Flexible Month-to-Month Electricity Plans

Explore convenient month-to-month electricity plans to power your Texas home.

Written by Christine Orlando | Reviewed By Christine Anez
Last updated July 15, 2025

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Compare Current Month-to-Month Electricity Rates

In Texas’s deregulated energy market, there’s no shortage of electricity plans to choose from. Month-to-month electricity plans offer flexibility without a long-term commitment. Rates for these plans aren’t fixed, so they can change based on factors like seasonal demand, fuel prices, and shifts in market conditions. Below, you can see popular month-to-month plans (rates included!) to help fuel your search.

Key Takeaways: Why Choose Month-to-Month Electricity

  • Month-to-month electricity plans (also called variable electricity plans) let you power your home without a long-term contract.
  • They give you the freedom to switch providers at any time.
  • Month-to-month electricity plans can be a great fit for anyone who wants more flexibility when powering their home or business.
  • Use Power Wizard’s comparison tool to find the right month-to-month electricity plan for your home.

What Are Month-to-Month Electricity Plans?

Month-to-month electricity plans (often called no-contract electricity plans) are short-term energy contracts that don’t lock you into a fixed price per kWh or long-term agreement. Instead, your rate is typically set for just one billing cycle at a time and can change each month based on market conditions and other factors. These plans are a flexible option for Texans who want the ability to switch retail electricity providers (REPs) easily, avoid Early Termination Fees (ETFs), or aren’t ready to commit to a long-term contract.

What “No-Contract Electricity” Really Means

No-contract electricity means you’re not locked into a long-term contract. You’re only responsible for the current billing cycle, and your service doesn’t automatically roll into a multi-month agreement. If you decide to switch providers, you can cancel at any time—typically online or by phone—with no ETFs. Just keep in mind that some providers may apply final-month charges based on your usage or prorate your last bill depending on when you cancel, so it’s a good idea to check the terms in your plan’s Electricity Facts Label (EFL) before making a switch.

How Month-to-Month Energy Billing Works

With a month-to-month electricity plan, you’ll receive a bill at the end of each billing cycle based on how much electricity you used and the current rate for that month. Because the rate isn’t locked in, it can vary from one bill to the next depending on market conditions. There’s no upfront payment or deposit required in many cases, and you’re only charged for the energy you use.

Top Reasons to Choose a Month-to-Month Electricity Plan

Month-to-month electricity plans give you total control over your electricity —no long-term contracts, no cancellation fees, and no surprises. If you want flexibility, fast setup, and the freedom to switch plans whenever it makes sense for you, a monthly electricity plan might be the right fit. They offer:

  • Flexibility: Change or cancel anytime without penalty. Great for short-term renters, movers, or anyone with changing energy needs.
  • Speed of Activation: Many providers offer same-day (if you enroll before 2 pm CST) or next-day service. It’s a convenient option if you need power fast.
  • Risk-Free Switching: Since there’s no long-term commitment, you can shop around each month and switch to a lower rate without fees.
  • Budget Control: With month-to-month billing, you only pay for what you use. Some providers even offer prepaid electricity options, giving you full visibility and control over your monthly energy spend.
  • No Long-Term Commitment: No-contract electricity plans don’t auto-renew into multi-year agreements, making them a smart choice for anyone who wants to stay adaptable to their lifestyle.

Who Should Choose a Month-to-Month Plan?

Residents who may benefit the most from month-to-month electricity include:

  • Short-Term Residents: If you’re staying in temporary housing, corporate lodging, or relocating soon, a month-to-month plan lets you get service quickly and cancel without penalties.
  • Credit-Sensitive Consumers: Many monthly plans have minimal or no credit check and deposit requirements, making them accessible for anyone building or rebuilding credit.
  • Savvy Switchers: Like to chase the best deals? Without a contract holding you back, you can shop and switch plans monthly to take advantage of market changes and seasonal rate drops.
  • Landlords, Realtors, and Contractors: These plans are great for keeping electricity on during property showings, renovations, or home staging because they don’t require a long-term commitment.

Pro Tip:

No-contract electricity plans don’t have ETFs. However, there may be specific steps you need to take to confirm cancellation, so always check your plan’s EFL for contract details.

How to Compare and Pick the Best Month-to-Month Plan

Finding the right month-to-month electricity plan doesn’t have to be a guessing game. Power Wizard’s smart comparison tool shows you dozens of available variable price electricity plans in your area instantly. As you compare your options, keep a few things in mind:

  • Rates and fees matter: Month-to-month electricity plans can be slightly more expensive per kWh than traditional contracts, so it pays to shop around.
  • Customer service counts: Choose a provider with solid reviews and responsive support in case anything goes wrong.
  • Read the fine print: Make sure you understand the payment terms, any fees, and how to reload your account. You can find this information in your plan’s EFL.
  • Look for extra perks: Some providers include usage alerts, renewable energy options, or loyalty rewards to add more value.

