How much does it cost to have LED lights?

11 Apr.,2024

 

How much electricity do LED lights use?

LED lights are renowned for their low power consumption, a quality that sets them apart from traditional lighting options.

To get a clearer understanding of LED power consumption, the table will answer:

  • How much power do LED lights use

  • How many watts do LED lights use

Note that for this table, we'll be referencing the watts and power consumption for a 400 to 500-lumens light source.

Bulb Type

Watts

Average kWh usage per month

LED

6 – 7

1.56kWh

CFL Bulb

8 – 12

2.4kWh

Incandescent

40

9.6kWh

 

As you can see, LED lights use significantly less wattage and, therefore, cost substantially less per month compared to other lighting options.

But that's not all; let's take a look at just how much LED lights can save you on your monthly electricity bill.

(Note: if you're a business and want to experience the savings LEDs can bring, use the button below to find out more!)

How much do LED lights cost per month?

So, how much do LED lights cost to run?

Note that the values presented below are approximations based on 8 hours of daily usage and an electricity rate of $0.16/kWh (this rate varies from state to state, so be sure to take that into account), and average kWh usage per month.

Brightness (Lumens)

Watts

kWh usage

Per hr

Per month

400-500

6 – 7

1.68

$0.00104

$0.25

650-850

7 – 10

2.4

$0.00136

$0.33

1000-1400

12 – 13

3.12

$0.002

$0.49

1450-1700+

14 – 20

4.8

$0.00272

$0.66

2700+

25 – 28

6.72

$0.00424

$1.03

 

Additional reading: watts to lumens

How much do LED lights save per month?

We know that LED lights save energy; that much is clear... but, how do LED bulbs save when compared to other types of light bulbs.

You may find that the financial benefits are even better than you anticipated...

Fluorescent

Here are the figures for the cost of running LED vs fluorescent bulbs per month (and LED savings per month):

Brightness (Lumens)

Fluorescent

LED

Savings

400-500

$0.48

$0.25

$0.23

650-850

$0.68

$0.33

$0.35

1000-1400

$0.90

$0.49

$0.41

1450-1700+

$1.38

$0.66

$0.72

2700+

$1.94

$1.03

$0.91

 

Incandescent

Now, let's shift our focus to a comparison that is often the center of lighting debates — incandescent vs LED.

(again, costs and savings are averages per month)

Brightness (Lumens)

Incandescent

LED

Savings

400-500

$1.54

$0.25

$1.29

650-850

$2.30

$0.33

$1.97

1000-1400

$2.88

$0.49

$2.39

1450-1700+

$3.84

$0.66

$3.18

2700+

$5.76

$1.03

$4.73

 

CFL

With the advent of LEDs and their superior energy efficiency, the CFL vs LED lighting comparison is as follows.

(again, costs and savings are averages per month)

Brightness (Lumens)

CFL

LED

Savings

400-500

$0.46

$0.25

$0.21

650-850

$0.69

$0.33

$0.36

1000-1400

$0.84

$0.49

$0.35

1450-1700+

$1.15

$0.66

$0.49

2700+

$2.11

$1.03

$1.08

 

Metal Halide

Metal halide bulbs have been an industry standard in high-intensity lighting for years, but it's no surprise that a metal halide vs LED cost comparison shows savings in favor of LED.

(again, costs and savings are averages per month)

Brightness (Lumens)

Metal Halide

LED

Savings

400-500

$0.40

$0.25

$0.15

650-850

$0.57

$0.33

$0.24

1000-1400

$0.75

$0.49

$0.26

1450-1700+

$1.15

$0.66

$0.49

2700+

$1.62

$1.03

$0.59

 

HID

As LED technology continues to evolve and offer substantial energy savings, many are considering a switch and looking at the HID vs LED comparison.

(again, costs and savings are averages per month)

Brightness (Lumens)

HID

LED

Savings

400-500

$0.33

$0.25

$0.08

650-850

$0.47

$0.33

$0.14

1000-1400

$0.62

$0.49

$0.13

1450-1700+

$0.96

$0.66

$0.30

2700+

$1.35

$1.03

$0.32

 

Halogen

Average halogen vs LED costs and savings are as follows:

(again, costs and savings are averages per month)

Brightness (Lumens)

Halogen

LED

Savings

400-500

$0.45

$0.25

$0.20

650-850

$0.64

$0.33

$0.31

1000-1400

$0.85

$0.49

$0.36

1450-1700+

$1.30

$0.66

$0.64

2700+

$1.83

$1.03

$0.80

 

Comparison of all lighting types

So, how much more efficient are LED lights compared to the rest of the choices?

Let's put it all together to save your eyes from jumping around the screen too much.

