Can't pay your heating bill? 2025-2026 cost guide, bill reduction strategies, LIHEAP assistance ($3.6B available), and flexible payment options.
You just opened your winter heating bill and your stomach dropped. Last month was $80. This month? $180. And it’s only December.
Quick Answer: Average winter heating costs for 2025-2026 are $642 for natural gas, $1,133 for electricity, $1,210 for propane, and $1,390 for heating oil[1]. If you can’t afford the full bill, LIHEAP has $3.6 billion available now[3], utility companies offer payment plans, and services like Deferit let you split bills into 4 payments.
You’re not alone—millions of Americans face heating bills that jump 40-60% in winter. But here’s what most people don’t know: while some heating costs are rising slightly (electricity up 4%), others are actually decreasing (propane down 9%, heating oil down 8%)[1]. The key is understanding your specific situation and knowing exactly what help is available.
What Are the Expected Winter Heating Costs for 2025-2026?
Understanding what you’ll likely spend on heating this winter helps you budget accordingly. According to the EIA’s Winter Fuels Outlook[1], here’s what average households can expect to pay from October 2025 through March 2026:
Average Winter Heating Costs by Fuel Type:
| Fuel Type | Total Winter Cost | Change from Last Year |
|---|---|---|
| Natural Gas | $642 | -1% |
| Electricity | $1,133 | +4% |
| Propane | $1,210 | -9% |
| Heating Oil | $1,390 | -8% |
Where you live significantly impacts your heating costs. Northeast households face the highest natural gas bills at an average of $868 for the winter—nearly 70% higher than what Southern households pay at $514.
Regional Natural Gas Costs (Winter 2025-2026):
| Region | Average Winter Cost |
|---|---|
| Northeast | $868 |
| Midwest | $613 |
| West | $600 |
| South | $514 |
The EIA’s forecast assumes a winter that’s slightly warmer than normal, which helps explain the relatively stable or decreasing costs for most fuel types. However, electricity users will still see a 4% increase due to ongoing infrastructure costs. If you heat with electricity, check out our guide on how to save on your electric bill for additional tips.
Why Do Winter Utility Bills Spike?
Your heating system works hardest during winter, and several factors contribute to those higher bills:
Heating Degree Days
Energy companies measure heating demand using “heating degree days” (HDD)—a calculation based on how much the outside temperature drops below 65°F. More heating degree days means your furnace or heat pump runs longer, consuming more energy.
Home Efficiency Issues
Poor insulation, drafty windows, and air leaks force your heating system to work overtime. According to the U.S. Department of Energy[2], inadequate insulation and air leaks can account for a significant portion of your heating costs.
Thermostat Settings
Keeping your home at a constant high temperature, especially when you’re away or sleeping, dramatically increases energy consumption. Even small adjustments can lead to meaningful savings over the winter months.
How to Lower Your Winter Heating Bill
The Department of Energy offers several proven strategies to reduce winter heating costs[2]:
Optimize Your Thermostat Settings
Setting your thermostat to 68°F when you’re home and lowering it by 7-10°F when you’re away or asleep can save up to 10% on your annual heating costs. For a household spending $642 on natural gas heating, that’s potentially $64 or more in savings.
Recommended thermostat settings:
- When home and awake: 68°F
- When away or sleeping: 58-61°F
Invest in a Smart Thermostat
Smart thermostats learn your schedule and automatically adjust temperatures for maximum efficiency. Combined with the DOE’s recommended setback strategy, a programmable or smart thermostat can help you capture those 10% heating savings automatically[2].
Weatherize Your Home
Sealing air leaks and improving insulation can significantly reduce heating and cooling costs[2]. Focus on:
- Windows and doors: Use caulk and weatherstripping to seal gaps
- Attic insulation: Heat rises, so proper attic insulation prevents significant heat loss
- Electrical outlets and switches: Install foam gaskets behind outlet covers on exterior walls
- Ductwork: Seal and insulate ducts in unconditioned spaces
Additional Quick Wins
- Open curtains during sunny days to let natural heat in, then close them at night for insulation
- Keep heating vents clear of furniture and rugs
- Replace furnace filters monthly during heavy use
- Use ceiling fans in reverse (clockwise) to push warm air down from the ceiling
What Government Assistance Programs Help with Winter Utility Bills?
If you’re struggling to pay your heating bills, several government programs provide winter utility bill help. For a broader overview of assistance options, see our guide on 6 ways to get help paying bills.
