Solar Payback Calculator

State guide

Solar payback in Indiana (IN) — 2026

How Indiana compares with the other 50 records in this dataset
MeasureIndianaDataset medianRank of 51
Avg residential rate15.3¢/kWh14.8¢/kWh21st highest
Annual insolation4.6 kWh/m²/day4.6 kWh/m²/day26th highest
Modeled payback13.6 years13.5 years28th fastest

Rates from the EIA; insolation from NREL's NSRDB. Ranks and medians are computed across the 50 states and DC covered by this site. Payback is modeled for a 7 kW system at $3.20/W with no federal credit applied — see the disclaimer for the full assumption set.

Indiana pays about 15.3¢ per kilowatt-hour for residential electricity and receives about 4.6 kWh per square metre per day of sunlight — 21st and 26th respectively among the 50 states and DC tracked here. Those two numbers set the ceiling on what rooftop solar returns in Indiana, and they point in opposite directions.

Where Indiana sits against the rest of the country

Indiana is 0.5¢/kWh above the median residential rate across this dataset (14.8¢/kWh) and level with the median insolation (4.6 kWh/m²/day). Under this site's standard assumptions, that combination puts Indiana 28th of 51 for modeled payback speed, at 13.6 years against a dataset median of 13.5 years.

What actually drives payback in Indiana

Indiana is rate-led: upper half of the dataset for electricity price (21st), lower half for sunlight (26th). Swap Indiana's sunlight for the dataset median and payback moves to 13.6 years (0.0 years of swing). Swap its electricity rate instead and payback moves to 14.0 years (0.4 years of swing). The rate swap is the larger of the two, so what a kilowatt-hour costs is the input deciding the outcome in Indiana.

State incentives on record

Recorded for Indiana: Net metering phased down by SEA 309 (excess generation credited near wholesale); property tax deduction; no income tax credit.

No federal credit is applied above (Section 25D expired 31 December 2025), and export terms often matter more than the headline rate (net metering guide).

The modeled system, in numbers

At Indiana's sunlight level a 7 kW array produces roughly 9,167 kWh a year, worth about $1,403 in first-year bill savings at 15.3¢/kWh against an assumed $22,400 installed cost. A ten-year payback at this sunlight level would require a residential rate of about 21.9¢/kWh, which is 6.6¢ above what Indiana households pay today.

States with comparable economics

Indiana's closest analogues by modeled payback are Illinois (13.5 years), Kansas (13.5 years), South Carolina (13.5 years). They arrive there from different rate and sunlight combinations, so their incentive rows are the useful comparison.

Estimate your solar payback

Enter your ZIP and the system size you're considering. We'll pull your state's average residential electricity rate and an annual sun-hour figure to estimate production and break-even years.

Estimate only — not a quote. Verify with a licensed installer and your utility. Federal Section 25D 30% credit is not included (expired 2025-12-31). Not tax advice — consult a tax professional.

State (IN)
Indiana
Avg residential electricity rate
15.3¢ / kWh
Estimated annual production
9,167 kWh
Year 1 bill savings
$1,403
Estimated payback
13.6 years
Installed cost before incentives*
$22,400

*A $3.20/W installed cost assumption valued against your state's average residential electricity rate (EIA, most recent 12-month average available as of 2026 Q1). No federal, state, or utility incentive is deducted from this figure — state incentives that may reduce it are listed on your state page for details.

Estimate only. Numbers shown are modeled projections, not quotes or guarantees. Actual production, electricity rates, financing terms, and available incentives vary by household, utility, roof condition, shading, and policy changes. The Residential Clean Energy Credit (Section 25D, the 30% federal tax credit) expired for systems placed in service after December 31, 2025. Verify all numbers with a licensed installer and your utility before making a purchase decision. See full disclaimer.
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