Is there a federal solar tax credit in 2026?

No. The federal residential solar credit (Section 25D, 30%) expired December 31, 2025 under the One Big Beautiful Bill Act. Systems installed in 2026 receive no federal residential credit; only the commercial 48E credit remains, claimed by the owner of leased or PPA systems.

Is solar still worth it in 2026 after the credit ended?

Yes in high-rate states with good incentives. Payback periods are 2–3 years longer without the federal credit, but states like Massachusetts, New Jersey, and New York still pay back in roughly 8–12 years for a typical 6 kW system. The answer is highly state-specific — see the 50-state ranking.

Which states have the fastest solar payback in 2026?

States with high electricity rates and strong net metering lead: Massachusetts, Connecticut, Maine, Rhode Island, New Hampshire, and New Jersey typically pay back fastest (under ~10 years at 2026 rates). State incentives like SMART, SRECs, and net billing terms are the deciding factor now that the federal credit is gone.

PVFig | Is Solar Worth It in Your State? 50-State Solar ROI & Payback

Direct answer

2026 direct answer: the 30% federal residential solar credit (Section 25D) expired Dec 31, 2025 and does not apply to 2026 installations. Solar is still worth it in states with high electricity rates and strong incentives — payback ranges from ~8 years (Massachusetts, New Jersey, New England) to 15+ years (low-rate, weak-policy states). Every state page shows the real EIA rate, NREL PVWatts production, net metering, and incentives with sources. The commercial 48E credit still applies to leased/PPA systems.

2026 reality check: the 30% federal residential solar tax credit ended Dec 31, 2025. Payback periods are now 2–3 years longer in most states. State incentives matter more than ever — and they vary wildly. That is exactly what this site is built to show you.

Solar Calculators

Solar ROI Calculator

Calculate solar payback period, 25-year savings, and ROI for your state. Real EIA electricity rates, NREL PVWatts production, and state incentives — updated for 2026 (federal ITC expired).

Try it →

Reverse Solar Payback Calculator

Work backwards: set a target payback period and see what electricity rate, export credit, or state incentive you need to hit it. Free, instant, no sign-up.

Try it →

Compare Solar Economics Across States

Compare electricity rates, solar production, payback period, and state incentives side by side for any 2–3 U.S. states. Free interactive comparison tool.

Try it →

Is Solar Worth It For Me?

Answer 5 quick questions about your state, electricity bill, roof, and plans. Get a personalized green / yellow / red verdict on whether solar is worth it for your home in 2026.

Try it →

Solar Financing: Cash vs Loan vs Lease

Compare the real 25-year cost of buying solar with cash, financing with a loan, or leasing. See why cash has the highest IRR and leases deliver the lowest long-term value.

Try it →

Solar Battery Payback Calculator

Estimate whether adding battery storage to your solar system pays off — critical for NEM 3.0 states like California where export credits are low.

Try it →

SREC Income Calculator

Estimate annual and 15-year income from Solar Renewable Energy Credits (SRECs) in NJ, MD, IL, PA, and other SREC states. Current 2026 market prices.

Try it →

Solar System Size Calculator

Find the right solar system size in kW and number of panels for your home, based on your electricity usage, state, and coverage goal.

Try it →

Solar + EV ROI Calculator

See how adding an electric vehicle changes your solar payback: EV charging cost, fuel savings vs gas, and the combined solar + EV payback period for your state.

Try it →

Electricity Rate Sensitivity Calculator

See how much electricity price escalation (0%, 3%, or 6% per year) changes your solar payback period, 25-year profit, and IRR. Utility rates are the biggest lever in solar ROI.

Try it →

Fastest Solar Payback States (2026, 6 kW @ $3/W)

Rank	State	Electricity (¢/kWh)	Est. Payback	Net Metering	Highlight
#1	New Jersey	23.3	~0.6 yr	Full retail	SREC ~$85/MWh
#2	Illinois	19.1	~0.7 yr	Full retail	SREC ~$75/MWh
#3	Maryland	21.2	~0.7 yr	Full retail	SREC ~$65/MWh
#4	District of Columbia	24.6	~0.7 yr	Full retail	SREC ~$40/MWh
#5	Massachusetts	30.1	~0.6 yr	Full retail	SREC ~$30/MWh
#6	Delaware	17.4	~0.9 yr	Full retail	SREC ~$30/MWh
#7	Pennsylvania	20.8	~0.8 yr	Full retail	SREC ~$25/MWh
#8	Ohio	18.4	~1.1 yr	Full retail	SREC ~$8/MWh

Estimates for a 6 kW system at $3.00/W with ~15% average state-incentive offset, 70% self-consumption. Not a quote. See the full 50-state ranking.

Solar by State

Every state has its own electricity rates, production, net metering rules, and incentives. Browse the state guides to see exactly what solar pays where you live: