Monthly Cost Reduction Strategy: Electric Bill – 1064 kW Savings

I live in Round Rock Texas, the average temperature in August was around 86’F.  My electric bill in August was a shocking $427.49. Our house was built in 1996 and I was aware that I needed to do something about the 17 year old AC unit since it has been serviced regularly every year and besides, my son was complaining about the helicopter noise outside his room every time the AC starts, the outdoor unit was making an annoying noise due to old age.

I did my research and found out these facts.
1. The average life span of an AC unit is 10 years, any AC unit that is 15 years and older are not very efficient. [I still have the R12 System]
2. If there is a failure of your AC unit every year, it’s time to get a new one. [if  unit is >10 years old]
3. The average electric bill of the same size of house that I have are in the $200-300 range.

I was presented with the following quote from a local company. I picked option #2
Option #2
10 Year Warranty
4 Ton
2 Stage Cool
2 Stage Heat
Variable Speed Blower
Condenser: Carrier 24ANB748-3
Coil Air Handler: Carrier CNPHP4821
Furnace: Carrier 58CVA090-1-16
Thermostat: Carrier Infinity WIFI [I can change the temperature of the house using my iPhone]
Cost: 11879.00
Installation Time: <6 hours

Options #1, #2, #3 [i picked #2 because of the energy savings #s and it is a 2 stage cool and heat
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I am with TXU Energy here in Round Rock and they provide a dashboard of my electric consumption data.  Below is one of the chart that I analyzed to track the progress of my daily kW consumption. 
AC Replacement Date: August 20, 2013 [red vertical arrow]
Aerage Temperature in Round Round Rock: 86’F

Notice the shift of the kW consumption after the new AC was installed. According to my analysis, the current daily kW consumption is now 60kW.

Average daily kW Before +/-10days: 94kW, $13.54 per day [Raw Data]
Average daily kW After +/-10days: 78.35kW, $12.1 per day

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September/August 2013 Electric Bill Comparison
September Bill is $145.00 lower
September Bill is 1064 kW lower
September ave temp is 83’F, August was 86’F
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Conclusion:
1. My 17 years old AC Unit was very inefficient.
2. It pays to look at the daily kW consumption and analyze the data. [Not all of you has access to this type of data but if you are curious about your electric bill, use this procedure to track your consumption.
3. The outside temp has the biggest impact on electric bill.
4. Ask a few neighbors  who has the same size of house that you have.  I did not realize mine was very high until a neighbor told me that his electric bill was only around $200.00 in August.
5. Change AC filters regularly.
6. Lastly, if you have servers in the house, 1 Dell Poweredge 2950 III server registered a $23.26 per month in the Kill A Watt meter.  If you have a few servers running in your home office, get a Kill A Watt Meter from Amazon.  Home Depot also sells this unit also at the same prize.

Poweredge 2950 III SFF – Kill A Watt Tracker
NOTE: Redundant PSU does not double the power consumption according to my data below.
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Extra Stuff:
1. Check if you live in the area where Solar City provides a service.  You can get Solar power at a very low monthly cost and no upfront cost.  I called them and they are planning to come to Austin next year. 
2. Use this Home Energy Calculator to determine how much your appliances are costing you.
3. Read more: TXU Energy Savings Solution

Ok, it’s your turn.  Do some audit around the house and see if you can lower your kW consumption per day.

Monthly Cost Reduction Strategy 2013: Timewarner Cable +Faster Internet Speed

My Timewarner Cable bill was not looking good and looking at it makes me feel that I am wasting resources. I have an internet service, a cable tv service and a digital phone service with TWC. At first, I did not know where to start but as I read and examine my cable bill, I noticed a few items which are $12.00 but I had 3 of each and I’m also leasing a modem box.

In my inventory, I found the following:
3 DVR cable box, $12.99 ea.
1 Internet Modem Lease, $5.99 ea
International Calling Plan, $20.00

When I did a walkthrough around the rooms in the house, I noticed that we rarely used all three DVR’s. Timewarner now has On Demand programming and if you miss your show, all you have to do is go to the Primetime On  Demand channel and watch it there. My only hurdle was convincing the wife but that was no brainer since she told me she does not use it regularly.

I went to the local TWC office and returned 2 DVR boxes, cancelled my International Calling Plan and cancelled my Internet Modem lease since they advertised that we can have our own internet modem now for as long as it is listed in their “preferred list’.

