Electricity Cost Calculator

Work out what any appliance costs to run per hour, day, month and year from its wattage and your tariff.

How to use this calculator

  1. 1Find the wattage on the appliance’s rating plate or in its manual.
  2. 2Enter realistic usage — hours per day and days per week.
  3. 3Take the rate per kWh from your bill, and add standby draw if you know it.

How the calculation works

kWh = (watts ÷ 1000) × hours Cost = kWh × rate
watts
The appliance’s power rating
kWh
Kilowatt-hour — one kilowatt drawn for one hour, the unit you are billed in
rate
Your tariff per kilowatt-hour

A kilowatt-hour is energy, not power. A 1000 W appliance running for one hour uses exactly 1 kWh; a 100 W appliance takes ten hours to use the same.

Standby is calculated across every hour the appliance is not in active use, which is why a small constant draw can rival intermittent heavy use.

Standing charges and tiered tariffs are not included — this is the marginal cost of the electricity itself.

Worked example

A 1500 W heater, 3 hours a day, every day, at 0.28 per kWh

  1. 1.1500 W is 1.5 kW.
  2. 2.Per day: 1.5 × 3 = 4.5 kWh, costing 4.5 × 0.28 = $1.26.
  3. 3.Per week: 4.5 × 7 = 31.5 kWh.
  4. 4.Per year: 31.5 × 52 = 1,638 kWh, costing $458.64.

Result: $458.64 a year

What you are actually billed for

A power rating in watts describes how fast an appliance uses energy at a given moment, but a utility bill charges for energy, not power — specifically, for kilowatt-hours (kWh), where one kilowatt-hour is the energy used by a 1,000-watt device running for one hour. A 100-watt device would need to run for ten hours to use that same one kWh. This distinction is why a powerful appliance used briefly, like a kettle, can cost less over a day than a much weaker one left running constantly, like a router or a fridge.

Utilities meter the cumulative kWh a household or business consumes and multiply it by a rate, typically quoted in cents or pence per kWh, to produce the energy portion of a bill. That per-unit rate is often just one line item among several — standing charges, delivery fees and taxes are commonly added on top and are not part of what a wattage-and-usage estimate like this one covers.

Nameplate wattage versus real consumption

The wattage printed on an appliance’s rating plate is its maximum rated draw, not necessarily what it uses on average. Devices with a thermostat or compressor — refrigerators, space heaters, air conditioners, water heaters — cycle on and off to maintain a target temperature, so their real average consumption is often well below the nameplate figure. Devices with a simple, constant load — an incandescent bulb, a resistive heater running flat out, a motor under steady load — track their nameplate rating much more closely.

The most accurate way to know what something actually costs to run is a plug-in energy monitor, which measures real consumption directly rather than assuming full-rated power for every hour of use. A wattage-based estimate like this one is a reasonable planning tool, but it tends to overstate the cost of anything that cycles.

Why standby power adds up

Many electronic devices draw a small amount of power even when switched "off," to keep a clock running, stay responsive to a remote control, or maintain a network connection — commonly a few watts, sometimes more for older equipment. Because that draw runs for every hour of the year the device is not in active use, rather than just the hours it is actually being used, a small constant load compounds into a surprisingly large annual total.

A handful of standby devices spread around a home — set-top boxes, game consoles, chargers left plugged in, smart-home hubs — can collectively use as much energy over a year as one or two appliances that run for a few hours a day. That is the reasoning behind reporting standby draw separately in this calculator’s results, rather than folding it silently into the total.

Flat rates versus time-of-use and tiered tariffs

This calculator assumes a single flat rate per kWh, which keeps the maths transparent but is not how every household is billed. Many utilities now offer or require time-of-use tariffs, which charge more during peak demand hours — typically weekday evenings — and less overnight, or tiered tariffs, where the rate per kWh rises once consumption passes a threshold within a billing period.

Under either structure, the same appliance can cost noticeably more or less to run depending on when it is used, not just how much it is used — running a dishwasher or an EV charger overnight instead of during a peak window can meaningfully cut its real cost even though the kWh figure stays identical. Check your own bill or tariff plan for the structure that actually applies to you.

What this assumes, and where it stops

Assumptions

  • The appliance draws its rated power continuously while in use.
  • A flat tariff with no tiered or time-of-use pricing.

Limitations

  • Thermostatically controlled appliances cycle rather than drawing full power continuously, so this overestimates them — often substantially for fridges and heaters.
  • Standing charges, time-of-use tariffs and tiered pricing are not modelled.
  • Motor-driven appliances draw a large surge on start-up that a wattage rating does not capture.

Common questions

How do I find an appliance’s wattage?

Check the rating plate — usually a sticker on the back or underside — or the manual. If only volts and amps are given, multiply them: 230 V × 10 A = 2300 W. A plug-in energy monitor gives the most accurate figure because it measures real consumption rather than the nameplate maximum.

Does standby power actually matter?

It adds up more than people expect, because it runs for every hour of the year. A device drawing 5 W constantly uses 43.8 kWh annually — comparable to a washing machine used weekly. Across ten such devices in a home it becomes a meaningful share of the bill.

Formula and content last reviewed on .

Results are estimates for information only, not professional advice.

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