The Hidden Cost of Doing Nothing

Electric rates in Ohio have risen steadily over the past several years — about 8% annually on average. For most families, that increase shows up quietly on the monthly bill, but over time, it adds up to something much bigger.

Based on today’s average rate of $0.18 per kWh and typical Ohio household usage of 15,000 kWh per year, here’s what “staying with the utility” really costs:

5 years: ≈ $15,000 paid to your utility

10 years: ≈ $40,000 paid to your utility

30 years: ≈ $305,000 paid to your utility

That’s $305,000 you’ll never see again — money that could have gone toward your family, your home, or your future.

Solar Turns a Bill Into an Investment

Installing solar changes the math completely. Instead of paying an ever-increasing electric bill, you’re investing in a power system that generates clean electricity for decades — dramatically reducing or even eliminating what you owe to the utility.

And the financial benefits don’t stop there. According to SolarReviews (2025), homes with solar sell for an average of 6.9% more than comparable homes without it. That means the value you add to your property can further offset your initial investment.

The Bottom Line

Electric rates will continue to rise. Solar gives you the power to lock in your costs, reduce your long-term expenses, and increase your home’s value — all at the same time.

Every year you wait, the utility bill gets higher. Every year you go solar, those dollars stay in your pocket.

Ready to Run the Numbers for Your Home?

Kokosing Solar has been helping Ohio homeowners take control of their energy costs for 25 years.

Schedule a free assessment to see how much you can save by going solar today.

Solar Energy Tax Credits for Homeowners sunset December 31st 2025 – here’s what homeowners need to know.

As the December 31, 2025, deadline approaches for the 30% Residential Solar Tax Credit (Section 25D), many homeowners are rushing to secure their spot. Unfortunately, you may have heard a common misconception: simply signing a contract, or paying for your solar system, before the deadline is enough to qualify for the credit.

It’s not.

The IRS has answered this question directly—and their guidance couldn’t be clearer:

“An expenditure with respect to an item is treated as made when the original installation of the item is completed.”

In other words, your solar system must be installed and operational by December 31, 2025, to qualify for the 30% credit.

Here’s what that really means and how to make sure you don’t miss out.

Common Questions from Homeowners

What does “installed” mean for solar tax credit purposes (25D)?

In tax terms, “installed” means your solar system is substantially complete—fully built, wired, and capable of operating.

While “Permission to Operate” (PTO) from your utility may come a bit later, the installation itself must be finished and functional before the end of 2025.

Can I pay for the system in 2025 and install it in 2026 to receive the solar tax credit?

No. This is one of the most common misconceptions since the passing of the OBBB. The IRS explicitly states that installation must be completed by December 31, 2025.

A contract, deposit, or even full payment without a completed installation will not qualify you for the 30% tax credit.

Does it matter how I pay—cash or loan?

No. The tax credit applies whether you pay in cash or finance your system through a loan.

However, keep in mind that most solar loans assume the homeowner will use their tax credit to make an early principal payment. As the deadline approaches, some lenders are adjusting their products and timelines to reflect the possibility that homeowners might not receive the credit if installation slips into 2026.

What about batteries or storage systems?

The same rule applies. To qualify under Section 25D, a battery system—whether paired with solar or installed on its own—must be installed and operational by December 31, 2025. After that date, the 25D residential credit no longer applies.

What if part of my payment happens in 2026?

That’s fine—as long as your solar system is installed and operational in 2025.

The IRS considers your expenditure “made” when installation is completed, not when the final payment clears. So if your project is finished in December 2025, you can still claim the full 30% credit on your 2025 tax return, even if part of your invoice is settled later.

How to Protect Your Eligibility

Choose a trusted installer. Work with a company that’s transparent about project timelines and has the workforce capacity to meet deadlines.

Get realistic about scheduling. Be cautious of anyone guaranteeing “last-minute” 2025 installations—capacity will be tight and you want to trust the work of the installer you choose (AKA not rush the job).

Talk to your tax professional. Every homeowner’s tax situation is unique. Confirm how your installation date affects your eligibility.

Don’t Risk 30% Chasing a Misconception

The IRS has made it clear: You cannot claim the 30% Residential Solar Tax Credit (25D) unless your system is installed and operational by December 31, 2025.

Payment or contract date doesn’t qualify—installation completion does.

“An expenditure shall be treated as made when the original installation of the item is completed.” — IRS, Section 25D(e)(8)(A)