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How Much LED Bulbs Save You Every Year

How Much LED Bulbs Save You Every Year

Unless you’ve been living under the rock for the past few years, you’d have surely heard about LED bulbs. This breed of high-tech light is fast changing the way we things see forever and currently powers thousands of homes across Australia.

There are many reasons why people are switching over to LEDs, but the most important one is — well, you guessed it — its cost-saving promise.

LED bulbs are easier on the pocket — there are no two ways about it. If you’re wondering just exactly how much LED bulbs save, here are some stats to ponder on:

  • The cost of running an LED is just $4 a year
  • An average Australian household will save $253 a year by replacing all of its halogen bulbs with LEDs
  • LEDs use approximately 75% less energy compared to halogen bulbs and last 5 to 10 times longer

In short, LEDs save you money, anyway you cut it.

What Are LEDs?

LED stands for Lighting Emitting Diode. It is a semiconductor that turns electrons into light as they pass through it. So if you ever wondered “How does an LED bulb work,” well, now you have it.  

How Much LED Bulbs Save?

Okay, truth be told: LED bulbs cost more upfront than traditional bulbs. An LED bulb costs $10 - $15 on average, while a halogen light bulb costs only $3.

Hmm, the first round then goes to the traditional bulb… or does it?

Research shows you’re likely to use 5 to 10 halogen light bulbs for one LED. If you do the math, an LED bulb comes out no less expensive — at times, even considerably cheaper — than the traditional bulb.  

Look likes the round one is sort of a tie.

However, there’s more to lighting your home than just the cost of the bulbs. You must also factor in the per kilowatt cost to run those bulbs — and that’s where LEDs come into their own.

They are WAY more energy-efficient than traditional bulbs, as in 75% - 80% more efficient than conventional bulbs.

For instance, a conventional 75 Watt bulb uses 75W to produce 1100 lumens and costs approximately $23 a year to run. In contrast, an LED bulb uses only 6W to give you the same lumen output and costs just $5 a year to run!

The second round clearly belongs to the energy saving LED light bulbs — and with that, it’s game, set, and match to LEDs.

Given that an average Australian home uses approximately 37 light bulbs, switching over to LEDs can result in substantial savings.

Here are some stats to drive the point home:

  • A home having 37 mains voltage halogen light bulbs will save roughly $2420 in 10 years by transitioning to LEDs.
  • A home having 15 mains voltage halogen light bulbs will save roughly $1250 in 10 years by replacing them with LED energy saving light bulbs.
  • A home having 15 low voltage halogen down lights will save roughly $780 in 10 years by switching over to LED bulbs.

To sum it up, the answer to the question, how much LED bulbs save, is a lot.


CFL stands for compact fluorescent light… or curly light bulbs. They cost much less than LED upfront — but that’s where the good news ends if you are a CFL fanboy.

It can’t hold a candle to an LED when it comes to longevity. The latter boasts a staggering 25,000 or more hours of life while a CFL bulb goes kaput after burning for just 8,000 hours or so.

In short, any price advantage enjoyed by CFL bulbs over their newer counterparts on account of their low initial cost is negated by their short lifespan.

That’s not half the story, however.

CFLs waste just about as much energy as traditional bulbs, releasing nearly 80% as heat. LEDs, in comparison, waste very little energy on heat.

Moreover, CFL bulbs are not as durable as LED bulbs. That’s a problem since they contain mercury, which is toxic in nature. If a CFL bulb breaks, its pieces have to be cleaned up very carefully and immediately.

All in all, LED bulbs wins hands down when it comes to energy-efficiency, longevity, and safety.

Wrapping Up

The bottom line: LEDs last much longer and use far less electricity than traditional bulbs. So the sooner you make the switch, the better.

Need some help to get started? Well, then, have a look at our LED collection and get inspired.  

Frequently Asked Questions

  1. How much does changing to LED lights save?

An average Australian household will save $253 a year by switching over to LEDs.  

  1. How much do LED lights save per month?

Switching to LED lights can help the average Australian household save $253 a year. That’s roughly $21 a month.

  1. How much does it cost to run a 5 watt LED bulb?

Since LEDs bulbs are 75% to 80% more energy efficient than traditional bulbs, the cost of running them is significantly lower. You are likely to spend no more than $5 a year to run a 5W LED bulb.

  1. How much does it cost to run an LED light bulb for a year?

A typical LED bulb costs $3 in electricity to run for a year. In comparison, a typical halogen downlight entails a yearly running cost of $25. That’s a saving of $22 a year in case you’re wondering, “How much LEDs save?”