A novel design is proposed for n-electrode with holes to be applied in Thin-GaN light-emitting diodes (LEDs). The influence of the n-electrode with holes on the thermal and electrical characteristics of a Thin-GaN LED chip is investigated using a three-dimensional numerical simulation. The variations in current density and temperature distributions in the active layer of n-electrodes both with and without holes are very tiny. The percentages of light output from these holes are 29.8% and 38.5% for cases with 5 μm holes and 10 μm holes, respectively; the side length of the n-electrode (L) is 200 μm. Furthermore, the percentage increases with the size of the n-electrode. Thus, the light output can be increased 2.45 times using the n-electrode with holes design. The wall-plug efficiency (WPE) can also be improved from 2.3% to 5.7%. The most appropriate n-electrode and hole sizes are determined by WPE analysis.