Estimating Solar Savings: How Much Do Solar Panels Actually Save You?

There's been a major increase in the number of people relying on solar energy over the last decade. In fact, solar energy has seen an annual growth rate of 50 percent!

Estimating Solar Savings: How Much Do Solar Panels Actually Save You?

There are lots of reasons why people are choosing to go solar. While many people are looking to reduce their carbon footprint, plenty of others are also focused on reducing their electric bills.

We've all heard that switching to solar energy can save you money. How much money are we talking about, though?

Read on to get all the details on solar savings and find out whether or not it's worth it for you to make the switch.

How Solar Saves You Money

There are a lot of ways that switching to solar energy can help you save money. The following are some of the most well-known and effective:

Reduced Energy Expenditure

When your home is solar-powered, you use free energy that comes from the sun. As a result, you get to rely less on electricity. 

It's important to note that you will still receive an electric bill as long as your home is connected to the grid. You'll likely find that it's a lot lower than it used to be, though.

Solar Incentives

There are lots of incentives that help you save more money when you switch to a solar-powered home.

You can take advantage of federal and local tax breaks and tax credits if you install solar panels and reduce your energy usage. This is a great way to reduce your yearly tax bill and keep more of your hard-earned money in your pocket where it belongs.

Zero Down Programs

You can also utilize zero down programs (programs that allow you to switch to solar without having to make any kind of downpayment).

This allows you to make your home a solar-powered one sooner. As a result, you'll be able to start saving money more quickly, even if you can't afford a complete solar panel system yet.

Factors That Influence Solar Savings

Okay, you're convinced that going solar can help you save money. How much money can you really save, though?

It's important to note that some people will notice more significant savings than others. Everyone can save money long-term by making the switch to solar, but some people will start to see returns sooner.

The following are some factors that influence how much money you save when relying on solar energy:

Sunlight Exposure

If you live in a state that provides a lot of sunlight exposure, you're going to get more bang for your buck when it comes to solar power.

Everyone in the U.S. can utilize solar energy (even those who live in cloudy states). However, people in sunny states may notice more advantages. 

The position of your home plays a role, too. You'll need to think about its orientation to the sun, as well as the amount of shade your roof gets and the type of roof you have.

Government Trade Policies

Government trade policies have an impact on the price of solar panels, too. For example, when President Trump put a tariff on solar panels in 2018, experts estimated that the price of installation would increase.

Keep an eye on government policies to see how they affect prices and tax credits associated with solar panel installation.

Local Incentives

Different states offer different incentives for residents switching to solar energy.

Depending on your location and how “green” your state is, you may stand to save more or less than others when you make the switch.

In general, it'll likely be a net positive either way. Some people will see greater savings and tax breaks than others, though.

System Price

Of course, you also have to think about the price of your solar panel system.

In states where there aren't a lot of solar installers, you may have to pay more money to make the switch than in states where there's a lot of competition and you have your pick of solar panel companies.

How to Save More Money on Solar

At the end of the day, it doesn't matter where you live. If you decide that you want to switch to solar energy, there's a way to do so without totally draining your bank account.

The following are some tips that will help you save money while getting ready to go solar:

Start Small

If you can't afford a full system of solar panels on your roof, don't worry. You can still reduce your energy usage by making small changes.

For example, you could switch to a solar-powered water heater or solar-powered outdoor lights. The website also recommends using a portable solar generator.

Get Multiple Quotes

It's a good idea to get quotes from multiple installers if possible. This can help you save quite a bit of money and ensure you're getting the best value possible.

Consider Smaller Companies

Remember, large installation companies don't always have the best prices. Sometimes, it's best to work with a smaller company that's just getting started. They might offer better deals to help them be competitive with larger brands.

Compare Equipment

Don't forget to compare the price of equipment, too. Remember, there's more that goes into switching to solar than the price of the installation.

Are You Ready to Go Solar?

There are definitely benefits that come with switching to a solar-powered home.

In many cases, making the switch can help the planet and help you keep more money in your bank account. This is especially true if you take steps to go solar in the most budget-friendly way possible.

Now that you know more about the solar savings you can experience (and how you can maximize them), are you interested in making the switch? If so, keep these tips in mind to make the transition as simple and affordable as possible.

Don't forget to check out the Eco-Friendly section of our site, too. You'll find more ideas here on how you can save money while also going green.

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.