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Solar Payback Calculator

Calculate the payback period and 25-year savings of solar panels from system cost, incentives, production, your electricity rate and rate increases.

System cost before incentives ($)

Rebates & credits you qualify for ($)

Yearly production (kWh)

Electricity price ($/kWh)

Price increase per year (%)

Panel degradation per year (%)

Maintenance per year ($)

How to use it

Enter the installer's quote and any rebates or credits you are sure to receive.
Yearly production comes from the quote or PVWatts.
Use the rate you save per kWh - lower if your utility pays less for exported power.

How it works

Each year: savings = production × rate − maintenance; rates rise and output falls slightly. Payback is the year cumulative savings exceed the net cost. Net-metering rules matter a lot: if exported power earns less than retail, self-consumption and batteries change the math.

FAQ

What is a typical solar payback period?

Often 7-12 years in the US depending on cost, sun, electricity prices and incentives - shorter where rates are high.

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