⛽ Propane Cost Calculator

How much does propane cost per gallon?

Propane prices vary significantly by region, season, and market conditions. As of 2026, residential propane typically costs $2.00-$4.00 per gallon. Prices are highest in winter due to increased heating demand. Rural areas often pay more due to delivery distance. Buying in bulk (500+ gallons) usually gets better rates. Check with local suppliers for current pricing.

How long does a 500-gallon propane tank last?

A 500-gallon tank (holding ~400 usable gallons at 80% capacity) lasts 6-12 months for typical residential use. Factors affecting duration:

• Climate: Cold winters = higher heating usage (100-150 gal/month)
• Home size: Larger homes use more for heating
• Appliances: Homes using propane for heating + water + cooking + dryer use more
• Efficiency: New high-efficiency furnaces (95% AFUE) use 15-20% less than older models (70-80% AFUE)

Summer usage (water heater + cooking only): 20-40 gallons/month. Winter usage (add heating): 100-200 gallons/month.

Is propane cheaper than natural gas?

Per BTU, natural gas is typically 2-3x cheaper than propane. However, propane is often the only option in rural areas without natural gas pipelines. Cost comparison:

• Propane: $2.50/gal = ~$27 per million BTU (91,500 BTU/gallon)
• Natural Gas: $1.20/therm = ~$12 per million BTU (100,000 BTU/therm)

However, propane burns hotter (2,500°F vs 3,600°F), and propane furnaces can be more efficient. If natural gas is available, it's usually cheaper for heating. Propane makes sense for rural homes, backup heating, or outdoor appliances (grills, pool heaters).

What is AFUE and why does it matter?

AFUE (Annual Fuel Utilization Efficiency) measures what percentage of fuel becomes usable heat. A 90% AFUE furnace converts 90% of propane to heat; 10% escapes through the exhaust.

• Older furnaces: 60-70% AFUE (waste 30-40% of fuel)
• Mid-efficiency: 80-85% AFUE (most common)
• High-efficiency: 90-98% AFUE (condensing furnaces)

Upgrading from 70% to 95% AFUE saves ~25% on heating costs. On a $2,000/year heating bill, that's $500/year savings.

Why can't I fill my propane tank to 100%?

Propane tanks are filled to 80% capacity maximum for safety. Unlike water, propane expands significantly with temperature (17x expansion from liquid to gas). The 20% empty space allows for thermal expansion on hot days. Overfilling can cause pressure relief valves to vent propane or, in extreme cases, tank rupture. This is a federal safety regulation (NFPA 58).

When should I refill my propane tank?

Most providers recommend refilling at 20-30% capacity. Running too low risks:

• Sediment issues: Residue at tank bottom can clog regulators
• Emergency fees: Some providers charge extra for emergency deliveries
• Weather delays: Winter storms can delay deliveries
• Price volatility: Refilling regularly (not waiting until empty) helps avoid emergency purchases during price spikes

Consider automatic delivery contracts for predictable pricing and never running out.

How can I reduce my propane costs?

Strategies to lower propane usage and costs:

• Upgrade furnace: 95% AFUE furnace saves 15-25% vs older models
• Insulation: Attic, walls, and basement insulation reduce heating needs by 20-30%
• Programmable thermostat: Lower temperature when asleep/away (10% savings per 10°F reduction)
• Water heater blanket: Insulate water heater to reduce standby heat loss
• Tankless water heater: 80-95% efficient vs 60-70% for tank models
• Buy in summer: Propane prices drop 20-40% in warm months
• Lock in rates: Pre-buy or fixed-price contracts avoid winter spikes
• Shop around: Get quotes from multiple suppliers (prices vary 10-30%)

What is the energy content of propane?

One gallon of propane contains 91,500 BTU of energy. For comparison:

• 1 gallon propane = 91,500 BTU
• 1 therm natural gas = 100,000 BTU (≈1.09 gallons propane)
• 1 kWh electricity = 3,412 BTU (≈27 gallons propane = 1,000 kWh)

This is why propane is efficient for heating: high energy density per gallon.