1. Federal solar tax credit
The federal Section 25D residential clean energy credit ended for qualifying expenditures after December 31, 2025. New homeowner-owned systems installed in 2026 generally receive no federal homeowner credit.
01 / Run your numbers
Does solar make financial sense?
Enter your average bill and a cash purchase quote. Adjust the assumptions if you have details from your installer or utility.
Your solar quote
Exclude unavoidable fixed monthly fees.
Advanced assumptions (optional)
Use your installer's production estimate ÷ system kW.
50% means half is used at home when generated. More daytime appliance use or a battery raises this; being away during daylight lowers it.
Check utility rules; full retail credit is not universal. Export credits are not capped by your bill in this simplified model.
Included in your bill but not reduced by solar. Enter $0 if none or unknown.
Federal homeowner credit is $0 for new 2026 installations.
Cleaning and monitoring only. Inverter replacement is modeled separately in year 13.
One-time cost in year 13. Set to $0 if your warranty covers it.
0% assumes no future rate increases.
Your estimated results
See the numbers.
Calculating…
Estimated cash payback—
Net upfront cost—
First-year solar output—
First-year bill savings + export credits—
First-year benefit after upkeep—
25-year net cash benefit—
Estimated cumulative cash flow
● Cash flow after initial installation cost · 0 to 25 years
02 / What changed
What homeowners should check in 2026
2. Net metering
Your utility may pay less for exported electricity than it charges you. Verify your export compensation and any fixed charges.
3. Financing costs
Compare the cash price against the financed price. Loan fees and interest can change the economics substantially.
4. Local incentives
Some states and utilities still provide incentives. Check your utility, state energy office and DSIRE.
03 / Buy vs. lease
Buying vs. leasing in 2026
Because the federal credit ended only for homeowner-owned systems, many installers now promote leases and power purchase agreements (PPAs). With those, a company owns the panels on your roof and may still be able to claim a federal business credit for a limited time. Ask the provider how that credit is reflected in your price.
| Buy (cash or loan) | Lease / PPA | |
|---|---|---|
| Upfront cost | High, or financed with a loan | Often $0 down |
| Federal credit in 2026 | $0 for the homeowner | May be claimed by the owning company |
| Long-term savings | Usually highest if the price is fair | Usually smaller; depends on the price escalator |
| Maintenance | Your responsibility (warranties help) | Usually handled by the company |
| Selling your home | You sell a system you own | Buyer must qualify for and take over the contract |
Before signing a lease or PPA: check the annual price escalator, the contract length, what happens if you sell, and who pays to remove and reinstall panels if your roof needs replacing.
This calculator models a cash purchase. To evaluate a lease or PPA, compare the contract's monthly payment and escalator against your current bill.
04 / Before you commit
Compare the complete offer.
Get itemized cash quotes. Compare annual production, equipment warranties, financing fees, roof work and what happens if you sell your home.
Compare installer quotes
See whether another installer can beat the price or assumptions in your current quote.
Referral link coming after affiliate approval.Need a deeper calculation?
The Solar Worth-It Calculator Excel workbook models financing, batteries and quote comparisons.
Workbook listing link coming soon.Affiliate disclosure: Some links may earn us a commission at no additional cost to you. Referral payments never change the calculator results.
05 / Questions answered
Frequently Asked Questions
Is solar worth it in 2026?
It depends on your installation cost, electricity rate, sunlight, roof, export credits and how long you plan to own the home.
Should I lease instead of buying?
A lease or PPA can lower upfront cost, but long-term savings are usually smaller and the contract affects a future home sale. Compare the full contract terms against buying with your own quote.
Does this include loan interest?
No. This calculator models a cash purchase. Evaluate loans separately.
Does it include batteries?
No. Batteries require separate modeling of costs, backup benefits, efficiency losses and electricity tariffs.
Is this financial or tax advice?
No. This is an educational estimation tool. Confirm financial, tax, engineering and legal questions with qualified professionals.