Calculate how much money and energy you save by switching to LED lights. Compare LED vs incandescent, CFL, and halogen with annual savings, payback period, and CO₂ reduction.
Switching to LED lighting is one of the simplest, most cost-effective energy upgrades any home or business can make. LEDs use 75–85% less electricity than incandescent bulbs and last 25–50 times longer. For a typical home, the switch can save $250–$400 per year on electricity alone. This guide breaks down exactly how much you'll save and why LEDs are worth the investment.
| Feature | LED | CFL | Halogen | Incandescent |
|---|---|---|---|---|
| Watts (800 lm) | 8–10W | 13–15W | 43W | 60W |
| Lifespan | 25,000 hrs | 8,000 hrs | 2,000 hrs | 1,000 hrs |
| Annual Cost (8hr/day) | $4.70 | $7.65 | $20.08 | $28.03 |
| Bulb Price | $2–$5 | $2–$4 | $2–$4 | $1–$2 |
| Mercury | No | Yes | No | No |
| Dimmable | Most | Some | Yes | Yes |
While an LED bulb costs $2–$5 (vs $1 for incandescent), the total cost of ownership is dramatically lower. Over 25,000 hours (the life of one LED), you'd need 25 incandescent bulbs ($25) plus $175 in electricity. The LED uses only $26 in electricity plus $3 for the bulb = $29 total vs. $200 for incandescent. That's an 85% savings over the bulb's lifetime.