One question we always get asked here at The Green Cocoon is, “What is the R.O.I. (return on investment) on insulation?” Consumers want to know if the upfront cost is worth it and more importantly, how long it takes to see the payback. Let’s break this down and find out!

Energy Costs Analyzed

Energy costs vary per state, and since we are located in Massachusetts, we will use that state. The average winter heating bill for oil (most popular) is about $2,083 per year[i]. The average yearly electric bill is around $1,128[ii], and much higher in the summer months due to the use of air conditioners.  That comes to a moderate total of $3,211 annually.

Some of our customers have seen reductions in their heating and cooling bills of up to 75 percent, but for the sake of this example, let’s just say that by insulating your home you save 40 percent. That is a savings of $1,284 per year! If the average insulation job for a medium-sized home is around $6,000 (give or take a few thousand depending on size and material), it would take just under five years to get the return on your investment. After that, you are pocketing an extra $1,284 per year. Think of all of the things you could do with that money! What does that money equal?

What You Can Do With Savings

Here’s what you can do with $1,284:

  1. You can buy three months’ worth of groceries for a family of four.
  2. You and your significant other could take a one-week cruise to the southern Caribbean from Boston.
  3. Fill the gas tank in your car for almost one year (depending on car size and miles travelled).
  4. Invest it every year and after 30 years you would have over $100,000!

As you can see, insulation is well worth the investment. The question isn’t, “Can I afford it?” The question is, “How can you not?”

If you don’t have the money upfront for insulation, there’s no need to wait to start saving. Ask us about our interest-free financing options.


[i] Commonwealth of Massachusetts (2019). Household Heating Costs. Retrieved from
[ii] Electricity Local (2019). Residential Electricity Rates & Consumption in Massachusetts. Retrieved from