According to the latest SEIA statistics, more people are installing solar panels than ever before. In the first quarter of 2022, residential installations soared by 30% over last year’s figures.
That’s because the federal government is doing all it can to help homeowners discover the benefits of solar panels, especially when it comes to saving money.
Keep reading to find out how much money you could save with a solar panel installation.
The Cost of Installing Solar Panels
Cost is a big factor for homeowners when installing solar panels. The average price of a solar installation in the U.S. is between $13,000 and $17,000, depending on the types of solar panels you install.
You can deduct 26% of your installation costs from your annual taxes in 2022 according to the ITC. This discount brings the cost down to about $10,000 to $14,000.
Depending on where you live, you may also benefit from savings on sales tax for solar equipment, property tax savings, and discounts from power companies.
The Cost to Maintain Your Solar Panels
The best solar panels available should serve you for around 20 years. During this time, it requires little maintenance except cleaning and routine checks for cracks and rust.
It’s best to hire a professional solar maintenance company to see to these issues and ensure your solar panels keep performing at their best.
According to this guide on solar panels, a three-month maintenance contract will set you back $150. This includes monitoring your solar system’s performance, cleaning, and repairs if needed.
How Much Can You Save on Your Electricity Bill With Solar?
An off-grid installation allows you to enjoy the best advantages of solar panels, with a 100% reduction in your electricity bills. So, it’s easy to work out your savings by comparing the cost of your solar loan installments with your average electricity bill.
The average homeowner pays off their loan within 10 years, but your solar panels will last a lot longer than that.
Net metering is another popular choice for those who install solar panels. Through this, you stay connected to the grid and use power from a power company when needed.
In return, you send some of the electricity generated by your solar installation back into the grid and receive a corresponding credit on your electricity bill.
If you opt for a solar PPA (power purchase agreement), the power company pays for your solar installation and takes all the electricity generated by your solar panels.
You use electricity from their grid at a cheaper rate than what you’d usually pay for electricity in your state.
Most grid-connected homeowners save around $1,500 annually by installing solar.
Solar Power Can Help Save Us All
Installing solar panels won’t only save you money, it helps protect the planet too. When you turn your back on fossil fuels, you’re taking positive steps toward reducing carbon emissions and putting an end to increasing global warming.
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