We all want to do our part to conserve our resources and help the environment. Using cheap solar power is one way to harness the amazing, free energy of the sun and reduce our ecological impact. There are many ways to do this from installing solar roof panels to using solar energy to replace your conventional water heater just to name a few.
But many people do not ever get started because they have a mistaken belief about the upfront solar power cost of production and installation. If the cost of solar power is holding you back in your energy conservation plans, I have 4 words for you – solar energy tax credit .
A solar energy tax credit is issued to you by your local or federal government, sometimes both, in return for your attempt to lower your carbon footprint by employing a solar power plant in your daily life. Think of it as a solar power rebate you can subtract from your overall solar power cost.
Some of these wonderful solar power incentives are one-time payments, but many are ongoing, monthly solar power incentives. In this way, your government hopes to lure you into using solar energy over time, and a solar energy tax credit helps you offset any solar power cost you may have.
Saving you up to 33% of your current electrical bill, the solar power tax credit came about thanks to insightful government bigwigs. I know it is hard to think of your government coming up with sensible legislation, but this is one time they really got it right. The U.S. Environmental Protection Agency (EPA) saw an irreversible energy consumption trend, coupled with limited oil reserves, and knew something had to be done.
They drew up a plan to reward ecologically-friendly Americans for taking steps to limit their consumption of fossil fuels like coal and oil. Coal is used to power most electric power plants, and oil from fossil remains in the ground is refined into many types of gas.
When you realize that using solar capturing devices to harness cheap solar power can entirely replace your monthly fuel costs, AND you earn a solar power tax credit from Uncle Sam, you can see that you may actually MAKE MONEY off of being environmentally conscious.
Hey, I am not going to lie to you. There is sometimes a substantial upfront cost of solar energy implementation. Solar water heaters produce cheap solar power, but could cost as much as $1000 or $2000 dollars. However, once in place, the solar power savings are immediate. You literally see savings from one month to the next, and don’t forget that sweet solar power tax credit from Washington and perhaps even your local politicos.
But there is a closing window you must squeeze into if you want these valuable solar power incentives. A solar power rebate is only offered on new home electrical construction that is begun before January 1, 2017. It luckily applies also to those current homes that retroactively build solar panels to harness solar power.
There is a Manufacturer’s Certification Statement that comes with specific solar panels, water heaters and other power-saving solar devices proving that they are made up to code requirements. You present this with your taxes annually to get your solar power rebates .
And using solar power to heat your consumable water can get you up to a whopping 30% solar energy tax credit as long as the solar heater is not used for your pool or hot tub, and only in your primary residence. If you want to use that tax credit to get cheap solar power your system must be in place before December 1, 2022, and the sun must be the source of at least half of the energy used annually.
As long as you retain a copy of your Manufacturer’s Certification Statement, a representative from the Solar Rating and Certification Corporation will certify your water heater does qualify, and you just got a check from the White House for up to 30% of your annual water bill. And don’t forget the instant savings on your current electrical or gas bill to power your old water heating system. When you factor in the energy savings and government incentives the end result will be the cheap solar power that we’re all looking for.
Claiming your government sponsored savings does not end there. All of the solar power costs associated with the installation of any solar powered device can be claimed on your taxes. That $1500 water heater, solar panels, the contractor that installed them, all can be written off against your tax bill of that year! And these tax cuts are simple to qualify for. As mentioned earlier, keep documentation of the solar powered items and panels purchased, and that is all you need to help you get that cheap solar power.
So consider for a moment the true cost of solar energy applications in your house. There are the material costs, paying a contractor, and the time to do the job. Sounds like any typical house repair or upgrade to me! And this is one upgrade that will pay you back every month, and collect for you a healthy solar power tax credit at the end of the year to boot.
There are many creative ways to dip your big toe into the solar energy pool. Everything from solar leasing to discount solar loans . With very little if no downside, and plenty of upside, don’t you owe it to yourself and your wallet, not to mention Mother Nature, to explore the solar power incentives versus the low cost of solar energy? Get started today with a comprehensive solar plan in your life, and you’ll smile every day
