Saving Money Through Clean Energy
The Clean Energy House
The 2022 Inflation Reduction Act established tax credits and rebates for American families to save on the upfront costs of clean energy technologies so they could save money on their bills each month—from making home weatherization and efficiency upgrades, to installing new electric appliances, to purchasing an electric vehicle or rooftop solar system.
Hover over each circle in the house below to learn about the consumer incentives made available by the Inflation Reduction Act.
Check the IRS website for the latest information on home clean energy tax credits.
Rooftop Solar
The Inflation Reduction Act made tax credits available to cover up to 30% of the installation costs of rooftop solar systems, saving the average family $300 per year, or $9,000 over the life of the system.
Insulation and Air Sealing
The Inflation Reduction Act established tax credits and rebates for a range of home improvements that reduce energy leakage – keeping homes warmer in the winter, cooler in the summer, and saving money on utility bills – in addition to home energy audits to identify the best improvement options. Insulation material can lower heating and cooling costs by up to 20%, and air sealing (like caulking and weather-stripping) save energy and improve air quality by keeping moisture out.
Clothes Dryer
Electric heat pump clothes dryers are more efficient than conventional electric dryers and gas dryers, helping families save money on each load of laundry. The Inflation Reduction Act launched state rebates that can cover up to 100% of the costs of purchasing and installing a new electric heat pump clothes dryer, depending on household eligibility.
Electric Stove or Oven
Electric stoves, including induction ranges, provide better energy efficiency and indoor air quality than gas stoves, helping families save money and keep unhealthy pollution out of their homes. The Inflation Reduction Act launched state rebates that can cover up to 100% of the costs of electric stoves, cooktops, ranges, and ovens, depending on household eligibility.
Weatherized Windows & Doors
The Inflation Reduction Act established tax credits and rebates for a range of home improvements that reduce energy leakage – keeping homes warmer in the winter, cooler in the summer, and saving money on utility bills – in addition to home energy audits to identify the best improvement options. Windows can be responsible for 25-30% of heating and cooling energy use, and doors can leak significant amounts of energy as well.
Battery Storage
Batteries work by storing energy produced at one point for use at a later time. That means having your own source of backup power even during outages. The Inflation Reduction Act saves families 30% off the cost of battery storage systems installed at home.
Electric Vehicle
The Inflation Reduction Act established tax credits up to $7,500 for new qualified electric vehicles and $4,000 for used qualified electric vehicles – saving families an average of $950 a year on fuel costs. Plus, you may be able to claim a tax credit up to $1,000 for each charging port and for each energy storage property. Find out if your home is eligible here.
Heat Pump
A heat pump provides both heating and cooling for homes, as a super-efficient alternative to furnaces and air conditioners. Installing a heat pump can save a family hundreds of dollars each year on energy bills. The Inflation Reduction Act established tax credits and rebates that can cover up to 100% of the costs of heat pumps, depending on household eligibility.
Heat Pump Water Heater
Support is available to install heat pump water heaters, which can be two to three times more energy efficient than conventional water heaters. The Inflation Reduction Act includes tax credits and rebates that can cover up to 100% of the costs, depending on household eligibility.