How to Calculate Your Savings with Home and Business Examples
We all accept the environmental benefits of using less electricity but what about the extra cost of
LED bulbs? We outline below the simple calculation that shows how switching to LED will lead to
huge savings. It was the trigger for our purchase decision which later lead to the birth of LED-Direct
but why not use your own numbers and calculate the savings for yourself.
The ingredients in the calculation are as follows:
- Cost per unit of electricity (1 unit = 1KW hour)
- Cost of replacement of the existing bulb
- Cost of LED bulb
- Life of existing bulb
- Life of LED
- Wattage of exisitng bulb
- Wattage of replacement LED
- The number of bulbs
- The hours the bulb is on
- Labour cost to purchase and replce a bulb - probably only important for business calculations but it depends how you value your time
- The time period of calculation
Using these parameters you can compare costs and see the payback period and/or the total
savings over a period. Attached we share with you our sample calculations for our home and our
hotels which lead us into this business.
Our Conclusions -
At home replacing 20 GU10 bulbs we save over £900 in the next 5 years and the payback on the
extra cost of the LEDs is only 236 days. Please click here to see full calculation.
In one hotel replacing 34 Candle bulbs in hallway chandeliers we will save over £2,700 over 5 years
and the payback is 168 days. Please click here to see full calculation.
We have bought and installed over 500 light bulbs in our two hotels and at home...total savings...
If you would like us to do the calculation for you please send us the parameters above and we
will provide you with a quote and savings calculation. email@example.com