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Solar Payback Years

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Solar payback in Arkansas

A 7.7 kW home solar system in Arkansas pays for itself in about 17.8 years at 2026 prices, with no federal tax credit. That ranks #34 of 51 states, where 1 is the fastest.

Installed price
$3.60/W
national median, 2025
Solar output
1,413 kWh
per kW a year, Little Rock weather
Electricity rate
14.33¢/kWh
average home rate, EIA
Value of a solar kWh
14.3¢
full retail net metering

Pays back in year 18

Cost up front
$27,720
Saved per year
$1,559
Ahead after 25 years
$11,258

Payback by quoted price and roof direction

Find your installer's price per watt (total price divided by system watts) to read your payback in Arkansas. Nationally, cash buyers paid a median of $3.00 per watt in 2025 and loan buyers $4.50, because loan fees are often built into the price. East and west roofs make 14% and 13% less power than south here.

Price per watt7.7 kW costsSouth roofEast roofWest roof
$2.50 $19,250 12.3 years14.3 years14.2 years
$3.00 $23,100 14.8 years17.2 years17.0 years
$3.60 (national median) $27,720 17.8 years20.6 years20.4 years
$4.00 $30,800 19.8 years22.9 years22.7 years
$4.50 $34,650 22.2 years25.8 years25.6 years

System size barely changes payback here: a bigger system costs more and saves more in about the same proportion.

Questions about solar in Arkansas

How does Arkansas pay for solar power I send to the grid?

Arkansas is counted here as full retail net metering: each kWh you export earns the same as a kWh you would buy. We have not checked Arkansas's rules against its utility commission yet, and some utilities pay less, so check your utility's net metering tariff.

How much did the end of the federal tax credit change payback in Arkansas?

With the 30% credit that ended in 2025, the same system would have paid back in about 12.4 years instead of 17.8. The credit ended for systems installed after December 31, 2025. Leased systems and power purchase agreements can still pass on a business credit, but then you do not own the panels.

Is 1,413 kWh per kW a lot?

The range across states runs from about 922 kWh in Alaska to about 1,779 in the Southwest. Sunshine matters less than people expect: the electricity rate and how your utility credits exports move payback more.

States near Arkansas in the ranking