How are solar panels cost calculated? To calculate $/W, take the total out-of-pocket cost of the system that you are considering and divide it by the number of watts of capacity in the system. For example, a 5kW solar system has 5000 watts. If that system costs $15,000, then the cost per watt is ($15,000 / 5000W =) $3/W.
What is the cost benefits for solar panels? There are two ways in which you can save money with solar: The cost of your monthly payment for your solar panels is cheaper than your current electricity bill. After your solar panels are paid for, electricity is almost entirely free of cost.
Are solar panels actually cost effective? The Cost of Installation
On average, the payback period for residential solar is 6-9 years, but using a solar panel system can ultimately save you thousands of dollars on your electric bill 20 or more years down the road.
How long does it take for solar panels to pay for themselves? The most common estimate of the average payback period for solar panels is six to ten years. This is a pretty wide range because there are many factors that will influence the number of years it can take to pay off your panels and the monthly savings you can expect.