We’re excited to showcase the impact of the Inflation Reduction Act in Michigan! We're curating Michiganders' experiences finding and securing federal funding to [de]fuel their energy upgrades: from why they were motivated to make a change for their household, to how it's affected them and their neighbors/community, to what they would advise future recipients to do the same (or differently!).
The Inflation Reduction Act (known as the IRA) is a comprehensive federal legislative package that aims to reduce inflation by investing in clean energy, healthcare, and tax reforms. Homeowners and drivers can benefit from rebates and incentives for energy-efficient home upgrades, renewable energy installations, and electric vehicle purchases.
Have YOU made home energy upgrades, energy efficiency improvements, or purchased an EV thanks to this act? Share your story with us! By sharing your experience, you can inspire others and highlight the benefits of this important legislation. If you've endured an especially riveting experience involving lots of sweat and tears, and hopefully a little comic relief, we might select YOUR story to be featured live on stage at a fun event with Here:Say Storytelling this fall. We're looking for the real and raw reactions to the process, something human and relatable to illustrate what others can expect.
READ, WATCH & LISTEN TO ENERGY SUCCESS STORIES HERE
SHARE YOUR STORY
Submit your energy transition story below, and explore resources on where and how to get rebates. Together, we can promote a sustainable future.
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! Use the free calculator here.
Inflation Reduction Act Information
Here's how these federal investments are fueling our clean energy future (and making Michigan a leader in clean energy jobs!).
Tax Credits
Residential Clean Energy Credit (25D):
- There is a 30% tax credit with no income limits for installing residential solar panels. More Info IRS Info
- 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. More Info
- 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. More Info How to Qualify IRS Info
Energy Efficient Home Improvements Tax Credit (25C):
Rebates
High-Efficiency Electric Home Rebate (HEEHRA):
- 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. More Info IRA Rebates InfoHow to Qualify Bill Info
- For moderate-income households (80-150% area median income), a 50% rebate of up to $14,000 total for the same electrification projects. More Info Bill Info How to Qualify Bill Info
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. Incentives Info Tax Credits Info
- For 20-34% modeled savings, the rebate is lesser of $2,000 or 50% of costs. Incentives Info Tax Credits Info
- 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.
Michigan-Specific Information
Michigan Earned Income Tax Credit (EITC)
- For the 2023 tax year and beyond, taxpayers can claim the full 30% state EITC on their annual tax return. Michigan EITC Details Tax Refund Checks
- 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 EITC Details Michigan Free Tax Help
Michigan Homestead Property Tax Credit
- Provides a credit of up to $1,700 for the 2024 tax year to help cover property taxes. Michigan Free Tax Help TaxSlayer Credit Info
- 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.
Michigan Home Heating Credit
- Total household income limits range from $16,043 for a single person to $44,329 for a 6-person household. Michigan Free Tax Help
- Must own or rent and have the heating bill in your name.