Solar Panel Savings Calculator

Going solar raises three financial questions at once: what the system costs upfront, how long it takes to pay for itself, and what it saves you over 25 years. The tool addresses all three, folding in the 30% federal investment tax credit (ITC) available through 2032 along with any state incentives you qualify for, so the picture you get reflects the real economics of the investment.

System size is derived from your monthly electricity bill and the average sunlight hours where you live, which then feeds an estimated cost per watt. The 30% federal ITC is applied directly to that cost, and any state rebates or performance-based incentives such as SRECs are layered on if you enter them. Dividing the net cost by your annual electricity savings yields the payback period, while the 25-year figure projects forward using an assumed annual rise in electricity prices.

Accuracy here depends on two inputs: a realistic average monthly bill and the specific state and local incentives that apply where you are, both of which can swing the numbers considerably. Rising utility rates over the years also work in your favor, steadily widening the gap between what you would have paid the grid and what your panels produce.