Usually the local power utility has installed a smart meter on your home. When you have a time of use (TOU) rate plan it may include peak, mid-peak and off-peak rates depending on the time of day, day of the week and even time of year. If you have a TOU rate plan with an off-peak rate period that start at 8:00 P.M. local time and continues until 6:00 A.M. the next morning, then if you start charging before 8:00 P.M. you will be charged the peak rate per kWh for any power used prior to 8:00 P.M. and the off-peak rate per kWh used after 8:00 P.M. until the end of the off-peak rate period, start of the peak-rate period.
Although it may take a little longer to set up the Tesla charging option for Schedule Departure Charging can be more efficient than Scheduled Charging (i.e. always start charging at a specific time such as 8:00 P.M.), especially in winter, because the battery will have been partially warmed from just having been charged by the time you are ready to A) precondition the Tesla vehicle before driving and B) starting to drive. With Scheduled Departure Charging as long the Tesla vehicle is plugged in for the night it will have completed charging before the end of the off-peak rate period, i.e. 6:00 A.M.
The second part, Scheduled Departure Preconditioning, can be set to happen all week or only on weekdays (this assumes you leave for your commute to work at about the same time Monday through Friday.) If you have an off-peak rate period that ends at 6:00 A.M. but you don't leave for your commute until 8:00 A.M. the battery will still retain much of the heat from charging for more than 2 hours. At around 7:30 A.M. when starting to precondition the Tesla vehicle, using either Scheduled Departure Preconditioning with 8:00 A.M. set as your preferred set departure time or if you use the Tesla app to manually turn on the climate control this will draw power from the grid since the Tesla is plugged in will top up the battery with any power used during preconditioning. Power used for preconditioning will always come from the battery, then the Tesla vehicle will start to charge to replace any power used to precondition. So preconditioning when plugged in will always use some power from the grid even if outside of the off-peak rate period.
One use case, in winter, when charging at Level 1 (120V and 8A or 12A) 12A being the maximum for a 15A circuit, is that it is better to start charging immediately as soon as you arrive at home or arrive at work because the battery will be warm from the Tesla vehicle just having been driven so you will want to start charging to maximize the power that is available to charge the battery, not use any of the available 1.4kW from this charging setup to warm the battery. Depending on when you arrive home and the start of the off-peak rate period this may mean starting to charge prior to the start of the off-peak rate period because you know you will need more than 10 hours to charge (8:00 P.M. to 6:00 A.M.) so part of the time you will be charging it will cost you more.