Woah, here we are at the newest, yes the second ever edition of Cheapskate Analysis. Today we will be using the power of maths, after being confronted with a series of choices, to find the one that saves us the most money!

If you’re like me, monitoring the costs of everything, you’ve noticed that LED light bulb prices have really dropped since they were first introduced. It wasn’t that long ago that you’d have to spend $50 for one bulb. Now, you can get a bulb for one-tenth of that, or less!

But are they cost effective yet?

## The Answer:

Yes… and No!

#### First, find your electricity cost

Our utility company does not make it easy to figure out the actual cost of the electricity we use. First they divide the bill up into Supply and Delivery. Then they break those down into a dozen constituent parts. I suppose this is good for transparency, but there also is no easy, total rate to look at. I had to add up fractions of a penny to get to the actual rate:

**12 cents per kilowatt hour**

Our easy to use electric bill!

Actually, it was 11.997534 cents per kWh, but who’s counting?

Next, **find out how much electricity your bulbs are using.**

All light bulbs are labeled with their wattage, the only important number. To convert the bulbs to “math-able” kilowatt hours, we just move the decimal point a little bit. I learned this conversion with our earlier entry comparing the air conditioner to the ceiling fan.

For example, a 60 watt bulb = 0.06 kilowatts. A 13 watt bulb is 0.013 kilowatts. Et cetera.

Multiply that kilowatt number by how many hours it is used in a day (or a month, or whatever), and then multiply that number by the cost of the electricity. So a 60 watt light bulb used 4 hours per day every day calculates like this…

0.06 kWh x 4 hours a day = .24 kWh per day or 87.6 kWh per year. Then 87.6 kWh per year x 12 cents per kWh = $10.51 per year.

Easy peasy! Now let’s take a tour around the house to find which bulbs should be replaced.

#### Frequently Used Rooms

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