Solar Panel Overview: Monthly Cost & Savings Breakdown

If you’re like most Utah homeowners, you’re always looking for ways to save money on your energy bills. One popular way to do that is by installing solar panels on your roof! Solar panels can help reduce your monthly electricity costs, and in some cases, they can even eliminate them completely.

Many people who are considering adding solar panels to their home or business In this blog post, we’ll go over the monthly cost and savings breakdown of solar panels.

Cost Breakdown of Solar Panels

The cost of solar panels has dropped significantly in recent years, making them more affordable than ever.

Here is a cost breakdown of solar panels that may help you to better understand the investment:

The Initial Cost

The initial cost of solar panels is the most expensive part of going solar. However, there are many ways to finance your solar panel installation and receive tax deductions for installing solar energy. According to Forbes, solar panels cost, on average, about $16,000, or between $3,500 to $35,000 depending on the type and model.

Mynt Solar can help you explore all of your financing options and find the best option for your needs.

The Monthly Cost

The monthly cost of solar panels is usually much lower than your current electricity bill. In fact, many people who install solar panels can end up with a zero-dollar electric bill! However, the amount you save on your monthly energy costs will depend on the size and efficiency of your solar panel system, as well as where you live. For example, homeowners in sunny California can save much more on their monthly energy costs than homeowners in rainy Seattle.

In the right situation, solar can save people thousands of dollars per month by using solar energy. The monthly cost of solar energy is dependent on many things, but on average, people can spend anything from $0 per month to $250. There are many online calculators that will be helpful in determining how much the monthly cost of solar energy would be for your specific home and area.

The Lifetime Cost

The lifetime cost of solar panels is usually much lower than the initial cost. This is because solar panels have a lifespan of 20 to 30 years, and they continue to produce energy for the entirety of their lifespan. Solar panels also have very little maintenance costs, which means that once you install them, you won’t have to worry about them for many years to come.

One incentive for installing solar panels is the tax rebates that can come from both the state and the federal government. Utah is one of the most solar-friendly states in the United States. The state provides several financial incentives for solar panels. In Utah, homeowners who install solar panels may be eligible for a 30% tax credit on the cost of their installation, up to $5,000.

There’s also a $1,600 flat incentive from the state of Utah. Incentives average around $7,000 for most customers. This amount may be paid out over several years depending on your tax payment and earnings.

The federal solar Investment Tax Credit (ITC) is one of the most generous incentives in the country. You may anticipate saving money on your tax return because you will receive a 26% tax credit for the whole cost of your solar system. For example, a $10,000 system will save you $2,600 in federal taxes.

How Much Money Do Solar Panels Save You?

On average, U.S. customers save about $1,500 a year by going solar – $37,500 over the course of 25 years. But for individual solar energy systems, these savings can vary from $10,000 – $90,000 depending on roof size, sunlight exposure, local energy rates, and solar incentives. 

There are many factors that may influence how much you will save by installing solar panels. These include:

  • The size of your solar panel system
  • The amount of sunlight your home receives
  • The local cost of energy
  • State and federal solar incentives

Mynt Solar is a great resource to help you understand how these factors will affect your monthly savings. We can also help you find the best solar panel system for your needs and budget.

Contact Us to Learn More

If you’re interested in learning more about solar panels and how they can save you money, please contact Mynt Solar today. We would be happy to answer any questions you have and provide a free consultation. Solar energy is a great way to save money and reduce your carbon footprint, so don’t hesitate to reach out to us and learn more!