How to Save Money with a Pellet Heater

The great thing about pellet heaters is they are “smart” heaters. You can control when your pellet heater comes on, when it switches off, what temperature to heat your room to and much more. You could potentially save hundreds of dollars a year or more on your heating bill by knowing how to use your pellet heater properly. I always tell people new to pellet heaters don’t run it like a wood heater, meaning 24/7. Pellets cost more than firewood, as covered in pellet heaters vs other types of heaters, so doing this means your heating bill will increase. However, knowing how to use a pellet heater properly will have you save money while still saying warm.

how to save money with a pellet heater

So how can you save money with a pellet heater if wood pellets cost more than firewood? Here’s a quick breakdown of how to save money with a pellet heater. Read on below for more detail about each tip:

  • Set the timer to save pellets
  • Heat your room to a set temperature
  • Don’t run your pellet heater 24/7
  • Don’t use your pellet heater like a wood heater
  • Buy a budget pellet heater

Use the Timer

Unlike a wood heater, you don’t need to run your pellet heater run 24/7 to keep your house warm. Most modern pellet heaters have a timer function built in that lets you switch the heater on and off at a set time, just like a heat pump. Want to wake up to a warm house in the morning? Switch your heater off at night and set the timer to switch the pellet heater on an hour before you wake-up, say 5 am. There’s no need to let a pellet heater run and burn pellets while you sleep, like a wood heater. Doing this means you save pellets, thus money, but still wake up to a warm house.

Most people are used to letting a wood heater burn all night. Many people do this because once a wood heater goes out it can take a while to bring a house back up to temperature because they are primarily radiant heaters. However, you don’t have to do this with a pellet heater. Pellet heaters start automatically and can quickly heat up your house when compared to a wood heater. Pellet heaters start automatically, unlike a wood heater, so switch it off before you go to bed. Switching it off at night and having it come on automatically in the morning you are not wasting money burning pellets while you are sleeping. This is how the timer helps you save money with a pellet heater.

Set the Temperature

Another great way to save money with a pellet heater is to heat your room to a set temperature. Wood heaters offer very limited heat output controls compared to a pellet heater and it’s not uncommon for wood heater owners to open doors or windows to let out some heat to cool their house down. Pellet heaters work much like a heat pump in that you can set a desired room temperature and let the pellet heater do everything else. Once the room reaches the set temperature the pellet heater can switch off or go into eco mode, which is the lowest level of heat output.

Most people have their pellet heater go into eco mode. This way the pellet heater decreases heat output, reduces how many pellets are being burnt but at the same time keeps your room warm. If the room temperature drops too low, then the pellet heater will switch back into high heating mode and bring the room back up to your desired temperature. If you want to save even more pellets then pellet heaters can switch off completely once the room reaches the set temperature. This will save even more pellets but it’s not recommended due to the extra wear and tear on the pellet heater igniter.

Switching off or going into eco mode means the heater burns fewer pellets, thus saving you money. Set a comfortable temperature and let your pellet heater save you money by switching off or going into eco mode.

Turn it Off

Going to work for the day or going down the street for a few hours to go shopping, then switch your pellet heater off. This is another super easy way to save money with a pellet heater. Many people with wood heaters and even heat pumps have the habit of letting the heater run. For wood heaters it’s because you can’t really switch it “off” and all you can do is shut the dampers down and let the fire die out. Also, wood heaters can take a long time to heat an area, so it’s just easier to let the wood heater burn so your house doesn’t get cold. None of that is an issue with a pellet heater.

Worried you’ll come home to a cold house if you switch it off? Switch it on an hour before you get home, using the timer or WIFI, and you’ll come home to a warm house. A common wood heater habit is to let it burn while you are out but there’s no reason to do this with a pellet heater. Pellet heaters start heating within minutes of being switched on and quickly heat up an area thanks to the fan that circulates hot air around. Switching off your pellet heater when you aren’t home will save you pellets and money.

It’s Not a Wood Heater

The best way to save money with a pellet heater is to NOT use it like a wood heater. These habits are bad habits when applied to a pellet heater, such as letting it burn all night, letting it run while you aren’t at home and not heating your room to a set temperature. Pellet heaters can easily save you money and reduce what you spend on winter heating if used properly. If you are used to a wood heater, then the best thing you can do is DON’T treat your pellet heater like a wood heater. Use the features of a pellet heater to your advantage and you’ll easily reduce how many pellets you burn and save money.

Hopefully by now you can see the key to how to save money with a pellet heater is make use of its many features. There’s no need to run a pellet heater while you sleep. Switch it off when you aren’t home and use the timer or Wifi to switch it back on so your house is warm when you get back. All of this will reduce how many pellets you burn which in turn will reduce your winter heating bill. Please join our Facebook group and leave and share any tips you may have on how to save money with a pellet heater.

Burn Budget Wood Pellets

If you want to buy wood pellets in Tasmania we are lucky because there’s more than one brand available. This is great because competition keeps prices low. If you look at other states around Australia wood pellets cost a lot more and most places only stock one brand. Obviously an easy way to save money on your heating bill with a pellet heater is to burn budget wood pellets. Now, how low you want to go in price depends because wood pellet quality will vary and generally speaking it depends on how much the pellets cost. High pellets cost more and cheaper pellets usually produce more ash.

If you want to run your pellet heater often, then I’d suggest buying cheaper pellets to save money. In Tasmania we pay $8.50 to $12.00 a bag. That’s a price difference of $3.50 per bag. I burn at least 80 bags of pellets a year, so if I bought cheaper pellets that would save me about $280 a year. That money could then be spent on getting my heater serviced, buying more pellets if i needed or just saving it for a rainy day. Some people prefer to burn more expensive pellets because they burn cleaner, and I totally understand that, but by switching to cheaper, maybe not the cheapest, pellets you can easily save money.

Buy a Budget Pellet Heater

It’s worth mentioning but probably the easiest way to save money with a pellet heater is to buy a model that suits your budget. There are some beautiful European made pellet heaters like Piazzetta heaters and Palazzetti pellet heaters which cost twice as much as other cheaper Chinese models. If you really want to save money then go for a Chinese brand. There’s nothing wrong with pellet heaters that are made in China because I think what’s more important is retailer support, service and warranty.

Check my top pellet heaters in Tasmania if you are looking to buy a pellet heater in Tasmania and wondering what are some good models to consider. If you live outside of Tasmania then I also created a best pellet heaters in Australia which recommends some pellet heater models for those who don’t live in Tasmania. I think in either of these posts you’ll definitely find a pellet heater that suits your needs or at least give you something to think about when you go looking at heaters.

Save Money with a Pellet Heater Summary

If you want to save money with a pellet heater don’t use it like a wood heater. Pellet heaters heat up areas much more quickly than wood heaters do, so you don’t need to run a pellet heater 24/7. Now, in America and Canada some people do because it gets VERY cold and if they don’t have a heater running their pipes freeze. However, we’re lucky in Australia and that’s not a problem, so there’s no need to run a pellet heater all day and night, unless you want to.

Switching it off when you aren’t use it will mean you aren’t burning pellets, which means you are saving money. Also, use the time to switch your pellet heater on and off as you need and heat your room to a set temperature, like you do with a heat pump. And lastly, if you are looking to buy a pellet heater get one that is within your budget. Pellet heaters all work the same, so there’s no need to get an expensive, luxury European brand unless you want to.

Resources
Economic analysis of a field monitored residential wood pellet boiler heating system in New York State