How Much Money You Can Save If You Install Solar Panels?

There are several factors to consider when figuring out how much money you will be able to save on your monthly energy bill with solar panels.

 

Let's take a look at some of the most important ones:

 

1) How many people live in your home and what their energy requirements are?

A larger home with many occupants will use up more energy than a smaller house with fewer people.

2) How is the weather where you live?

If your location gets a lot of sunlight, then your options for solar power generation will be far higher than if your location receives very little sun. This can affect installation costs too as you will need to use more panels if you live in a region that doesn't get much sunlight.

3) Where is your home located?

If it is on the outskirts of town or out in the country, then that may affect how easy it is for you to sell excess power back to the grid.

4) What are your current energy bills?

The more you are spending on electricity, the sooner you will begin to see returns on your solar panel investment.

5) Are there any local or federal subsidies for homeowners who want to use more renewable energy sources like solar power?

In 2022, the federal tax credit for solar panel installation is 26% of the total cost of your solar panel system.  This tax credit is set to reduce to 24% after December 31st 2022. This is a good way to reduce installation costs and get lower monthly payments.

The cost of installation and what percentage is subsidized in different regions of the US can affect how much money an individual will save per month on their energy bills.

Although there are many other factors to consider, these are some of the most important. If you want to get a more detailed estimate for your location, please contact one of our energy consultants.

 

In Summary

 

The amount of money you will save on your electricity bill is dependent on several factors – including how many panels you have installed, where they are located and the size of the system.

The average household consumes between 900 to 2000 kWh of electricity every month. This number is based on averages for the US as whole. Since it varies by state, location and other factors such as insulation, heating and cooling systems, size of the house etc., this is only an approximation. In general, a 5 kilowatt solar panel system can produce an average of 3,300 kWh every year which is enough to cut your monthly electric bills by around 70-80%.

It is difficult to calculate how many solar panels you will need to install based on this information because there are several factors that influence the cost. For example, the number of panels needed is determined by how much electricity you use over time and if you are selling your excess power back to the grid or not.

Additionally, the cost of installation per watt is decreasing over time which means savings for you. You can also cut your monthly bills by selling excess solar power back to the electric company with a credit meter installed in your home.