By the end of the day, I dropped around $90.00 off my cable bill.

Here’s the information on how to purchase your own internet modem if you are a Timewarner customer.
1. Purchase an internet modem, mine is Motorola Suftboard SB6141 from Amazon, the review is good. Here’s the full TWC Approved Modem List
2. Upon arrival of the modem, read the manual and connect the modem in place of the old modem.  If you have a digital phone service, you will need to split the cable signal using a splitter because you will need to have two modems at your end, one for internet and one for the phone service.  If you don’t have a splitter, get the splitter ahead of time.
3. Call Timewarner Cable and explain to them that you bought your own modem, they will activate the modem for you.
4. Once activated, run a speed test form your pc. Use http://www.speedtest.net/ 
5. END

Speedtest revealed the following:
Old Modem
Download speed =10Mbps
Upload Speed=.95Mbps

New Modem:
Download speed =16Mbps
Upload Speed=1.07Mbps

Speedtest results:
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Modem Setup:
The two vertical boxes are the modems.  The black box is the old modem and the white box is the new Motorola modem.  Yes, I’m old school, I’m still using the WRT54G wireless router but this is not an ordinary WRT54G.  This router has been rooted with DD-WRT firmware.  Visit DD-WRT’s website if you are interested in a simple mod that can speed up your wireless connections. 

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Monthly Cost Reduction Strategy 2013: Progressive Car Insurance -Snapshot Program

In the US, the cost of car insurance is really high.  I have a teen driver [minor child] and a distant student.  There are a total of 4 drivers in the family and four vehicles.  I needed to find a way to reduce my monthly cost and I’ve been calling Progressive recently to reevaluate my policy.  So far, I’ve managed to reduce a big chunk of the premium initially by applying the following discounts:
1. Distant Student/Good Student discount for my daughter who is in college [90 miles away]
2. Minor Child/Good student discount for my son who just received his driver’s license 6 months ago.
3. 3 year safe driving record
4. Paperless discount
5. 5 year accident Free
6. Multi Car discount
7. Paid in full discount
8. Multi Policy discount
9. Homeowner insurance discount

When I was done talking to the Progressive Representative, I inquired about other ways that I can reduce the premium of my account,   she mentioned Snapshot – but I never heard about it.  She explained to me how it works and the mechanics of discount.  I was hesitant at first but as I read more about it, I was convinced that the Snapshot Program might work to my benefit since we don’t drive that much here in Round Rock and besides we are not aggressive drivers [I think, I’ll find out with the daily report]

The maximum discount that we can avail is 30%.  But when you look at the spreadsheet below, even a 10% discount is already a big chunk of savings.

View Excel File
At $1514.00 Per 6-Month Premiumimage

Here’s the info about the Snapshot Program

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Here’s the actual Snapshot Report of my vehicle

Vehicle #1-son, Minor driver [good]
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Vehicle #2-daughter, College student driver [not good, but she is learning how to drive safely]
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Vehicle #3-wife [getting better]
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Vehicle #4-me [look at the zero hard stop!]
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Sample of a detailed chart, my daughter had 10 hardstops in one trip

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Progressive needs at least 30 days worth of data before they can apply the discounts to my account.  The discount is set per vehicle, so one bad driver cannot affect the other vehicle. The total period of study is 6 months and after that time, they will apply the full discount depending on the result of the Snapshot device.  One thing to note for the skeptics is,  the rate will not go up if they found out that you are a risky driver.  Of course they say that up front but who knows what really happens if your driving data is really that bad. Just beware, maybe it’s time to reeducate/reprogram your driving skills.

For me as a parent and a leader of my household, this device provided me a feedback of how my co-drivers in the house is doing on the wheel.  The other day, I confronted my daughter who incurred 10 hard stops at 50mph in San Antonio and she explained to me that it was because of the traffic.  Overall, I am satisfied with our performance, the data revealed that our family does not get out from the cave that much.  If you look at my driving, it is all work-home trips.

So, if you have Progressive Insurance, you might want to consider the Snapshot device.  The device is not intrusive since it does not have a GPS locator.  The only thing that is in question is I can tell when the car is moving and how long.  As a parent, that is good enough information to know the activities of my children.  Of course they can unplug it or use a friend’s car but that is another story.

To my wife and kids, our goal is 30% discount – meaning, you really have to drive safely everyday.

Daddy is watching!