Heat Pump vs Gas Furnace Cost Breakeven

Estimate the seasonal operating cost difference between a heat pump and a gas furnace. Enter your annual heating load, heat pump COP, electricity rate, furnace AFUE, and local gas price to see which system is cheaper and by how much.

kWh
USD/kWh
%
USD/therm

Energy prices and performance vary with weather. Always confirm with a local HVAC professional before making upgrades.

Examples

  • 20,000 kWh load, COP 3.5, $0.18/kWh, 85% AFUE, $1.50/therm ⇒ Heat pump saves $176.01 per season
  • 15,000 kWh load, COP 2.8, $0.16/kWh, 95% AFUE, $1.20/therm ⇒ Heat pump costs $210.47 per season

FAQ

What does COP represent?

Coefficient of performance indicates how many units of heat a pump delivers per unit of electricity consumed.

How accurate is the seasonal heat demand input?

Use utility bills, Manual J calculations, or energy models to estimate annual heating output requirements in kWh.

Does this include installation costs?

No. It compares operating costs only; use separate analyses for equipment and installation expenses.

Additional Information

  • 1 therm equals 29.3 kWh of heat energy.
  • Gas cost is adjusted by AFUE efficiency to account for combustion and distribution losses.
  • Lower electricity rates or higher COPs favour heat pumps; cheap gas or low utilisation can favour furnaces.