Solar Panel Savings Calculator
Thinking about going solar? Enter your electricity costs, available roof space, and local sun hours to get a realistic estimate of system size, annual savings, payback period, and long-term return on investment.
This calculator estimates solar savings using industry-standard assumptions. A typical residential solar panel produces about 10 watts per square foot. Production is calculated as system capacity times peak sun hours times 365 days, with an 80% efficiency factor that accounts for inverter losses, temperature effects, shading, and panel degradation.
Your actual savings depend on whether you can offset your entire electricity bill. If your solar system produces more than you use, the excess may be credited via net metering (policies vary by state and utility). This calculator caps savings at your current annual bill for a conservative estimate.
The payback period divides the system cost by annual savings. Most residential systems pay for themselves in 7-12 years, with the 30% federal solar tax credit (ITC) potentially reducing this significantly. Keep in mind that electricity rates tend to increase over time, which would improve your actual long-term savings beyond this estimate.