Embracing an eco-friendly lifestyle can add a touch of green to your life in more ways than one. In addition to helping preserve the environment, it can significantly reduce your monthly expenses and create long-term savings. In this blog, we’ll discuss how going green can benefit you financially.
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Slashing Your Energy Bills
One of the immediate advantages of going green is the reduction in energy use. Energy-efficient appliances and lighting can lead to substantial savings on your utility bills. Here are five ways you can reduce costs in your home while being mindful of the environment.
Going Green with LED Lights
One of the best ways to lower your electric bill is by using LED lights. These use less energy than other lightbulbs. Plus, with a longer lifespan, they tend to be more cost-effective over time since you don’t have to constantly replace them.
Investing in Low-Flow Water Fixtures
If you’re looking to save on your water bill, consider implementing low-flow water fixtures in toilets, sinks, and shower heads. These use much less water per minute than traditional models. They also include high-pressure options, meaning they can produce the same pressure levels as older models.
Enhanced Insulation
Poorly insulated areas can really spike your utility bills. Consider upgrading your home’s insulation, and sealing around doors and cracks, to prevent air from entering or exiting at less-than-opportune times.
Smart Home Technology
Smart home technology isn’t just fun to use, it can also help lower your utility bills and reduce your carbon footprint. For example, smart thermostats can learn your habits and temperature preferences and adjust accordingly when you are away.
Energy-Efficient Appliances
Appliances like washing machines and dishwashers can be upgraded to be more energy-efficient, thereby lowering operating costs and your utility bills. While these modifications require some upfront investment, they can end up saving you a lot more over time.
Tax Credits and Incentives for Going Green
The government provides tax credits, incentives, and other forms of financial aid to encourage eco-friendly home improvements.
Residential Clean Energy Credit
This credit is available to homeowners who install renewable energy systems in their homes. It offers a tax credit for a percentage of the cost of installing certain renewable energy sources. Eligible systems include solar panels (photovoltaic systems), solar water heaters, wind turbines, and more.
The Residential Clean Energy Credit is equal to 30% of the costs of new, qualified clean energy property installed between 2022 and 2032. It phases down to 26% for property placed in service in 2023 and 22% for property placed in service in 2034.
Energy Efficient Home Improvement Credit
The Energy Efficient Home Improvement Credit incentivizes homeowners to make their homes more energy-efficient. It covers several different types of improvements, including insulation and roofing. The credit can be claimed up to $3,200 and is available to homeowners who make or have made these changes after January 1, 2023.
State and Local Rebates and Credits for Going Green
Many states and local governments offer incentives for eco-friendly home improvements. For example, New York offers various incentives through its NY-Sun program. Some residents may be eligible for an Inflation Reduction Act tax credit of up to 30% of the solar project cost, and others can receive loans for financing the improvements.
Home Energy Renovation Opportunity (HERO) Program
The HERO program is a form of Property Assessed Clean Energy (PACE) financing that provides funding for energy-efficient, water-efficient, and renewable energy products to homeowners. The program is repaid through property taxes over a period of 5 to 25 years. HERO financing covers everything from solar panel installation to energy-efficient HVAC systems.
Weatherization Assistance Program (WAP)
Administered by the US Department of Energy (DOE), WAP helps low-income households reduce energy costs by increasing the energy efficiency of their homes. This program provides funds for improvements like insulation, air sealing, and heating and cooling system upgrades. While it does not offer tax credits, it can significantly reduce energy expenses for qualifying households.
Health Benefits of Going Green Translate to Financial Savings
Adopting a green lifestyle can lead to reduced healthcare costs, saving you money that you can put towards early retirement or other long-term financial goals. Eco-friendly homes often have better air quality due to the absence of toxic materials and enhanced ventilation systems. By choosing non-toxic building materials and cleaning products, you can protect the environment, your health, and your wallet.
Do the Right Thing For the Planet and Your Finances
Homes and commercial buildings are responsible for 40% of the United States’ energy usage. You can do your part to lower this figure by making some home improvements. Whether it be checking for drafts and improving insulation or going all out and installing solar panels, there are a number of ways you can reduce your home’s carbon footprint.
Be the hero in your own life––do your part to save the planet and save some cash in the process.
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