Yes, certain smart home habits can raise your electricity bill, often by leaving devices on standby, over-automating schedules, or relying on cloud-dependent features that draw power continuously. The biggest culprits are smart speakers, hubs, cameras, and always-on displays that consume 1–10 watts each even when idle, which can add up to 50–100 kWh per year across a typical household.
How Smart Devices Use Power
Smart home devices differ from traditional appliances because they are designed to be always ready. A smart plug, for instance, contains a Wi-Fi radio and a relay that must stay powered to receive commands. This “vampire load” is small—usually 0.5 to 2 watts—but it runs 24/7. Multiply that by a dozen devices and you get 6–24 watts of continuous draw, which is roughly 52–210 kWh per year, depending on your electricity rate.
Larger devices like smart TVs, game consoles, and set-top boxes can draw 10–30 watts in standby mode if they keep network features active. Voice assistants with screens (like smart displays) may use 2–5 watts just listening for a wake word. Even a smart bulb that is turned “off” but connected to a hub can draw a fraction of a watt for the radio, though this is negligible unless you have hundreds of bulbs.
Standby Power and the Always-On Problem
Standby power, also called phantom load or vampire power, is the electricity a device uses when it is not performing its primary function. Smart home devices are particularly prone to this because they need to maintain a network connection. The U.S. Department of Energy estimates that standby power accounts for 5–10% of residential electricity use, and smart devices can push that higher if you have many.
Common always-on devices include:
- Smart speakers and displays (2–5 W each)
- Smart hubs and bridges (1–3 W)
- Security cameras (3–10 W, more for pan-tilt models)
- Smart thermostats (1–2 W, but they save more than they use)
- Smart plugs and switches (0.5–2 W each)
- Video doorbells (2–5 W, plus transformer losses)
To see the impact, measure with a plug-in watt meter. If you find a device that draws 5 W continuously, that is 43.8 kWh per year. At $0.15/kWh, that’s $6.57 per year—not huge alone, but a dozen such devices could cost you $78.84 annually.
Automation Schedules That Backfire
Automations are meant to save energy, but they can do the opposite if set carelessly. For example, a smart plug that turns on a space heater every morning at 6 AM, even when you are away, wastes energy. Similarly, a smart thermostat that heats an empty house because the schedule was never updated after a vacation can increase your bill.
Another common mistake is setting lights to turn on at sunset and off at midnight, but forgetting to adjust for daylight saving time or seasonal changes. That can leave lights burning for an extra hour or two each day. Also, some smart bulbs use more power when dimmed than a standard dimmer switch because they convert the signal digitally—though the difference is usually less than 1 watt.
To avoid these issues, review your automation routines monthly. Use geofencing (location-based triggers) so devices turn off when you leave, and set temperature setbacks that align with your actual schedule. Many smart thermostats have “eco” modes that learn your habits and preemptively adjust.
Choosing Energy-Efficient Smart Devices
When shopping for smart devices, look for energy efficiency labels like ENERGY STAR, which certifies that products meet strict power limits in standby and active modes. For smart plugs, check the rated standby power—some draw as little as 0.3 W, while others use 1.5 W. For cameras, choose models with motion-activated recording rather than continuous streaming, as that can cut power use by half.
Also consider the protocol. Devices that use Zigbee or Z-Wave (via a hub) often consume less power than Wi-Fi devices because they use lower-power radios and can sleep more deeply. Thread and Matter are newer standards that also emphasize low power. If you have many devices, a dedicated hub like a smart speaker with Zigbee can reduce the number of Wi-Fi radios, but the hub itself adds a small draw.
Common Problems and Misconceptions
One common misconception is that turning off a smart device via an app actually cuts power—it does not. The device remains in standby, listening for commands. To truly cut power, you must unplug it or use a physical switch. This is why smart plugs are often used on “dumb” appliances to create a hard off.
Another issue is the “always-on” nature of cloud services. Some smart devices continuously upload data to the cloud (for voice recognition or video processing), which increases both power and internet usage. For example, a smart speaker that is constantly streaming audio to the cloud for wake-word detection uses more power than one that processes locally. Check your device settings to see if you can enable local processing or reduce cloud dependencies.
