SuSI Successor Solar Incentive program adds $85/MWh; among the most lucrative in the U.S.
Avg residential rate18¢ / kWh
Avg system cost$3.00 / W ($30,000 for 10 kW)
Peak sun hours / day4.3
Net meteringFull Net Metering
State tax creditNone
Federal tax credit30% (Residential Clean Energy Credit, through 2032)
Property tax exemptionYes
Sales tax exemptionYes
New Jersey payback by monthly electric bill
The bigger your current bill, the faster solar pays back. Here's how the numbers work out for a typical New Jersey home:
Monthly bill
System size
Gross cost
Federal credit
State credit
Net cost
Year-1 savings
Payback
$100
5.2 kW
$15,510
−$4,653
$0
$10,857
$1,139
8.7 yr
$150
7.8 kW
$23,280
−$6,984
$0
$16,296
$1,710
8.7 yr
$200
10.4 kW
$31,050
−$9,315
$0
$21,735
$2,281
8.7 yr
$300
15.5 kW
$46,560
−$13,968
$0
$32,592
$3,420
8.7 yr
Assumes 95% bill offset, 3% annual rate inflation, 0.5% annual panel degradation, and a 25-year system life.
Calculate your exact New Jersey solar payback
Enter your real monthly electric bill to see your personalized payback estimate.
Best path forward in New Jersey
The fastest, free way to see real installer quotes for your roof is to use a marketplace like EnergySage. You'll get up to 4 competing bids from local pros without phone harassment.
Frequently asked questions about solar in New Jersey
How long does it take for solar panels to pay for themselves in New Jersey?
For a typical New Jersey home with a $150/month electric bill, a 7.8 kW system pays for itself in about 8.7 years. Higher bills (or higher state incentives) shorten this; lower bills lengthen it.
What's the average cost of solar panels in New Jersey?
New Jersey installers average $3.00 per watt before incentives. A typical 10 kW system costs roughly $30,000 gross, or about $16,296 after federal and state credits.
Does New Jersey offer a state solar tax credit?
New Jersey does not offer a state-level solar tax credit. However, the 30% federal Residential Clean Energy Credit still applies, and there may be utility rebates in your service area.
Does New Jersey have net metering?
Yes — New Jersey has full retail net metering, meaning you get one-for-one credit for any excess solar exported to the grid. This is the most favorable arrangement for solar owners.
Are solar panels worth it in New Jersey in 2026?
For most New Jersey homeowners with a monthly electric bill above $100, the answer is yes — payback typically lands between 6.1 and 11.3 years depending on roof orientation, shade, and incentive timing. The 30% federal credit is locked in through 2032, removing a major timing risk.