kWh Cost Calculator — Formula
## How to Calculate True kWh Cost
Your true electricity cost includes more than just the generation charge.
### Formula
**All-In Rate = Total Bill / kWh Used**
**Variable Rate = (Total Bill - Fixed Charges) / kWh Used**
### Bill Components
- Generation charge: 50-60% of bill
- Delivery/distribution: 20-30%
- Taxes and fees: 10-20%
- Fixed monthly charges: flat fee regardless of usage
Your true electricity cost includes more than just the generation charge.
### Formula
**All-In Rate = Total Bill / kWh Used**
**Variable Rate = (Total Bill - Fixed Charges) / kWh Used**
### Bill Components
- Generation charge: 50-60% of bill
- Delivery/distribution: 20-30%
- Taxes and fees: 10-20%
- Fixed monthly charges: flat fee regardless of usage
Esempio Risolto
A $150 electric bill for 900 kWh with $15 in fixed charges.
- All-in rate: $150 / 900 = $0.1667/kWh
- Variable rate: ($150 - $15) / 900 = $0.1500/kWh
- Fixed charge share: $15 / $150 = 10%
- Annual cost: $150 * 12 = $1,800