How Much Can You Save?
Rewiring America estimates that American households can receive an average of $10,600 in federal incentives to help convert from fossil fuel-powered appliances and technology to electric-powered replacements, which can save households an average of $2,000 a year on energy bills.
By inputting a few details about your household, you can get a free personalized estimate of how much you can save on efficient electric appliances and energy-saving technologies. You don't even need to register or share your email!
Michigan-Specific Information
How does the Clean Energy Act benefit Michigan?
Michigan Earned Income Tax Credit (EITC)
- See Who Qualifies and What to Expect
- For the 2023 tax year and beyond, taxpayers can claim the full 30% state EITC on their annual tax return.
- To qualify, taxpayers must meet the same requirements as the federal EITC, including income limits, having earned income, and a valid Social Security number.
Michigan Homestead Property Tax Credit
- Your Guide to Tax Help
- Provides a credit of up to $1,700 for the 2024 tax year to help cover property taxes.
- Available to Michigan homeowners with a taxable home value of $154,000 or less.
- Available to Michigan renters and homeowners with total household resources under $67,300.
- Your Guide to Tax Help
- Total household income limits range from $16,043 for a single person to $44,329 for a 6-person household.
- Must own or rent and have the heating bill in your name.
Tax Credits
Residential Clean Energy Credit (25D):
- How to Qualify
- There is a 30% tax credit with no income limits for installing residential solar panels.
- Up to a $7,500 tax credit is available for purchasing new electric vehicles (EVs). Income limits are $300,000 for joint filers, $225,000 for heads of household, and $150,000 for single filers. Vehicles must have an MSRP under $80,000 for vans/SUVs and $55,000 for other vehicles.
- For purchasing used EVs under $25,000, there is up to a $4,000 tax credit or 30% of the sale price, whichever is less. Income limits are the same as for new EVs.
Energy Efficient Home Improvements Tax Credit (25C):
- How to Qualify
- 30% tax credit for installing energy-efficient windows, doors, insulation, air sealing, HVAC systems, etc. anytime from 2022 through 2032. No income limits are specified.
Rebates
IRA Tax Incentives Comprehensive Summary
High-Efficiency Electric Home Rebate (HEEHRA):
- How to Qualify
- For low-income households (<80% area median income), 100% rebate up to $14,000 total for electrification projects like heat pumps, electric appliances, and panel/wiring upgrades.
- For moderate-income households (80-150% area median income), a 50% rebate of up to $14,000 total for the same electrification projects.
Home Owner Managing Energy Savings (HOMES) Rebate:
- For retrofits with 35%+ modeled energy savings, the rebate is the lesser of $4,000 or 50% of costs.
- For 20-34% modeled savings, the rebate is lesser of $2,000 or 50% of costs.
- For 15%+ measured savings, the rebate is lesser of $1,000 or 50% of costs.
- For low-income households (<80% area median income), rebates are doubled or up to 80% of project costs.
- No income limits are mentioned for standard HOMES rebates.
The Michigan Home Energy Rebates (MiHER) Program is designed to support energy efficiency and electrification upgrades in approximately 15,000 homes across Michigan. These upgrades aim to lower monthly utility bills, reduce overall energy consumption, and improve indoor comfort and air quality.
The amount of funding a home can receive depends on several factors, including:
- The household’s income level.
- The energy efficiency upgrades identified and implemented in the home.
- The estimated energy savings resulting from those upgrades.
- Rebate limits as established by the U.S. Department of Energy and the Michigan Department of Environment, Great Lakes, and Energy (EGLE).
- The specific upgrades being installed.
- The total cost of the project.
For more details on eligibility, funding, and the application process, visit their FAQ for comprehensive information
The rebate programs will be administered by state energy offices.
Toolkits and Resources
As cold weather and winter storms affect parts of the country, consider highlighting how clean energy and efficiency are keeping the lights on and keeping homes warm.
Weatherization Toolkits to use:
Other Toolkits and Resources to use:
- State Ambitions Toolkit: Outlines what can be done on the state level to continue clean energy and climate solutions.
- Climate Backtracker: Resource that tracks the administration’s efforts to scale back or wholly eliminate federal climate mitigation and adaptation measures.
- Clean Energy Explorer: Educational videos that explain the basics of clean energy technologies, such as heat pumps, rooftop solar, electric vehicles, and more for free
- US Energy Investments: 50 state-by-state fact sheets and investment map data showcasing private sector announcements and DOE investments in clean energy manufacturing.
- IRA Past Funding Opportunities: This document gathers examples of funding that went to states in past months that may now be turning into tangible projects that could make for good stories.
- Navigating Federal Funding Cuts
- Executive Orders Affecting Nonprofits
Inflation Reduction Act Information
Rewiring America's Guide to the IRA
Here's how these federal investments are fueling our clean energy future (and making Michigan a leader in clean energy jobs!).
The Climate Program Portal tracks climate investments from the Infrastructure Investment and Jobs Act (IIJA) and the Inflation Reduction Act (IRA).