Smart devices are growing in popularity because of their convenience. The ability to monitor your home while away is a draw for a lot of people, especially because of the ways smart home tech can grant you peace of mind while on vacation. Beyond convenience, current research shows these devices can cut energy costs in multiple ways: certified smart thermostats typically save about 8% on heating and cooling bills (ENERGY STAR), smart plugs reduce standby “vampire” power that the IEA notes can be a notable share of household use, and LED smart lighting upgrades commonly deliver $45–$80 per year in savings depending on rates and what bulbs you replace (DOE Energy Saver; EIA). Interoperability is also improving via the Matter standard, and new security labels like the FCC’s U.S. Cyber Trust Mark help identify products with stronger cybersecurity baselines.
Smart thermostat
Google Nest claims that it pays for itself in under two years. In independent evaluations, ENERGY STAR reports that certified smart thermostats save about 8% on HVAC bills in typical homes (source). Using 2025‑relevant inputs, a simple payback is often under two years when (a) your annual heating + cooling spend is moderate to high and (b) you buy an entry‑level model or use a utility rebate. Example: if your household spends ~$900/year on HVAC, 8% savings is ~$72/year; a ~$130 thermostat pays back in ~1.8 years, and with a $75 rebate (common; check ENERGY STAR’s Rebate Finder) the payback drops to ~0.8 years. In a higher‑use scenario (~$1,400/year HVAC), 8% (~$112/year) yields ~1.2 years at $130. Savings stem from schedule learning, occupancy/away modes, and recommended setbacks—DOE notes 7–10°F setbacks for 8 hours can approach ~10% annual HVAC savings (DOE Energy Saver). For context on bill magnitudes by fuel, see the EIA’s seasonal heating expenditure outlook (EIA).
In addition to remote access via app, many smart thermostats are also voice-controlled and now integrate more reliably across the three major ecosystems—Alexa, Google, and Siri—through Matter multi‑admin, which lets one thermostat be controlled by multiple assistants at once (Google Nest + Matter). Platforms increasingly support local control paths; for example, Alexa offers Local Voice Control for basic device control in certain setups during internet outages, and Thread‑based accessories and sensors (with a HomePod/Apple TV or Nest Hub/Wi‑Fi Pro as a border router) can keep automations responsive (Apple on Thread). Together with routine‑based setbacks and occupancy detection, these capabilities compound the energy savings potential while preserving comfort.
Smart Plugs
Grandfather your favorite small appliances into your smart home ecosystem by using smart plugs. Smart plugs cut standby (“vampire”) power and automate on/off schedules so devices run only when needed. The IEA notes standby can be a meaningful portion of household electricity use, so targeted shutoffs add up. Quick math: if a TV and peripherals draw ~10 W in standby for 20 hours/day, that’s ~73 kWh/year. Using a low‑idle plug (~0.8 W) to fully cut standby nets ~67 kWh/year saved—about $11/year at typical U.S. prices (~16–17 ¢/kWh; EIA). Many entertainment centers or office setups idle at higher multi‑watt levels, pushing savings into the tens of dollars annually per zone. For best results, choose plugs with built‑in energy monitoring to identify the biggest standby culprits and verify savings; many 2025 models support Matter for cross‑ecosystem control and specify low self‑consumption (often ≤1 W), such as TP‑Link’s Kasa KP125M (manufacturer) and Eve Energy (manufacturer).
As an additional bonus, most smart plugs also have sensors built in that will shut them off if the outlet becomes overloaded, which has the potential to spare you from a house fire. This feature makes seasonal items like Christmas lights easier to control, and can help prevent break-ins by making your home look occupied when you’re away. To maximize savings, focus on entertainment centers, PC peripherals, and task/holiday lighting where idle draw and unnecessary runtime are common; structured plug‑load control is a recognized conservation strategy in federal guidance (DOE FEMP). Avoid using smart plugs with heaters or high‑inrush devices unless the plug is specifically rated for that load and certified (UL/ETL) for safety.
Smart lights
Smart lights are light bulbs that can be controlled from an app or smart hub. You can remotely dictate the brightness, color, hue (perfect for parties), and of course, whether they are on or off. Most of the energy savings come from switching to efficient LEDs: replacing the five most‑used bulbs with ENERGY STAR certified LEDs typically saves about $45–$80 per year depending on local electricity prices and what bulbs you’re replacing (ENERGY STAR; DOE Energy Saver; EIA). “Smart” features like scheduling, occupancy/daylight sensing, and dimming can further trim runtime; standby overhead is minimal for certified connected lamps (ENERGY STAR caps standby at 0.20 W—roughly ~$0.30/year per bulb at U.S. average prices; spec). Federal efficacy standards effective in 2023 also accelerated the move away from incandescents, increasing the baseline efficiency of new bulbs (DOE standards).
Water sensors
Smart water sensors alert you when there is a water leak (and some will alert you to freezing as well) by monitoring your water main and the floor of your basement (or lowest level of the house). You can also add sensors to your water heater, toilets, and sinks – anywhere you’re afraid of plausible water damage. Some of these sensors even have the ability to shut off your water if a leak is detected, and can also monitor the level of humidity in your basement or utility closet. These sensors can signal you through a tone if you are at home, or send an alert to your smartphone and other devices through your home’s WiFi signal if you are away. Interoperability is improving as recent Matter updates expand device support for water management, making leak sensors and shut‑off valves easier to integrate into whole‑home automations (CSA Matter 1.4).
In addition to saving you money by detecting leaks that may have otherwise added up to hundreds or even thousands of dollars in repairs, your homeowner’s insurance may offer you a discount if your home security system features things like a smart water sensor that prevents such disasters. Several insurers publicly cite credits for qualifying devices or programs: mass‑market examples include American Family’s Smart Home Discount that lists water leak detectors among eligible devices (American Family) and Nationwide’s smart‑home program (Nationwide); high‑net‑worth carriers like Chubb and PURE highlight premium credits for approved automatic water shut‑off systems (Chubb; PURE). Availability and discount amounts vary by state and policy, so confirm details with your carrier; the Insurance Information Institute also notes many insurers offer such credits but with differing requirements (III).
The Bottom Line
Smart devices give you peace of mind while away from your home, and bring you convenience while chipping away at your electric bills. In practice, certified smart thermostats average about 8% HVAC savings (ENERGY STAR), smart plugs can measurably cut standby waste when paired with low‑idle, energy‑monitoring models (IEA), and LED smart lighting upgrades typically save $45–$80/year in common scenarios (ENERGY STAR; EIA). You don’t need a smart hub to get started, but prioritizing devices that support Matter improves cross‑platform voice control and local reliability—and when shopping, look for emerging security labels like the FCC’s U.S. Cyber Trust Mark to identify products meeting baseline cybersecurity criteria.
