How Much Money Can Residential Solar Energy Save You?

residential solar energyOn average, 54% of your home’s annual utility expenses are due to cooling and heating. Fortunately, the earth is hit by over 8 million quads of clean solar energy every year, which can be converted into residential solar energy. Besides being environmentally friendly, solar panel installation will go a long way in saving your finances.

How Much Money Do You Spend On Electricity?

The first thing you need to determine is how much you spend on electricity. Go to your drawer and dig up your utility bills and check how much you spent on energy every month. A typical household might spend around $1,335 on electricity every year.

Once you have your figure, us it to make an estimate of how much it’s likely to cost you in a few years without any changes. Keep in mind that national electricity costs increase by about 2.2% every year during your calculations.

It’s probably a big number. That’s why solar panels are such a great investment. No rising costs, and your utility bills may all but be totally canceled out. A residential solar energy company will be able to advise you on the panel size you need to offset your electricity bills completely.

Will You Still Receive Electricity Bills?

There is a common misconception that you will no longer receive electricity bills once you switch to solar. You may offset your electricity needs, but if you remain connected to the grid, you will still receive an electric bill.

This is because of a policy called net metering, which is available in most states. When you are not using all your residential solar energy, it is sent to the grid in exchange for credits on your electric bills. However, at night you’re allowed to draw electricity from the grid to power your solar panels. That’s why you might still receive an electric bill even after switching to residential solar energy.

Note that the bill may not ask you to make any payments. It may only indicate how your usage was offset. The credits you don’t use will be rolled over to the next month where you can use them. The bottom line is; residential solar energy will undoubtedly lower your electricity bill and in some cases, eliminate the bill completely.

How Much Money Does Residential Solar Energy Save?

On average, you can save anywhere from $10k to $30K or more in 20 years when you invest in residential solar energy. Your savings will be determined by one major factor: the cost of electricity which will vary one year to another depending on where you live. Solar will prove to be a risk-free investment with a significant return on your savings.

Solar energy is the future of energy. It is not only efficient but also saves you money and saves the environment. Contact a solar energy company if you are looking for a long-term solution to your utility bills.