As the cost of living continues to increase, it's wise to look for solutions to reduce your long-term expenses. Investing in solar panels for your home is an excellent solution for reducing your recurring energy costs and adding value to your home. Here's what you need to know about the financial benefits of solar in Las Vegas.
You'll Experience Significant Savings on Your Energy Bills
While installing solar panels has an initial cost, the ability to produce your own solar energy will reduce your energy expenses for decades. On average, solar panels have a lifespan between 25-30 years.
Even after accounting for the initial installation costs for solar panels, you'll save thousands of dollars on your electrical costs. Should your solar benefits generate more energy than your home needs, you'll receive credits for your unused energy that you can use on future electrical bills.
If your household spends an average of $160 on electricity each month, this equals an annual expense of $1,920. Over 25 years, your electricity costs will amount to $48,000, a figure that doesn't account for increases in utility rates.
There are Tax Benefits That Offset the Cost of Installing Solar in Las Vegas
While the final cost will depend on the size and design of your home, most individuals pay between $15,000 and $20,000 for their solar panels. Federal incentives offer valuable savings and help homeowners lower their installation costs.
The Residential Clean Energy Credit allows you to receive a credit equal to 30 percent of the installation cost for your solar panels on your next tax return. If it costs $20,000 to add solar panels to your home, this means you'll receive a $6,000 federal tax credit.
A tax credit reduces the amount that you owe for your taxes dollar for dollar. For example, if you qualify for a $3,000 credit and you have a tax obligation of $4,000, you'll only owe $1,000.
This credit is currently scheduled to run through the 2032 tax year, and there's no limit on the amount of the tax credit. The Residential Clean Energy Credit is nonrefundable; this means that if your credit exceeds your tax bill, you won't receive money for the portion that exceeds your tax obligation. However, you can carry over the unused portion of your tax credit forward to use on future tax returns.
Request a Free Estimate
Thanks to the large number of sunny days, solar in Las Vegas is a terrific investment for many Las Vegas homeowners. Solar panels allow you to save money and live a more eco-friendly lifestyle.
Ready to request a free quote for your home? Cooper Roofing & Solar has years of experience helping residential and commercial clients. Visit us online or call 702-688-7940 to get started.