Savings & ROI
Solar savings by state
What an 8 kW system saves over 25 years in each state, with electricity prices rising 3% a year and panels degrading 0.5% a year. Sorted by lifetime savings — note how little the ranking tracks sunshine, and how much it tracks electricity prices.
| State | Year-one savings | 25-year savings | 8 kW cost | Net gain | Return | Break-even |
|---|---|---|---|---|---|---|
| Hawaii HI | $4,374 | $149,132 | $27,200 | $121,932 | 448% | Year 6 |
| California CA | $3,086 | $105,197 | $23,600 | $81,597 | 346% | Year 8 |
| Connecticut CT | $2,332 | $79,510 | $25,600 | $53,910 | 211% | Year 10 |
| Massachusetts MA | $2,294 | $78,206 | $25,600 | $52,606 | 205% | Year 10 |
| Rhode Island RI | $2,270 | $77,397 | $25,600 | $51,797 | 202% | Year 11 |
| New Hampshire NH | $2,178 | $74,251 | $25,600 | $48,651 | 190% | Year 11 |
| Maine ME | $2,118 | $72,206 | $25,600 | $46,606 | 182% | Year 11 |
| New York NY | $1,945 | $66,296 | $25,200 | $41,096 | 163% | Year 12 |
| Arizona AZ | $1,814 | $61,846 | $21,800 | $40,046 | 184% | Year 11 |
| New Mexico NM | $1,681 | $57,306 | $22,200 | $35,106 | 158% | Year 12 |
| Nevada NV | $1,651 | $56,295 | $22,200 | $34,095 | 154% | Year 12 |
| Texas TX | $1,598 | $54,475 | $21,600 | $32,875 | 152% | Year 12 |
| Vermont VT | $1,592 | $54,273 | $25,600 | $28,673 | 112% | Year 14 |
| New Jersey NJ | $1,578 | $53,801 | $24,400 | $29,401 | 120% | Year 14 |
| Colorado CO | $1,572 | $53,576 | $23,400 | $30,176 | 129% | Year 13 |
| Alaska AK | $1,566 | $53,374 | $27,200 | $26,174 | 96% | Year 15 |
| Maryland MD | $1,543 | $52,587 | $24,000 | $28,587 | 119% | Year 14 |
| Washington, D.C. DC | $1,543 | $52,587 | $25,000 | $27,587 | 110% | Year 14 |
| Delaware DE | $1,479 | $50,430 | $24,000 | $26,430 | 110% | Year 14 |
| Alabama AL | $1,477 | $50,340 | $21,400 | $28,940 | 135% | Year 13 |
| Florida FL | $1,463 | $49,890 | $21,800 | $28,090 | 129% | Year 13 |
| Michigan MI | $1,453 | $49,531 | $23,600 | $25,931 | 110% | Year 14 |
| Pennsylvania PA | $1,448 | $49,351 | $23,200 | $26,151 | 113% | Year 14 |
| Wisconsin WI | $1,367 | $46,609 | $23,600 | $23,009 | 97% | Year 15 |
| Illinois IL | $1,339 | $45,665 | $24,000 | $21,665 | 90% | Year 16 |
| Kansas KS | $1,338 | $45,620 | $22,600 | $23,020 | 102% | Year 15 |
| Georgia GA | $1,292 | $44,047 | $21,800 | $22,247 | 102% | Year 15 |
| South Carolina SC | $1,292 | $44,047 | $22,200 | $21,847 | 98% | Year 15 |
| Mississippi MS | $1,274 | $43,418 | $21,800 | $21,618 | 99% | Year 15 |
| Ohio OH | $1,266 | $43,148 | $22,600 | $20,548 | 91% | Year 15 |
| Indiana IN | $1,266 | $43,148 | $22,600 | $20,548 | 91% | Year 15 |
| Minnesota MN | $1,236 | $42,137 | $24,000 | $18,137 | 76% | Year 17 |
| Virginia VA | $1,227 | $41,845 | $23,200 | $18,645 | 80% | Year 16 |
| Iowa IA | $1,200 | $40,901 | $23,000 | $17,901 | 78% | Year 16 |
| North Carolina NC | $1,183 | $40,317 | $22,200 | $18,117 | 82% | Year 16 |
| South Dakota SD | $1,174 | $40,025 | $22,800 | $17,225 | 76% | Year 17 |
| Arkansas AR | $1,165 | $39,732 | $22,200 | $17,532 | 79% | Year 16 |
| Oklahoma OK | $1,163 | $39,643 | $21,800 | $17,843 | 82% | Year 16 |
| Missouri MO | $1,157 | $39,440 | $22,200 | $17,240 | 78% | Year 16 |
| West Virginia WV | $1,154 | $39,328 | $22,800 | $16,528 | 72% | Year 17 |
| Tennessee TN | $1,148 | $39,148 | $22,200 | $16,948 | 76% | Year 16 |
| Utah UT | $1,147 | $39,103 | $22,200 | $16,903 | 76% | Year 16 |
| Wyoming WY | $1,123 | $38,294 | $23,200 | $15,094 | 65% | Year 17 |
| Kentucky KY | $1,114 | $37,980 | $22,200 | $15,780 | 71% | Year 17 |
| Louisiana LA | $1,092 | $37,215 | $21,800 | $15,415 | 71% | Year 17 |
| Nebraska NE | $1,092 | $37,215 | $22,200 | $15,015 | 68% | Year 17 |
| Oregon OR | $1,071 | $36,496 | $24,000 | $12,496 | 52% | Year 19 |
| Montana MT | $1,052 | $35,867 | $23,600 | $12,267 | 52% | Year 19 |
| Idaho ID | $1,001 | $34,114 | $22,600 | $11,514 | 51% | Year 19 |
| North Dakota ND | $957 | $32,631 | $23,200 | $9,431 | 41% | Year 20 |
| Washington WA | $831 | $28,316 | $24,000 | $4,316 | 18% | Year 23 |
Reviewed September 2026, informed by EIA, NREL, LBNL, DSIRE. Cost is the midpoint of each state's assumed range. Undiscounted and before financing, maintenance or inverter replacement; no federal tax credit, which ended for systems installed after 2025. Not a forecast — see methodology.
Frequently asked questions
Which state saves the most money with solar?
On our assumptions, Hawaii, California, Connecticut, Massachusetts, Rhode Island lead for 25-year savings on an 8 kW system. High electricity rates matter more than sunshine: Hawaii tops the list at roughly $149,132 because each displaced kilowatt-hour is worth so much, not because it is the sunniest state.
Where does solar save the least?
Washington, North Dakota, Idaho, Montana, Oregon sit at the bottom, generally because cheap electricity means a displaced kilowatt-hour is worth little — sometimes despite excellent sunshine. Several of these states also credit exported power well below retail.
Do these savings include the 30% federal tax credit?
No. The federal residential clean energy credit (Section 25D) ended for systems installed after December 31, 2025. Every figure here reflects a 2026 purchase with no federal credit applied.
How are these 25-year savings calculated?
Each state's assumed electricity rate and production factor give a year-one savings figure, valuing self-consumed electricity at retail and exports conservatively. That grows 3% a year with electricity prices and shrinks 0.5% a year with panel degradation, compounded across 25 years. It is undiscounted and excludes financing, maintenance and inverter replacement.