Note: The below are all average costs per month:

Brightness (Lumens)

Fluorescent

Incandescent

CFL

Metal Halide

HID

Halogen

LED

400-500

$0.48

$1.54

$0.46

$0.40

$0.33

$0.45

$0.25

650-850

$0.68

$2.30

$0.69

$0.57

$0.47

$0.64

$0.33

1000-1400

$0.90

$2.88

$0.84

$0.75

$0.62

$0.85

$0.49

1450-1700+

$1.38

$3.84

$1.15

$1.15

$0.96

$1.30

$0.66

2700+

$1.94

$5.76

$2.11

$1.62

$1.35

$1.83

$1.03

 

Switching to LED lighting? Remove the upfront cost of LED lights

Now that you've explored the incredible benefits of LED lighting, particularly in terms of energy savings, it's time to take action.

Experience the power of LED light energy savings for yourself! Contact FES Lighting today to learn more about how our commercial LED lighting solutions can help you make the switch to LED lighting and eliminate the upfront cost of LED lights through our innovative financing options. 

Do LED lights save money? Our key takeaways

As you can see, the energy consumption of LED lights is significantly lower than other lighting options, which translates directly into substantial cost savings.

Here are the crucial takeaways on the power of LEDs:

  • Energy-efficient:

    LEDs consume significantly less energy than traditional lighting options. This reduced energy consumption adds up to substantial savings on your monthly electricity bill.

  • Cost-effective:

    Although the initial cost of LED lights might be higher than the competition, the long-term savings they bring greatly make up for it.

  • Longevity:

    They have a much longer lifespan, reducing the frequency of replacement and further contributes to cost savings and reduced waste.

  • Environmentally friendly:

    A lower energy consumption of LED lights means fewer carbon emissions, supporting a more sustainable environment.

If you're still unsure about the potential savings your business could achieve by switching to LED, we have a tool that can help.

Try our commercial LED savings calculator to get an accurate estimate of the financial benefits you could enjoy by making the switch. This tool is designed to give you a clear understanding of your potential savings, providing a compelling argument for transitioning to LED lighting solutions.

FAQs

How much do LEDs cost initially?

The initial cost of LED lights can vary greatly depending on the type and quality of the bulb, ranging generally from $2 to $20 per bulb. This may seem high compared to traditional lighting options, but it's important to factor in long-term savings as well.

Note that, with FES, our LaaS model means that there is zero upfront costs for your business.

Are LED lights expensive to run?

Contrary to common belief, LED lights are not expensive to run. In fact, their high energy efficiency makes them much more cost-effective in the long run. Not only do they consume significantly less power than traditional lighting options, they also last longer, resulting in fewer replacements and lower overall costs.

How much does it cost to run an LED light bulb for 24 hours?

Running an LED light bulb for 24 hours typically costs about $0.027, assuming an electricity rate of 16 cents per kilowatt-hour (kWh) in the United States. This calculation is based on a 7W LED bulb, which is equivalent to a 40W incandescent bulb but consumes significantly less power.

Do LED bulbs use less electricity?

Yes, LED bulbs do use less electricity. Leveraging LED energy savings, these bulbs consume up to 80% less power compared to traditional lighting options. This substantial reduction in energy use not only lowers electricity costs but also contributes to a more sustainable environment which benefits the community.

How many watts does an LED bulb use?

An LED bulb, known for its energy efficiency, typically consumes between 6 to 28 watts. The exact wattage depends on factors such as size and lumen output. Compared to traditional lighting, this lower power consumption not only enhances energy efficiency but also contributes to the cost-effectiveness of LED lighting. 

How Much Electricity Do LED Light Bulbs Use & What's the Cost to Run Them?

LEDs (Light-emitting diodes) are the most energy-efficient and advanced lighting technology on the market today. Not only do they require much less electricity to run than incandescent bulbs, but they also can last up to 50x longer. As a result, the cost of running an individual lightbulb is quite low.

That being said, you'll need more than one lightbulb to light your home, and altogether those lightbulbs can start to rack up some costs. On average, lighting accounts for roughly 10% of a household's annual energy consumption. So how much exactly does it cost to light your home? Check out our LED cost calculator below to get an estimate.

LED bulb energy cost calculator

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Terminology explained

Energy language can be confusing. Below, we break down what you need to know to use our calculator.

What are watts?

Watts measure the rate at which electricity moves through an appliance. When it comes to LEDs, more watts means more electricity which typically means larger bulbs and brighter lights.

To calculate watts for a LED light, you'll want to multiply the current (measured in amps) by the voltage (measured in volts). The best way to get an accurate read on amps and volts is to look at the packaging of your lightbulb. From there, you can calculate kilowatts by multiplying amps and volts and dividing by 1000.

Kilowatts = (Amps x Volts) / 1000

What are lumens?

