When financed through SMUD, solar water heating costs a little bit more than what you already pay SMUD for electric water heating. If you choose to go solar, you will have a net monthly payment of $4.39-$10.15. However, there is a $1,408-$1,558 federal tax credit to offset those payments, and you will see a net savings of $1,286-$1,505 in the first year. For the following 1-3 years you will pay SMUD a little bit extra, but your cash flow will always remain positive and it will never fall below $1,131-$1,495. In ten years, you will see $1,975-$3,281 of accumulated net savings.

Download detailed financial projections.