LIHEAP (Low Income Home Energy Assistance Program)
LIHEAP is the primary federal program for utility assistance, with $3.6 billion in funding for FY2026 released in late November 2025[3]. The program offers:
- Bill payment assistance: Direct payments to your utility company
- Energy crisis assistance: Help if you’re facing disconnection or have already been disconnected
- Weatherization assistance: Home improvements to reduce energy costs
Eligibility is based on household income and varies by state. To apply, contact your state or local LIHEAP agency.
Weatherization Assistance Program (WAP)
WAP helps low-income households improve their home’s energy efficiency through measures like insulation, air sealing, and heating system repairs[4]. While focused on long-term savings rather than immediate bill relief, these improvements can significantly reduce future heating costs.
State and Local Programs
Many states offer additional assistance beyond federal programs. Check with your:
- State energy office
- Local community action agencies
- Utility company (many have hardship programs)
For a comprehensive list of resources, visit USA.gov’s Help with Utility Bills page[4].
What Are Your Rights? Winter Disconnect Protection Laws
Many states have laws protecting consumers from utility shutoffs during winter months. These protections vary by state but may include:
Examples of state winter disconnect protections:
| State | Protection Details |
|---|---|
| Minnesota | Cold Weather Rule protects customers October 15 - April 15 |
| New York | Protection from November 1 - April 15 for income-eligible customers |
| Illinois | No disconnection when temperature is below 32°F |
| Michigan | Additional protections for senior citizens November - March |
Important: These protections often require you to contact your utility company and demonstrate financial hardship. Don’t wait until you receive a shutoff notice—reach out proactively if you’re struggling to pay.
To find your state’s specific protections, contact your state’s Public Utility Commission or search for “[Your State] winter utility disconnect protection.”
What Payment Options Are Available When You Can’t Pay the Full Bill?
If you can’t afford your full winter utility bill, you have several options beyond government assistance:
Utility Company Payment Plans
Most utility companies offer payment arrangements for customers facing financial hardship. Options may include:
- Extended payment plans: Spread past-due amounts over several months
- Deferred payment agreements: Temporarily reduce or delay payments
- Hardship programs: Special rates or assistance for qualifying customers
Contact your utility provider directly to discuss available options. Being proactive about your situation often leads to better arrangements than waiting until you’re facing disconnection.
Budget Billing Programs
Many utilities offer budget billing, which averages your annual energy costs into equal monthly payments. This eliminates seasonal spikes, making winter bills more predictable and manageable.
Split Utility Bill Payments with Deferit
When utility bills pile up, you can pay utility bills later with Deferit. Rather than scrambling to pay a large winter heating bill all at once, Deferit lets you pay in 4 payments—splitting the cost into manageable bill installments while still ensuring your utility company gets paid on time.
With a Deferit membership, you can pay any bill online, making it easier to handle winter utility bill help on your own terms. This can be especially helpful for:
- Unexpected bill increases from a utility bill surge
- Months when multiple high bills hit at once
- Bridging the gap while waiting for assistance program approval
Electric vs Gas: Understanding Your Heating Costs
Not sure if your heating system is costing you more than it should? The type of fuel you use makes a significant difference. Electric resistance heating costs an average of $1,133 per season—77% more than natural gas at $642[1].
Take Action Before Winter Bills Arrive
Don’t wait until you’re drowning in heating costs. Here’s your action plan:
- Review last year’s winter bills to estimate what you’ll face this year and create a budget that accounts for seasonal increases
- Schedule a home energy audit to identify efficiency improvements
- Apply for assistance now if you think you’ll qualify for LIHEAP or other programs—FY2026 funding is now available
- Contact your utility company to ask about budget billing or payment plans
- Weatherize your home before temperatures drop
Winter utility bills don’t have to derail your budget. With proper planning, available assistance programs, and flexible payment options, you can stay warm without the financial stress. If high bills are causing anxiety, our guide on how to manage financial stress offers additional coping strategies.
Need help managing your utility bills? With Deferit, you can pay bills later and take control of your winter expenses. Get started with Deferit today to split your bills into 4 payments.
References
- U.S. Energy Information Administration. “Winter Fuels Outlook 2025-2026.” Short-Term Energy Outlook. October 2025.
- U.S. Department of Energy. “Energy Saver - Tips on Saving Money and Energy at Home."
- U.S. Department of Health and Human Services. “Low Income Home Energy Assistance Program (LIHEAP).” Administration for Children and Families.
- USA.gov. “Help with Utility Bills."
