LED Lighting Savings Calculator 2026 — Bulb Payback
Estimate 2026 savings from switching to LED bulbs: annual dollars, 10-year savings, payback and CO₂ cut from bulb count, wattage, hours and your electric rate.
Estimate scope & data quality
This tool provides an input-driven estimate. Use the required inputs shown above and review the result limitations below.
- Data quality
- NOT_AVAILABLE
- Result limitation
- Calculator output is not a source-complete customer result.
A tariff credit is distinct from annual savings. If a result is NOT_COMPUTABLE or CONFLICT, it must not be replaced with an estimate or treated as canonical.
How to use this calculator
- Enter the number of bulbs you plan to replace — count every incandescent and halogen bulb still in use.
- Set the old bulb wattage (typically 40 W, 60 W, 75 W or 100 W incandescent; 35 W or 50 W halogen spotlights).
- Set the LED replacement wattage — an 8–10 W LED gives about the same 800 lumens as a 60 W incandescent.
- Enter average hours used per day per bulb (3–5 hours is common for living areas).
- Enter your electricity rate (the default is the 18.19¢/kWh US average, EIA, July 2026 year-to-date), LED bulb cost, and any utility rebate per bulb to see annual savings, 10-year savings, CO₂ reduction and payback.
Understanding your results
Short answer: Replacing 20 × 60 W incandescent bulbs with 9 W LEDs used 4 hours a day saves about 1,490 kWh a year — roughly $271 at 18.19¢/kWh — and $80 of bulbs pays back in about 4 months. There is no federal tax credit for LED bulbs in 2026, so the savings come entirely from lower electric bills.
How LED savings are calculated: Each bulb saves (old wattage − LED wattage) watts. Multiply by hours per day × 365 days × number of bulbs to get annual kWh saved. Multiply by your electricity rate to get annual dollar savings. Payback = (bulb cost × number of bulbs − any utility rebates) ÷ annual savings. The 10-year figure is annual savings × 10 with no rate escalation, so it is conservative. CO₂ uses 0.386 kg per kWh, a US grid average; your utility’s mix may be cleaner or dirtier.
Worked example (assumptions shown): 20 bulbs × (60 − 9) W ÷ 1,000 × 4 hrs × 365 days = 1,489 kWh/year. At $0.182/kWh that is about $271/year, or about $2,710 over 10 years. 20 LEDs at $4 each cost $80, a payback of about 0.30 years (4 months). CO₂ avoided ≈ 1,489 × 0.386 kg ≈ 0.57 metric tons/year.
Lumens vs watts: LEDs are compared by lumens (light output), not watts (energy use). A 60 W incandescent produces about 800 lumens; an 8–10 W LED produces the same. Match lumens, not watts, when choosing replacements.
Color temperature matters: Warm white (2700K) matches incandescent light, cool white (4000K) suits kitchens and workspaces, and daylight (5000–6500K) suits task lighting. For living areas, 2700K is the most comfortable choice.
Incentives in 2026: There is no federal tax credit for LED bulbs — the §25C home improvement credit never covered lighting, and §25C itself ended for property placed in service after Dec 31, 2025. Some utilities still discount ENERGY STAR LEDs through their efficiency programs; check your utility’s website or DSIRE. Enter any per-bulb rebate in the calculator. Federal efficiency standards for general-service bulbs (45 lumens per watt, enforced from 2023) mean most new bulbs sold are already LEDs, so the biggest remaining savings come from replacing old incandescent and halogen bulbs still in sockets.
Frequently asked questions
Direct answers for US homeowners.