A real cost breakdown for a typical 6kW system in New York, not just a national $/watt figure.
New York has one of the higher electricity rates in the country at approximately $0.23/kWh, and a solid, average solar resource at 4.0 peak sun hours a day. Combined with a regional installed-cost estimate of $3.00/watt, a standard 6kW residential system runs approximately $18,000 before any incentives.
| Line item | Estimated cost | Share of total |
|---|---|---|
| Equipment (panels, inverter, racking) | $9,900 | 55% |
| Labor / installation | $5,400 | 30% |
| Permitting & inspection | $2,700 | 15% |
| Total (before incentives) | $18,000 | 100% |
A 6kW system in New York costs 7% more than the average across the 50 states we track ($16,872), and the electricity rate it offsets is 42% higher than the 0.16 USD/kWh average across those same states. That combination is what actually determines whether New York is a faster- or slower-than-average place to go solar — a lower system cost alone doesn't help if the rate you're offsetting is also low, and vice versa. See how every state stacks up on the Electricity & Solar Rate Tracker.
At $1,612 in estimated annual value from 7,008 kWh of yearly production, this system pays back in roughly 11 years — a payback period in line with the national average. New York: Net metering / Value of Distributed Energy Resources (VDER) depending on utility. On incentives specifically: New York's NY-Sun program and a state tax credit (up to a capped amount) are still active alongside net metering. The federal residential tax credit (Section 25D) expired for owned systems after December 31, 2025 — see our 2026 tax credit guide for what that means for your net price.
Same assumptions as above — $3.00/watt installed, 4 peak sun hours, 80% system efficiency, $0.23/kWh, no federal credit — scaled to common system sizes. Real quotes usually come in slightly cheaper per watt for larger systems, and the 25-year figure assumes flat electricity prices and 0.5% yearly panel degradation (rate increases would improve it).
| System | Installed cost | Yearly output | Yearly savings | Payback | 25-yr net savings |
|---|---|---|---|---|---|
| 4 kW | $12,000 | 4,672 kWh | $1,075 | 11.2 yrs | $13,312 |
| 6 kW | $18,000 | 7,008 kWh | $1,612 | 11.2 yrs | $19,968 |
| 8 kW | $24,000 | 9,344 kWh | $2,149 | 11.2 yrs | $26,625 |
| 10 kW | $30,000 | 11,680 kWh | $2,686 | 11.2 yrs | $33,281 |
| 12 kW | $36,000 | 14,016 kWh | $3,224 | 11.2 yrs | $39,937 |
Payback barely changes with system size here, because cost and savings both scale with the number of panels — what moves it is the rate you offset and your price per watt. For a 10-year payback on a 6 kW system at New York's $3.00/watt, you would need to be offsetting about $0.26/kWh; the average rate here is $0.23/kWh, which is below that line. Treat the table as a starting point: use the calculator below with your own usage and quotes. To see how your utility's export credit and how much solar you use at home change payback, try the <a href="/tools/solar-payback-export-credit-calculator.html?state=NY">payback calculator with export credit</a>.
A typical 6kW residential solar system in New York costs approximately $18,000 installed in 2026, based on a regional estimate of $3.00/watt — equipment usually makes up about 55% of that, labor about 30%, with the rest in permitting.
At New York's average rate of $0.23/kWh, a 6kW system pays back in roughly 11 years — a payback period in line with the national average. Your actual number depends on your usage and roof; check it precisely with the Solar Panel Cost Calculator.
A 6kW system in New York costs 7% more than the 50-state average of $16,872, while the electricity rate it offsets is 42% higher than the 0.16 USD/kWh average across those states.