Is It Cheaper To Run A Space Heater Or Central Heat? Here's What You Should Know

When heater season hits, you might imagine those cartoon dollar signs adding up every time you turn up the thermostat to get warm. That's because the winter weather is often associated with higher energy costs, due to the fact people are home more and using their central heating, fire places, and space heaters to stay toasty inside their homes. Some homeowners and renters prefer to plug in their space heaters over using central heating systems, thinking that they're cheaper to run. After all, if you're not in certain rooms or areas, does it matter if they are chilly? While these smaller units can certainly help save a buck or two if you're only using them in one spot or intermittently, it might surprise you to find out that your central heating could be the cheaper option depending on your usage. Plugged-in space heaters, especially when there's more than one turned on, can use more energy and/or fuel than your home's heater, raising utility bills.

Central heating systems might seem more expensive because of their cost to install, which can range between $3,000 and $10,000 depending on your home and the unit. This is a hefty price tag, and can give many pause as to what their energy costs will be once it is added. Space heaters can cost anywhere between $20 and $100, though you can find larger units or more high-end options that cost a lot more. If you do prefer them, there are places you can keep space heaters to warm up a room more effectively. 

Here's where the energy efficiency comes in, however. Space heaters are estimated to take about 20 cents per hour if you're using a 1,500 watt unit. This also depends on the room size, so this number can go up or down. If you're using your heater often, maybe around 6 hours a day before and after work, this is about $1.20 per day. Add on longer stretches for those days you're home more, and this could cost about $50 per month per heater. Should you like to have multiple heaters throughout the house, you're paying $30 to $50 per unit, which can add up.

Your central heating, while expensive to install, usually uses fuel, electricity, or propane to heat your house. It doesn't have to output as much energy, and natural gas is cheaper to pull from than electricity. If your heater uses electricity, your bill can range from $90 to $160 each month, but with natural gas you might pay as little as $60 a month, though there are important points to know about gas heating and the costs should that be your home's system. If you're using more than one space heater, this is already more than you'd spend for central heating. It comes down to the different options you choose to heat your home, too, but unless you're just using one space heater, it might be more cost efficient to turn up your thermostat. Smart home technology also allows you to set up schedules to lower costs, which is helpful, too.