Another important light term to know is Lumens. Lumens measure the brightness of a light. More lumens means brighter lights. Typically, more lumens also mean more watts, though lumens and watts technically have no direct relationship. So while it might be useful to know the lumens of your LED in order to get a sense of how bright it will be in comparison to other bulbs, you don't need to measure lumens in order to calculate the power it takes to run your bulb.

What is the average cost of electricity?

According to US Energy Information Administration, the average cost of electricity in the U.S. is 16 ¢/kWh. However, this number can vary depending on your electricity supplier. Today, people in some states have the power to shop for their electricity and find cheaper rates.

Meet community solar, the easy way to save without rooftop panels.

Lower your electricity bills and help the environment. Let Perch match you to a local solar farm.

What is the average energy consumption and cost of different types of LEDs?

LED bulb

Brightness (in Lumens)

Watts

Cost / hr*

Avg. Cost / month*

400 – 500

6 – 7W

$0.001

$0.27

650 – 850

7 – 10W

$0.002

$0.38

1000 – 1400

12 – 13W

$0.002

$0.50

1450 - 1700+

14 – 20W

$0.003

$0.77

2700+

25 – 28W

$0.004

$1.08

*assuming that the electricity rate is 16 ¢/kWh and the bulb is on for 8 hours per day

CFL bulb

Brightness (in Lumens)

Watts

Cost / hr*

Avg. Cost / month*

400 – 500

8 – 12W

$0.002

$0.46

650 – 850

13 – 18W

$0.003

$0.69

1000 – 1400

18 – 22W

$0.004

$0.84

1450 - 1700+

23 – 30W

$0.005

$1.15

2700+

30 – 55W

$0.009

$2.11

*assuming that the electricity rate is 16 ¢/kWh and the bulb is on for 8 hours per day

Incandescent bulb

Brightness (in Lumens)

Watts

Cost / hr*

Avg. Cost / month*

400 – 500

40W

$0.006

$1.54

650 – 850

60W

$0.010

$2.30

1000 – 1400

75W

$0.012

$2.88

1450 - 1700+

100W

$0.016

$3.84

2700+

150W

$0.024

$5.76

*assuming that the electricity rate is 16 ¢/kWh and the bulb is on for 8 hours per day

How to save on your lighting costs?

  • 1 .

    Switch out your old lightbulbs for energy-efficient bulbs

    LED lights are much more efficient than other lighting options, like CFLs and incandescent bulbs. According to energy.gov, the average household saves about $225 in energy costs per year by using LED lighting.

  • 2 .

    Take advantage of natural light

    What's more efficient than LEDs? The sun, of course. It's brighter and more energy-efficient than any lighting technology you'll find on the market. Not to mention, exposure to sunlight is thought to improve your mental health. So make sure to open up those shades so you can soak in those rays. Your energy bill will thank you.

  • 3 .

    Design your home to be light-efficient

    Not all rooms need bright lighting. Think strategically about which rooms you need big, bright lights for (kitchen, dining room, living room) and which rooms you only need desk lights and small lamps for (bedrooms, home offices).

  • 4 .

    Install dimmers

    Dimmers are surprisingly cheap and easy to install. And in addition to being great for mood-setting, dimmers can also help you save on your lighting costs. It's estimated that dimming your lights to 75% of their brightness can save you up to 20% on your lighting costs.

  • 5 .

    Choose Perch Energy


    • For guaranteed savings on your annual electricity cost, join a community solar project in your area. Perch will help match you to a local solar farm—you'll support the operations of that farm so that it can generate and contribute as much clean, solar energy to the overall grid. You don't directly receive electricity from the solar power you're supporting, but thanks to government incentives, you'll get credits toward your own utility bill. Essentially, you're being rewarded with discounts on your own electricity because you're enabling solar generation and development in your state.
    • With Perch, you can take your fossil-fuel-fighting, money-saving ways even further when you also switch your home or business' electricity plan to cleaner energy. If you're on your utility's default basic service rate, it's a "mixed" energy plan (generated partly by fossil fuels, partly by renewable resources). But Perch can switch you to a low-cost cleaner energy plan—outside of what your utility is offering—that's backed 100% by clean, renewable resources like solar and wind. We'll find you a price that's lower than the market rate for similar options in your area. You don't have to do anything differently, but you'll feel great knowing that your personal electricity usage is now contributing to a healthier planet, and you've reduced your everyday carbon footprint.

    At Perch , we're on a mission to make cleaner energy more accessible, more affordable, and more equitable for all. Whether you rent an apartment, own a home, or run a business, Perch offers multiple ways to save money on your electricity bills, or even help the planet, too.

Get simple solar savings without the rooftop panels

Lower your electricity bills and help the environment. Let Perch match you to a local solar farm.

How much does it cost to have LED lights?

Energy Use & Cost of Running LED Lights (Tips to Save)

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