How Much Electricity Do LED Neon Signs Use?

LED neon signs are extremely energy efficient. A typical 24-inch sign uses about 12 watts of power — roughly the same as a phone charger. Running it 8 hours a day costs approximately $0.15-$0.30 per month in electricity, depending on your local electricity rate.

LED Neon Energy Use by Sign Size

Sign Size Typical Wattage Monthly Cost (8 hrs/day) Monthly Cost (24/7) Annual Cost (8 hrs/day)
12-15 inches (Mini) 5-8 watts $0.05-$0.10 $0.15-$0.25 $0.60-$1.20
16-24 inches (Small) 8-15 watts $0.10-$0.20 $0.25-$0.50 $1.20-$2.40
25-36 inches (Medium) 15-25 watts $0.20-$0.35 $0.50-$0.85 $2.40-$4.20
37-48 inches (Large) 25-40 watts $0.30-$0.55 $0.85-$1.40 $3.60-$6.60
49-72 inches (X-Large) 40-70 watts $0.55-$0.95 $1.40-$2.40 $6.60-$11.40
73-120 inches (Giant) 70-150 watts $0.95-$2.00 $2.40-$5.20 $11.40-$24.00

Costs calculated using the US average electricity rate of $0.16/kWh (2026 EIA data). Your actual cost may vary based on your local utility rate.

How to Calculate Your Sign's Energy Cost

Use this simple formula:

Monthly cost = (Watts × Hours per day × 30 days) ÷ 1,000 × Your electricity rate

Example: A 24-inch sign using 12 watts, running 8 hours per day, at $0.16/kWh:

12 × 8 × 30 ÷ 1,000 × $0.16 = $0.46 per month

To find your local electricity rate, check your utility bill — it's listed as "price per kWh" and typically ranges from $0.10 to $0.30 in the US.

LED Neon vs. Other Lighting: Energy Comparison

Lighting Type Wattage (equivalent brightness) Monthly Cost (8 hrs/day) Annual Cost
LED neon sign (24 inch) 12 watts $0.46 $5.53
Traditional glass neon (24 inch) 60-100 watts $2.30-$3.84 $27.65-$46.08
Incandescent bulb (equivalent glow) 60 watts $2.30 $27.65
LED light strip (similar length) 8-14 watts $0.31-$0.54 $3.69-$6.45
Fluorescent tube (2 ft) 17 watts $0.65 $7.83

LED neon uses 80-85% less electricity than traditional glass neon of the same size. Over a year, a single LED neon sign saves approximately $22-$40 in electricity costs compared to its glass equivalent.

Why LED Neon Is So Energy Efficient

LED neon sign using same power as phone charger energy comparison

Low voltage operation

LED neon runs on 12V DC power, compared to 120V AC for household outlets and 2,000-15,000V for glass neon transformers. Lower voltage means less energy consumed and less energy lost as heat.

LED technology

Modern SMD 2835 LED chips (used in quality neon signs) convert approximately 80% of energy into visible light and only 20% into heat. Traditional glass neon converts roughly 15-20% into light and 80-85% into heat. This efficiency gap is why LED neon stays cool to the touch while glass neon gets hot.

Dimmer control

Every ShineNeon sign includes a dimmer switch. Reducing brightness to 50% cuts power consumption roughly in half. If you're using your sign as ambient lighting at low brightness, energy use drops to just a few watts — comparable to an LED nightlight.

Running Multiple Signs

Many customers display 2-5 neon signs in a single room (common in man caves, home bars, and game rooms). Even with multiple signs, total energy use remains modest:

Five LED neon signs running simultaneously in man cave using minimal electricity
Number of Signs (24-inch each) Total Wattage Monthly Cost (8 hrs/day) Equivalent To
1 sign 12 watts $0.46 1 phone charger
3 signs 36 watts $1.38 1 laptop charger
5 signs 60 watts $2.30 1 incandescent bulb
10 signs 120 watts $4.61 1 desktop computer

Five average-sized LED neon signs running together use the same electricity as a single old-fashioned light bulb.

Tips to Minimize Energy Use

  • Use the dimmer. Running at 70% brightness saves 30% electricity and is barely noticeable to the eye.
  • Use a timer or smart plug. Set your sign to turn on at sunset and off at bedtime automatically. A basic WiFi smart plug costs $10-$15.
  • Choose the right size. A sign that fits the space properly looks better and uses less energy than an oversized sign you need to dim down.
  • Keep it clean. Dust buildup makes signs appear dimmer, tempting you to increase brightness. A quick monthly wipe maintains peak brightness at lower power.

Frequently Asked Questions

Can I leave an LED neon sign on all night?

Yes. Running a 24-inch LED neon sign all night (8 hours) costs about $0.015 — less than two cents. Many people use them as nightlights. The sign stays cool and uses minimal power.

Do neon signs increase my electric bill noticeably?

No. Even running 24/7, most LED neon signs add less than $1-$2 per month to your electric bill. For context, the average US household electric bill is approximately $150/month. A neon sign adds less than 1% to that total.

Do bigger signs use a lot more electricity?

Proportionally, yes — but "a lot" is relative. A 72-inch giant neon sign uses about 50-70 watts, which is still less than a single incandescent light bulb. Even the largest residential neon signs rarely exceed $3/month in electricity.

Is LED neon cheaper to run than regular LED strip lights?

They're roughly comparable. LED neon uses slightly more power than bare LED strips because the silicone tubing absorbs a small percentage of light (requiring brighter LEDs to compensate). The difference is negligible — typically 1-3 watts more for the same visual output.

Last updated: April 2026. Energy costs calculated using the US national average electricity rate of $0.16/kWh from the EIA.

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