How do I read the charges on my electricity bill?
Start with the dates and units
An electricity bill can be read as a set of quantities, rates and adjustments. Write the billing start and end dates, currency and number of billed days on paper. Copy the usage unit exactly as printed, such as kilowatt-hours. Where the bill labels readings as actual or estimated, retain that label beside the figures. Keep each usage period separate if the bill divides the dates.
Worked example with made-up figures
Repeating
- Fictional sample rent
- A$270.97 / week
- Telco One
- A$11.06 / week
- Fictional sample groceries
- A$9.65 / week
- Streamly
- A$3.16 / week
Together A$294.84 a week.
Get your own answer, first one freeRecalculate the usage lines
For a line showing usage and a price per unit, multiply the two printed numbers. Check whether the price is written in currency units or smaller units such as cents before calculating. Copy each rate band onto its own line. A bill with several bands needs a subtotal for each one before the usage amounts are added together; one average rate would hide those separate quantities.
Read fixed charges and adjustments
Find any daily charge and multiply its printed daily rate by the billed days. List other charges, credits, taxes and adjustments separately using their own labels. Note whether the document says a displayed rate includes a tax before adding any separate tax line. Copy the previous balance and recorded payments into another section so current-period charges stay distinct from the final amount shown as due.
Example: made-up figures
Imagine 200 kilowatt-hours at 0.20 per kilowatt-hour, giving a usage charge of 40. A daily charge of 1 for 30 days adds 30. Current charges are therefore 70 before any separately listed adjustments. A printed credit of 10 brings that subtotal to 60. If the bill also carries a previous balance of 20 and a payment of 20, those two entries cancel and the resulting amount is 60.
Trace the final total
Add the current usage and fixed-charge subtotals, then apply the separately printed additions and credits. Bring in the previous balance and payments using their displayed signs. Compare your answer with the bill total and mark each included row. Keep any rounding difference beside the affected line. This produces a checkable map of the numbers on this bill without assigning reasons that the document does not state.
Related questions
Axiolia reads the statement, payslip or bill you hand it and shows the same pattern in one view. Try it on a sample statement first, free, no email.