With home energy prices rising, LIHEAP heating benefits may fall short this winter. Nearly 5 million American households receive heating assistance through the Low Income Home Energy Assistance Program. But this winter, these households could struggle to pay their heating bills and risk falling behind on utility bills. American households are projected to spend an average of $1,030 to heat their homes this winter, an increase of $82 from last winter, according to the National Energy Assistance Directors Association. NEADA released its initial winter heating projections in mid-September and revised its heating oil cost estimate in late September. The figure of $1,030 comes from the initial projection. The average heating benefit households received in fiscal year 2025 was $467, according to the latest LIHEAP data. If benefits average about the same as in 2025, families could have to figure out how to cover more than $500 in additional heating costs. NEADA is urging Congress to increase LIHEAP funding from $4 billion to $7 billion to help families manage rising home energy costs. According to NEADA, higher heating and electricity bills could leave families with less money for food, housing, transportation and other needs. “This is a warning that too many families are entering winter without room in their budgets,” said Mark Wolfe, executive director of NEADA. The projected cost increase comes as crude oil continues to trade above $100 a barrel as conflict in the Middle East continues to disrupt global oil supplies. Households that rely primarily on heating oil will see the steepest increase, with costs estimated to rise by 50% due to the war in Iran. Share of Households Receiving LIHEAP Heating Benefits About 14% of households in New York received LIHEAP heating benefits in fiscal year 2025, more than any other state, according to an analysis by the Get the Facts Data team. Vermont and Michigan each have nearly 8% of their households enrolled in the program. The average benefit per household varies by state. Each year, all states and territories submit applications to receive funds and the states decide how to distribute them. The average heating benefit for Alaska homes was $1,554, the highest among states. New Hampshire’s average benefit was the second highest at $1,045. New Hampshire households rely primarily on heating oil to heat their homes. Households in the Northeast are projected to spend nearly $2,627 on heating oil from mid-November to mid-March this winter. That could leave families struggling to cover more than $1,000 after receiving heating assistance. “Winter is almost here and families have very little time to prepare,” Wolfe said.