Increasing electricity demand and the emergence of smart grids have given home energy management systems new potential. This research investigates the use of an artificial neural network algorithm for a home energy management system. The system keeps track of and organizes the use of electrical appliances in a typical home with the objective of lowering consumer electricity bills. An artificial-neural-network-based maximum-power-point-tracking scheme is applied to maximize power generation from photovoltaic sources. The proposed neural network senses solar energy and calculates load requirements to switch between solar and grid sources effectively. The implementation of improved source utility does not require numerical calculations. Traditional relational operator techniques and fuzzy logic controllers are compared with the suggested neural network. The model is simulated in MATLAB, and the results show that the artificial neural network performs better in terms of source switching following load demand, with an operating time of less than 2 s and a reduced error of 0.05%. The suggested strategy reduces electricity costs without affecting consumer satisfaction and contributes to environmental friendliness by reducing CO2 emissions.