How Many Years To Break Even On Solar Panels

Example of the break even graph from the solar nerd calculator.

How many years to break even on solar panels.

Given that many solar panels and inverters come with 25 year product warranties you can expect more than two decades of trouble free operation from your solar array. If your break even point is reached within 5 years and you expect to save at least 2 000 a year for electricity assuming you purchased the system with cash then you benefit from around. Solar panels are typically under warranty for 25 years so that s the standard figure used for the lifetime of a system although it s often much longer. For example if you spend 16 000 on a solar panel system then get a tax break of 4 000 the cost after incentives is 12 000.

Increased utility electricity rates and lower equipment costs are making it easier and less expensive to for homeowners to own rather than lease their solar panel systems. Interpreting the solar nerd payback graph. The graph above is a screenshot from the solar nerd calculator. This year most homeowners are paying between 2 87 and 3 85 per watt to install solar and the average gross cost of solar panels before tax credits is 16 800 says energysage s data.