Lastly, beware of “smart” features that are actually inefficient. A smart bulb that changes color temperature may use more power than a fixed-color LED. And a smart TV that is “off” but still allows voice commands may draw 10–15 W, compared to 1 W for a standard TV in standby.
Comparing Smart vs. Traditional Energy Use
In most cases, smart devices save more energy than they waste, especially for heating and cooling. A smart thermostat can save 8–15% on heating and cooling bills by optimizing schedules and occupancy detection. Smart lighting with occupancy sensors can reduce lighting energy by 30–50% compared to manual switches. However, the savings depend on usage patterns. If you already have efficient habits (turning off lights, adjusting the thermostat), the smart device may not add much benefit and could even increase your baseline consumption due to standby power.
For example, a smart plug that turns off a TV completely when not in use saves the standby power of the TV (say 5 W), but the plug itself uses 1 W. Net saving is 4 W. If the TV is on 4 hours a day, the plug saves about 0.016 kWh per day, or 5.8 kWh per year—worth about $0.87. Not huge, but if you have many such plugs, it adds up.
Costs and How to Measure Your Own Usage
The best way to know if your smart home is costing you is to measure. A simple plug-in watt meter (available for under $20) can tell you the exact draw of any device. Plug it between the device and the wall outlet, wait a few minutes, and read the watts. Multiply by 24 hours and 365 days to get annual kWh. Then multiply by your electricity rate (found on your bill) to get the annual cost.
You can also use your smart home app to check energy reports. Many smart plugs and thermostats provide historical usage data. For a whole-home view, compare your utility bills before and after adding smart devices, adjusting for weather and season. If your bill increases despite no change in behavior, look for devices that are running longer than expected.
Safety and Efficiency Tips
While smart devices are generally safe, there are a few safety considerations that also affect energy use:
- Do not plug high-wattage appliances (space heaters, irons) into smart plugs rated for lower loads—overheating can cause fires.
- Use smart plugs with built-in overload protection for peace of mind.
- Keep firmware updated to ensure efficient power management and security.
- Place smart speakers and cameras away from heat sources to avoid overheating, which can increase power draw.
- If you leave home for a long time, unplug non-essential smart devices to eliminate standby power entirely.
Also, consider using a smart power strip for entertainment centers. These strips cut power to peripherals when the main device (like a TV) is off, reducing standby losses from multiple devices at once.
Frequently Asked Questions
Do smart bulbs use electricity when off?
Yes, but very little. A smart LED bulb that is turned off via a switch or app still draws a small amount of power (0.1–0.5 W) to keep its radio ready. Over a year, that’s about 0.9–4.4 kWh per bulb, costing $0.14–$0.66 at $0.15/kWh. If you have 20 bulbs, that’s up to $13 per year—noticeable but not huge.
Can smart thermostats actually save money?
Yes, if used correctly. The U.S. Environmental Protection Agency estimates that a smart thermostat can save an average household about 8–15% on heating and cooling costs, which is typically $50–$100 per year. However, if you override the schedule frequently or set extreme temperatures, you may not see savings.
Is it better to use smart plugs or smart switches?
Smart plugs are easier to install (just plug in) and are portable. Smart switches are wired into the wall and control the entire circuit, which is better for lights that are always powered. For energy savings, a smart switch that cuts power to a device completely is more effective than a smart plug that still draws standby power.
Why is my smart speaker always warm?
Warmth indicates that the device is drawing power and processing data. This is normal for always-on devices, but excessive heat may indicate a problem. Check that the speaker is not in direct sunlight or near a heat source. If it is extremely hot, it could be malfunctioning and should be unplugged and replaced.
How do I reduce standby power from smart devices?
Use smart power strips, unplug devices when not in use, and choose devices with low standby power ratings. Also, enable any “power save” or “eco” modes in the device settings. For Wi-Fi devices, consider using a timer to turn off the router at night if you don’t need internet, but be aware that this will disconnect all smart devices.
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