SolarPaybackHQ

New York Solar Calculator — 2026 Costs & Payback

New York stacks the strongest residential solar incentive package in the US for 2026: NY-Sun rebate ($400–$1,500), 25% state tax credit (capped at $5,000), property tax abatement, and full net metering at retail rates. Combined with New York's high $0.22/kWh average residential rate, payback periods of 6–8 years are typical despite lower irradiance (1,290 kWh/kW vs 1,700 in Arizona).

US Solar Payback Calculator — 2026

Get an accurate solar payback estimate for your state using NREL solar irradiance, EIA electricity rates, and the 30% federal Investment Tax Credit.

Recommended system size
3.5 kW
Producing approximately 5,670 kWh/year at 1620 kWh/kW production factor for California.
Gross system cost
$10,850
at $3.1/W installed
Federal ITC (30%)
−$3,255
Net cost after incentives
$7,595
Payback period
6.8 years
$1,116/year savings at current electricity rates and avoided-cost export rate. 20-year net benefit projection: $20,164.
Get real installer quotes for your roof

The numbers above are based on state averages. Real quotes vary by roof orientation, shading, panel type, and installer. Compare quotes from 3+ pre-vetted installers in your area — free, no obligation.

California solar specifics

Highest electricity rates in the lower 48. NEM 3.0 (since April 2023) cuts export rates ~75%. Battery storage now near-mandatory for payback.

Methodology & sources

Solar irradiance per state: National Renewable Energy Laboratory (NREL) PVWatts PSM3 typical-year data, weighted state average for residential rooftops.

Electricity rates: EIA Form 826 monthly residential rates (most recent September 2025 data).

Federal ITC: 30% through 2032 under the Inflation Reduction Act (Section 25D).

State incentives: DSIRE (Database of State Incentives for Renewables & Efficiency) as of April 2026.

Inflation assumptions: 2.5% annual electricity price increase (EIA AEO 2024 reference case), 0.5% annual panel degradation (NREL standard).

Self-consumption assumption: 45% direct self-consumption without battery — typical for residential without storage.

Deep dive — solar in New York

NY-Sun rebate (most don't know about): New York State Energy Research and Development Authority (NYSERDA) offers tiered rebates by region:
- Long Island: $300/kW base (capped 7 kW = $2,100)
- Upstate: $250/kW base (capped 7 kW = $1,750)
- Con Edison/Westchester: $200/kW base

The rebate is paid to the installer, who passes the savings to you in lower upfront cost. Confirm this is itemized on your quote.

25% New York State Solar Tax Credit: $5,000 maximum, applied against state income tax. Can be carried forward 5 years if you don't owe enough state tax in year 1.

Property tax abatement: NYC residents get a 20% property tax abatement on their solar installation cost over 4 years. Outside NYC, full property tax exemption for the added solar value is automatic.

Net metering: New York retains full 1:1 retail net metering for residential customers under 25 kW. Reform discussions ongoing but no cuts implemented.

Best NY utilities for solar:
- Con Edison (NYC + Westchester) — clean interconnection, ~3-4 weeks
- National Grid (most of upstate) — slower interconnection but reliable net metering
- NYSEG — full net metering

Practical example: A 7 kW system in upstate NY:
- Gross cost: $22,400 ($3.20/W)
- ITC (30%): −$6,720
- NY-Sun rebate: −$1,750
- NY State 25% credit: −$3,500
- Property tax exemption: ongoing benefit
- Net cost: $10,430 — among the lowest in the US after stacking incentives.

New York solar FAQ

How much is the New York state solar tax credit?

25% of system cost, capped at $5,000. Applied against your state income tax. Carries forward 5 years if not used in full year 1.

What is NY-Sun and how do I get it?

NYSERDA rebate of $200–$300/kW depending on region. Paid directly to your installer who deducts it from your project cost. Make sure it appears on your quote.

Does New York City have additional solar incentives?

Yes — a 20% property tax abatement on solar installation cost over 4 years for NYC homeowners.

What is the average solar payback in New York 2026?

6–8 years for a typical system with full incentive stack. New York has the best incentive package among Northeast US states.