Invest in solar panels upfront and enjoy immediate electricity bill savings, the full benefit of government incentives, and increased home value.
Finance Options
Explore flexible financing options designed to make solar power more accessible and affordable. Whether you prefer upfront payment, financing, or leasing, we’re here to guide you toward the best solution to maximize your savings and benefits.
Solar Financing
Description
Finance your system with a solar loan, allowing you to own your solar panels and reap the rewards of tax credits and incentives while spreading out the cost.
Pros
Ownership of the system with the flexibility to pay over time; interest may be tax-deductible.
Cons
Interest adds to the overall cost of the system.
Benefits:
Enjoy the financial incentives of solar ownership while spreading out the initial cost.
Solar Leases
Description
Lease a solar system with little to no upfront costs and fixed monthly payments, making it easy to start saving on your energy bills right away.
Pros
Little to no upfront costs and fixed monthly lease payments.
Cons
No tax benefits as you don’t own the system; may have less long-term savings compared to owning.
Benefits
Immediate savings on electricity bills without the responsibility of maintenance.
Hybrid Financing
Description
Combine different financing methods, such as a partial loan and cash payment, to tailor the financial approach to your needs.
Pros
Customizable financing that can combine the advantages of different options.
Cons
Can be more complex to manage and may not optimize all potential benefits.
Benefits
Tailored to individual financial situations, offering a balance between upfront costs and long-term benefits.
Power Purchase Agreement
Description
Agree to a PPA and pay for the power your system produces at a rate typically lower than the utility company’s, with no upfront installation costs.
Pros
No upfront installation costs and payment is only for the power you use, often at a lower rate than the utility company.
Cons
No ownership or tax benefits, and long-term savings are generally less than owning the system.
Benefits:
Avoids the complexity of system management and typically includes performance guarantees.
Get Started, Today
Discover the best solar financing option tailored to your budget and energy goals, and unlock immediate savings and long-term benefits. Contact us today for expert guidance and take the next step toward a brighter, more affordable future with solar.
Government Incentives
Maximize your solar investment with government incentives and tax breaks, reducing costs and boosting long-term savings.
Government Incentives and Tax Breaks
Take advantage of incentives like the Federal ITC, which allows you to deduct a percentage of your solar system cost from your federal taxes. State and local incentives can further reduce your net cost, while net metering programs can provide ongoing bill credits for excess energy produced.
Aligned is here to help you understand and choose the best financing option for your needs. Contact us for expert guidance and to maximize the benefits of your solar investment.
Understanding Government Incentives for Solar Energy
When considering the switch to solar energy, it’s important to explore the range of government incentives that can make your investment more affordable.
These incentives are designed to encourage the adoption of renewable energy by offsetting initial costs and providing ongoing financial benefits.
Federal Investment Tax Credit
One of the most significant incentives is the Federal Investment Tax Credit (ITC), which allows you to deduct a portion of your solar system’s cost from your federal taxes. The ITC is available to both residential and commercial customers and applies directly to the total cost of installing a solar energy system.
State and Local Incentives
In addition to the ITC, many states offer their own incentives, such as tax credits, rebates, or grants. These can vary widely depending on where you live, so it’s crucial to research what’s available in your area. Some states also have Renewable Portfolio Standards (RPS) with solar carve-outs that require utilities to generate a certain percentage of their power from solar energy, potentially offering additional incentives for solar system owners.
Net Metering Programs
Net metering programs allow you to earn bill credits for any excess energy your solar panels produce and send back to the grid. This can significantly reduce your monthly electricity bills and increase the return on your solar investment.
Performance Based Incentives (PBI's)
Some regions offer PBIs, which pay solar system owners a per-kilowatt-hour credit for the electricity their systems generate over a specified period. These incentives provide an ongoing benefit that can improve the economics of going solar.
Property Assessed Clean Energy (PACE)
PACE programs allow homeowners to finance their solar installations through a special assessment on their property tax bill, repaid over time. This can be an attractive option because the debt is tied to the property rather than the individual.
Seek Professional Advice
While Aligned Solar Consulting is dedicated to guiding you through the process of going solar, including understanding the incentives you may qualify for, we are not Certified Public Accountants (CPAs). We strongly recommend consulting with a professional tax advisor or CPA to ensure you fully capitalize on the available solar incentives. A tax professional can provide personalized advice based on your financial situation, helping you navigate the complexities of tax laws and maximize your benefits.
By taking advantage of these government incentives
you can significantly reduce the upfront cost of your solar system and enjoy ongoing savings. With the right guidance and expert advice, solar energy can be an even more attractive and viable option for your home or business.