Basics of solar panel costs
- Cost per Watt (CPW).
- Number of kilowatts needed for adequate home power.
Factors that impact your final cost
- 26% Federal Investment Tax Credit (ITC).
- Other state and local solar incentives.
If your home needs 5kW (kilowatts) of power, then the pre-incentive cost at a CPW of $2.77 would be $13,850.
With the 26% ITC applied, this 5kW installation would be $10,249.