Last updated: January 2026
If you’re thinking about going solar in 2026, here’s the good news: solar is still one of the smartest investments New Jersey homeowners can make.
Yes, the 30% federal tax credit (for new installs) has ended for most homeowners — but the core economics of solar in New Jersey are still strong. Here’s why:
You Can Still Save Thousands
Let’s start with the bottom line: NJ solar still offers multiple incentives, bill savings, and long-term ROI — and those haven’t gone anywhere.
1. Monthly Savings from Day One
Whether you pay cash, finance with a loan, or choose a zero-down lease, you’re often replacing your utility bill with a lower solar payment — or in some cases, no payment at all if you purchase outright.
Most homeowners save $100–$250/month depending on usage and system size.
2. SuSI Incentive Pays You for 15 Years
New Jersey’s Successor Solar Incentive (SuSI) pays homeowners around $85 per 1,000 kWh of electricity produced — that’s typically $600–$900 per year for a standard system, paid out for 15 full years.
That adds up to $10,000+ in cash incentive payments, just for producing clean energy.
3. Net Metering Still Means Dollar-for-Dollar Credit
If your system overproduces during the day, net metering lets you earn credit for that excess — and use it at night or during cloudy seasons. Your utility meter literally runs backward.
That means more energy savings without needing a huge battery system.
4. You Still Pay $0 Sales Tax
Solar equipment is 100% exempt from NJ’s 6.625% sales tax. On a $22,000 system, that’s a $1,450 savings right off the top.
5. You Still Avoid Property Tax Increases
Solar adds value to your home, but NJ protects you from paying more in property taxes. That’s baked into the state law — and it’s a permanent win.
Real-World Example: What It Looks Like in 2026
Let’s say you install an 8 kW system (typical for NJ homes).
That’s over 50% in total value, without a federal credit.
Which Solar Path Is Right for You?
Cash Purchase
- Biggest long-term savings
- No interest or monthly payments
- Fastest ROI (5–8 years typical)
- Still qualifies for NJ SuSI + net metering
Loan
- Bill swap structure — solar payment replaces utility bill
- Full ownership and long-term savings
- SuSI + net metering still apply
- Loan terms from 7–25 years available
Lease or PPA
- $0 upfront and guaranteed savings (lower than your utility bill)
- No maintenance or ownership responsibilities
- Best if you’re focused on monthly cash flow
- SuSI is claimed by the lease provider (not you), so monthly savings are smaller — but still real
And Let’s Not Forget the Green
Even without the federal tax credit:
- You’re powering your home with clean, local energy
- You’re cutting your carbon footprint by 6,000–10,000 lbs/year
- You’re helping stabilize the NJ grid and supporting energy independence
Final Word: Solar in 2026 Still Delivers
While the 30% federal credit was a great short-term bonus, the real wins were never about the tax refund.
The monthly savings, state incentives, resale value, and energy independence are all still here. And with NJ’s SREC-style program and net metering still in place, your solar panels are still earning real money for years to come.
Bottom line: Solar is still a great deal in 2026 — just with a slightly longer runway.
Ready to Explore Your Options?
Whether you want to pay upfront, finance, or go lease-based — Solar Me will walk you through every option and show you exactly how solar can work for your home. Schedule your free consultation now.
