house warmer in the winter and cooler in the summer." Hicks added that as daunting as installing insulation in the attic may seem, the chore is easier to do there than in places like inside walls.

4) Service Your Furnace

"I would encourage everyone to make sure they get their furnace tuned up," Hicks said. "I know that sounds like a 'Oh, I should do that.' But it never quite makes it to the top of the list."

"Inevitably, your furnace is going to lose efficiency every year if you don't tune it up," she added.

Technicians can be found easily online, including on sites like Angi. These professionals will come into your home to check the filter and other elements in the furnace. Hicks recommended making the appointment sooner rather than later; otherwise, you could find your furnace going out on an especially cold night when businesses are closed.

"Get the tune-up on the schedule now before the holidays, so that you know you're ready for that kind of January cold we know is coming our way," Hicks said.

Changing furnace filters is another important task that should not be overlooked. Some furnaces require filters to be changed monthly, while others are quarterly. Put a note on the calendar or a reminder notification on your phone. Hicks said this is a task that should be one of those home to-dos like regularly checking the batteries in smoke detectors.

"Find a way to kind of give yourself a quick little reminder on that one, because that'll just help the furnace run more efficiently and prevent problems," she said.

Other Tips

Of course, these aren't the only tips Hicks suggested in terms of lowering costs this winter. A lot of people may recommend cutting down on hot showers, but Hicks said a more effective way of saving on hot water costs is to consider lowering the temperatures on water heaters. She also recommended checking around the house for any leaky faucets.

"If you've got a leak in your hot water in a sink, that's probably resulting in more harm than one shower," Hicks said.

Narayanamurthy said that leaky hot water faucets "will add substantial costs as they increase the heat loss in the piping and run the water heater wastefully." He also suggested putting an insulation blanket on your water heater.

Homeowners willing to part with a few hundred dollars might think about having a professional come in to do an energy audit. This expert will look around windows for drafts, check the condition of your furnace and see if insulation is needed.

"Maybe if you're new to your house and you'd like to understand how efficient it is, that might be a good investment," Hicks said.