Can I Save Money With a Heat Pump?

A heat pump can help you keep more money in your pocket.

It will save energy heating and cooling your Utah home, reduce your carbon footprint, and work with or without ductwork.

You may even qualify for both a federal tax deduction and a rebate that slashes the price tag on a new heat pump, depending on your household income. The Inflation Reduction Act (IRA) of 2022 includes these financial incentives for new heat pumps purchased over the next 10 years.

It is no wonder that with all those advantages, the heat pump is a rising star in the heating, ventilation, and air conditioning (HVAC) world. Heat pumps have been used to heat homes in mild climates for decades but have gained popularity everywhere as technology has improved their ability to operate efficiently in cold weather.

The U.S. Department of Energy (DOE) says heat pumps can cut your electricity use in half compared to electric furnaces and baseboard heating. Heat pumps also surpass furnaces in energy efficiency. High-efficiency furnaces are 95 to 98 percent efficient at best, while air source heat pumps, which can extract heat from outdoor air and move it into your home, are two to three times more efficient.

Gillette Heating and Air Conditioning can help you switch from a furnace to an electric heat pump—or we can upgrade the aging heat pump in your Orem home. We have assisted customers in Spanish Fork and surrounding areas with their heating and cooling needs since 2013. Our expert technicians are eager to help you save money while improving your comfort with a heat pump.

Efficient HVAC Systems Save Money

Heat pumps are similar to air conditioners because they use refrigerant to move heat. Air conditioners extract heat from your home environment and expel it outdoors. Heat pumps operate identically to an AC in the summer.

In colder weather, a heat pump works in reverse: extracting warm air from the outdoors and moving it indoors to heat your home.

Those are two ways a heat pump can save money. It is a dual system capable of heating and cooling, eliminating the need for an air conditioner. You save money by not having to install, maintain, and repair a separate cooling unit. A heat pump also uses less energy to transfer heat rather than fuel-burning systems do to create heat.

You save money on utility bills because you use less energy in your Orem home.

Rebates Lower Heat Pump Costs

You can cut the cost of installing a new heating or cooling system by claiming a tax credit for qualified high-efficiency HVAC equipment on your federal taxes. You can claim 30 percent of the project cost up to $2,000 for an air-source heat pump.

The federal government also is extending generous rebates for new heat pumps purchased over the next 10 years. Each state will administer these financial incentives, which will be available later this year or in early 2024.

Rebates, however, are based on income. The tax credits are available to anyone who can offset the deductions through the amount of taxes they pay. Either way, you can count on our team to let you know about every incentive you might qualify for whenever you purchase a product from us.

Consult the Heat Pump Experts

Our qualified Gillette Heating and Air professionals can recommend the best heat pump for your Orem, UT, home and budget. A heat pump will save energy and money on utility bills and taxes. Call us at 801-465-7760 or request service online.