What is Average Billing and how is it calculated?
What is Average Billing and how is it calculated?
What is Average Billing and how is it calculated?

What is Average Billing and how is it calculated?

What is Average Billing and how is it calculated?
What is Average Billing and how is it calculated?

What is Average Billing and how is it calculated?

Average Billing helps you manage your monthly electricity budget by allowing you to pay an averaged amount every month instead of paying high amounts during high-usage months and paying low amounts in low-usage months.

 

Watch the video below to learn more

Average Billing

If you enroll in Average Billing, you'll smooth out seasonal high and low bills and pay an average amount all year. To calculate your electric bill, use our bill calculator.

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How is the Average Billing amount determined?

  • We add up your monthly bills for 12 months (or for the number of monthly bills available, if fewer than 12). 
  • We then take that total and divide the amount by 12 or by the total months available for your service address (if fewer than 12).*  
  • Finally, we add or subtract 1/12 of your deferred balance.

What is a deferred balance?

The deferred balance amount is the cumulative difference between your monthly Average Billing amount and what you would owe if you were not signed up for Average Billing. The deferred balance amount can be found on your monthly bill. If the bill amount is positive, 1/12 will be added to your bill. If the bill amount is negative, 1/12 will be subtracted from your bill. If you’re a new Average Billing customer, the deferred balance will begin in the second month. The deferred balance must be paid in full if you cancel Average Billing or change electricity providers.  

 

What will be different about my bill?

Each bill will show your Average Billing amount — the current amount due for the month — as well as your actual usage, current pricing and any deferred balance. As noted above, your deferred balance is the difference between your Average Billing amount and your actual usage and can be positive or negative. 

*If there is no previous billing in your name at the service address, or you do not have 11 months at the service address, we will take the previous usage at that service address and apply your current price to calculate your average billing amount.

Average Billing FAQs

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Average Billing allows you to pay an average amount every month instead of adapting to the highs and lows of seasonal bills.

First, we add up your monthly bills for 12 months (or the number of bills available, if fewer than 12) for your service address. Then, we take that total and divide it by 12 (or the total months available for your service address, if fewer than 12). Finally, we add or subtract 1/12 of your deferred balance, which is the cumulative difference between your monthly Average Billing amount and what you would owe if you were not signed up for Average Billing. This calculation is redone every month, so your amount due will fluctuate slightly depending on your usage.

You can use the same payment options for your electricity bill payment as you would with regular billing. You can sign up for AutoPay to have the amount automatically paid each month, or you can pay by phone, by mail, through your online account or at a walk-up payment location near you. We accept credit/debit cards and checks.

Any credit balance will be applied to your next bill or refunded to you; any outstanding deferred balance will be due at that time.

We will calculate your Average Billing amount using the number of Reliant bills you have available at your current service address.

The deferred balance amount is the cumulative difference between your monthly Average Billing amount and what you would owe if you were not signed up for Average Billing. The deferred balance amount can be found on your monthly bill. If the bill amount is positive, 1/12 will be added to your monthly bill. If the bill amount is negative, 1/12 will be subtracted from your monthly bill. If you’re a new Average Billing customer, the deferred balance will begin in the second month. The deferred balance must be paid in full if you cancel Average Billing or change electricity providers. 

You may be eligible to have your deferred balance carried over to your new address. If you are eligible at the time you request a transfer of service, we will let you know.