Why the heat pump vs furnace calculator matters
The heat pump question is entirely local: it depends on the ratio between your electricity and gas prices, and on how cold it actually gets where you live. This page turns that decision into a handful of inputs you can defend in a budget review: volume, unit cost, rate of adoption, and time. The output is a planning baseline, not a promise — it tells you whether the idea deserves a vendor quote, a pilot, or a pass.
- • Biggest swing factor: the electricity-to-gas price ratio in your area
- • Second-order factor: how cold your winter gets, which drops heat pump efficiency
- • Often ignored: install cost after any rebate or tax credit
What actually changes the answer
the electricity-to-gas price ratio in your area moves this number first, then how cold your winter gets, which drops heat pump efficiency. Run a conservative case and an upside case before you commit. If the maths only works in the upside case, treat it as a time-boxed test with a kill date rather than a line in next year's plan.
What to do with the result
Check your utility's electricity-to-gas price ratio before quoting installers — under about 3.5 the switch usually pencils out.
Related guides
Long-form playbooks on the same topic, written by the RevenueLab editorial team.
FAQ
What does the heat pump vs furnace calculator work out?
It applies Monthly saving = units saved × value per unit × efficiency%; Net = saving − recurring cost; Payback months = upfront cost ÷ net to the values you enter for monthly heating energy saved (kwh equivalent), effective saving per kwh equivalent ($), extra monthly maintenance or service cost ($), net cost to install the heat pump ($), share of the heating season the heat pump covers. The heat pump question is entirely local: it depends on the ratio between your electricity and gas prices, and on how cold it actually gets where you live.
How accurate is this heat pump vs furnace calculator?
A running-cost comparison. Real performance depends on insulation, duct condition and correct sizing. Replace the defaults with your own invoice, usage export, payroll data, statement, or vendor quote before making a commitment — the maths is exact, so the answer is only as good as the inputs you feed it.
Which input should I stress-test first?
the electricity-to-gas price ratio in your area. Re-run with a pessimistic value for it; if the decision flips, that assumption is the thing you need real data on before signing anything. After that, check how cold your winter gets, which drops heat pump efficiency and install cost after any rebate or tax credit.
Which scenario should I start from?
Start with the preset closest to your situation — conservative, expected case, best case — then edit the sliders. Presets are realistic starting points, not benchmarks to match, and every change updates the result instantly.
What should I do after running the numbers?
Check your utility's electricity-to-gas price ratio before quoting installers — under about 3.5 the switch usually pencils out. A useful planning benchmark to compare against: Modern cold-climate heat pumps hit COP 2.5–3.5, often beating gas where electricity is under about 3.5x the gas price per unit.
Can I share or save this calculation?
Yes. Your inputs are written into the page URL, so copying the link shares the exact scenario you are looking at — the person who opens it sees the same numbers. You can also export the inputs and results to CSV or PDF from the result card and keep it with the rest of your workings.
How this calculator is built
Independently maintained
Written by Sam Doshi and the RevenueLab editorial team. We don't sell the data feeds this tool is built on.
Sourced from primary data
Benchmarks come from public AdSense / Stripe / IRS disclosures and reader-submitted data — never third-party "$X per view" claims. Full methodology.
Last editorial review
Reviewed on a rolling quarterly cycle. Dated reviews are published on the methodology record for each calculator.
Editorial standards
See our editorial policy and disclaimer. Results are estimates, not advice.