Power Wizard makes it easy to compare all of this in one place, so you can find an energy plan that fits your needs—no magic wand required. Simply enter your ZIP code to get started!

Plan Types: Prepaid & Postpaid Month-to-Month Options

Not all month-to-month electricity plans work the same way. Understanding their differences can help you select the plan that best suits your lifestyle and budget.

Plan Type How It Works Pros Cons Best For
Prepaid Pay upfront before using electricity. Monitor and reload balance as needed. No deposit
No credit check
Full spending control
Rates may vary monthly
Service stops if the balance runs out
Consumers with low credit
Postpaid Billed monthly after usage. May require soft credit check or deposit. Traditional billing
Pay after you use power
Rates may vary monthly
Possible deposit
Short-term rentals

 

Prepaid vs. Postpaid Month-to-Month Plans

  • Prepaid plans let you pay for electricity in advance—no deposit, no credit check, and no surprise bills. You load funds onto your account and use energy until it runs out. It’s a great way to stay in control of your spending, but you’ll need to keep on top of your usage to avoid service interruptions.
  • Postpaid plans bill you after each billing cycle based on how much electricity you use. These plans may require a soft credit check or small deposit, but they work more like traditional electricity plan billing. Just remember that rates can still fluctuate month to month.

Enrollment Guide: Starting a Month-to-Month Electricity Plan

Ready to get started with a month-to-month electricity plan? Signing up is simple! Most providers offer online sign-up with same-day or next-day activation. Here’s how it usually works:

  • Enter your ZIP code into Power Wizard’s comparison tool to view available no-contract plans.
  • Choose the one that fits your needs and budget.
  • Enroll directly through our website and select a start date.
  • Your new provider handles the rest!

With Power Wizard, you can compare month-to-month electricity options and enroll in minutes.

Required Information and Documentation

To get your service set up, you’ll need to provide a few basic details:

  • Service address where electricity will be turned on
  • Valid ID or Social Security number (for postpaid plans or soft credit checks)
  • Contact details, including phone number and email address
  • May need a payment method, such as a credit/debit card or bank account

Money-Saving Tips for Month-to-Month Energy Plans

Saving money on month-to-month electricity plans requires consumers to be proactive. Below are some easy steps you can take today to keep your monthly energy bill in check.

Budgeting Strategies

  • Set Usage Alerts: Stay ahead of your spending by setting alerts when your usage hits key thresholds, like 50% of your typical daily average.
  • Plan for Seasonal Spikes: Texas summers and winters can send your energy bill soaring. Air conditioning and heating are major drivers, so consider adjusting your budget during peak months.
  • Create a Spending Calendar: Break your monthly energy budget into weekly or daily targets. Compare your live usage to your goals as the month progresses, so you can make small adjustments before overspending.

Monitoring Your Usage

  • Use Mobile Apps or Online Portals to Track Consumption: Many providers offer mobile apps with real-time usage graphs, balance updates, and meter reads. These tools help you track usage trends and adjust before things get out of hand.
  • Smart Home Integration: Some month-to-month electricity plans are compatible with smart thermostats and plug-in monitors, which automate tracking and help manage energy use more efficiently.
  • Regular Balance Checks for Prepaid Plans: If you’re on a prepaid month-to-month energy plan, check your balance regularly. It’s the best way to avoid unexpected shutoffs and stay in control of your energy spend.

FAQs: Month-to-Month Electricity Plans Explained


A month-to-month electricity plan is an energy option that lets you pay for your electricity one month at a time without a long-term contract. You’re not locked into a long-term agreement, so you can switch or cancel whenever you need without penalties.


While month-to-month energy plans give you more control, they almost always have higher rates than long-term fixed contracts, especially during high-demand seasons like summer and winter. The trade-off is flexibility, so it’s important to compare rates and weigh what matters most: savings or freedom to switch.


Yes! One of the biggest benefits of a month-to-month plan is the ability to switch providers without Early Termination Fees (ETFs). You’re only committed for the current billing cycle, so that you can shop for better rates each month. Always read your plan’s Electricity Facts Label (EFL) for cancellation terms before switching.


It depends on the provider and your credit. Some postpaid month-to-month plans may require a small deposit or soft credit check, but many prepaid month-to-month options skip both entirely. If avoiding upfront costs is a priority, prepaid plans are a solid choice.


Month-to-month energy plan billing is based on how much electricity you use during the current billing cycle and the rate set by your provider for that month. Rates can change monthly unless you’re on a fixed-rate month-to-month plan.


You can cancel your plan at any time without a fee—just notify your provider before your move-out date. If you’re staying in the same service area, you may even be able to transfer your plan to your new address.

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