What Payback Period Means
The payback period is simple: how many years until your electric bill savings add up to what you paid for the system. After that point, the power your panels make is basically free.
Anyone quoting you a payback period should show their math. Here is ours — with real Orlando numbers.
The Math, Step by Step
Let us use a typical Orlando home with an 8kW system.
How much power it makes
Orlando gets 5 or more peak sun hours per day. The rough math: 8kW x 5 hours x 365 days = about 14,600 kilowatt-hours per year. Real output varies with roof angle, shade, and weather — but this is a fair estimate for a good roof.
What that power is worth
Orlando homes on Duke Energy or OUC pay around 13.5 cents per kilowatt-hour. Thanks to Florida's 1:1 net metering, every kilowatt-hour your panels make offsets a kilowatt-hour you would have bought.
14,600 kWh x $0.135 = about $1,970 per year in electric bill savings.
How long to break even
A typical 8kW system costs $14,000 to $21,000 before savings.
- At $14,000: $14,000 / $1,970 = about 7 years
- At $17,500 (middle): $17,500 / $1,970 = about 9 years
- At $21,000: $21,000 / $1,970 = about 10 to 11 years
So the honest 2026 payback range for Orlando is 7 to 10 years. Panels keep working for 25 years or more — which leaves 15-plus years of nearly free power after payback.
With vs. Without the Old Tax Credit
Here is why old payback claims no longer apply. The 30% federal tax credit (Section 25D) ended December 31, 2025. Here is what the same system looked like with it:
- With the 30% credit (2025 and earlier): a $17,500 system cost $12,250 after the credit. Payback: about 6 years.
- Without the credit (2026): the same system costs the full $17,500. Payback: about 9 years.
The credit shaved roughly 3 years off payback. It is gone now — see our honest guide to the expired credit. If a company still quotes you 5-year payback in 2026, ask them to show math that does not include the dead credit.
What Makes Payback Shorter
- Higher electric bills. The more you pay per kilowatt-hour, the faster solar pays off. Heavy AC users do best.
- A great roof. South-facing, unshaded, good angle = maximum production.
- Paying cash. Loan interest stretches payback. Cash buyers break even fastest.
- Rising utility rates. If Duke or OUC rates go up — and they tend to over time — your savings grow every year and payback shrinks.
What Makes Payback Longer
- Shade. Trees or neighboring buildings cutting into production.
- Financing costs. Interest and dealer fees add to the true system cost.
- Adding a battery. Batteries add several thousand dollars and rarely pay for themselves on bill savings alone in Florida.
- Low usage. If your electric bill is already tiny, there is less to save.
The Number Nobody Mentions: 25-Year Savings
Payback gets all the attention, but total savings matter more. A system that pays for itself in 9 years and runs for 25-plus years gives you 16+ years of nearly free electricity. At today's rates, that is tens of thousands of dollars in avoided electric bills — and more if rates rise.
Get Your Real Numbers
Generic math is useful. Your roof's math is better. Fill out our contact form and we will calculate an honest payback estimate for your specific home — no inflated promises.