Alternative Energy for the Win

Many aspects of the federal energy tax credit program have already been curtailed, with credits from most common upgrades having expired at the end of 2013 (but it’s not too late to claim the money if you haven’t already — see below). However, there are some credits still active for alternative energy installations. You are eligible for a kickback of up to 30 percent of purchase and installation price come tax time if you made any of the following additions to your existing home or new construction in 2014:

And it’s not just the purchase price of the equipment -- your credit can cover the labor to set up and install your new efficiency devices as well. Qualifying homes must be located in the United States. Heat pumps, wind turbines and solar all are valid for your principle or secondary residence, with no limit on the dollar amount. Fuel cells have more restrictions — they qualify for primary residences only, and have an upper limit of $500 per .5KW of power capacity. Renters are not eligible for the tax credits.

If you didn’t act this year, you have until December 31, 2016 to purchase and install your new equipment and still qualify for the credit.

It’s Not Too Late

And there’s more good news. The NonBusiness Energy Property Credit is still available on the taxes you fill out this year — provided you made the improvements in 2013 or earlier. If you made qualifying upgrades to your HVAC equipment, insulation, roof, water heater, windows, doors or biomass stove, you can claim up to $500 in credits on up to 10 percent of the costs. These credits are limited to upgrades made on existing homes, and each specific installation has a cap:

Installation costs cannot be included for doors, skylights, windows, insulation or roofing. Also note that the $500 limit is over the lifetime of the Property Credit, so if you already claimed $300 in past years, you can only get a maximum of $200 on this year’s tax return, even if you spent much more than that.

How to Claim Your Credits

To claim your credits, fill out Form 5695 with the appropriate information about your expenditures and include it with your other tax paperwork. Don’t forget to hold on to all your receipts and manufacturer’s certification statements so you can back up your claim if the IRS comes knocking on your door.

It’s a win-win situation — you get your tax credit, you can reduce or even eliminate monthly fuel costs, and you can sleep easy knowing that you are doing your part to help the environment by decreasing the nation’s reliance on fossil fuels. If you are considering a major alternative energy installation on your property, contact an expert today to advise you on what your options are and how to get started.

After the recent long and hot summer, the cool weather of autumn came quite abruptly. It comes as no surprised that homeowners are throwing on additional layers of clothing, and turning up their home thermostats to compensate for the cold temperatures. However, before you touch the thermostat dial, consider the advantages you will have with electrical heating. Higher efficiency, lower maintenance and environmentally friendly – electrical heating is the smart choice for your home, continue reading to find out why.

As there is no need for oil or gas required in electrical heating, there is no combustion, output or waste created when converting electricity to heat. Electricity is 100% renewable so the impact on the environment is much smaller than standard gas or oil heaters. Furthermore, as there is no input in required for electrical heating, the ongoing maintenance is much less. While an electric heater may be a larger initial investment, the cost savings from a reduction in maintenance during the service life is much better.

Electric heating can help you save money every month on your heating costs. In certain situations heating an entire home or building with electricity can cost more as it takes more energy to generate and transmit the heat to the entire building to heat. But where electricity truly shines in focused heating in areas. Rather than heating areas of your home unnecessarily, using smaller electric heaters in the frequented areas of your home leads to much better cost savings.

For example, during the evening you may be spending the majority of your time in the living room and kitchen. Turning up the thermostat would cause your heating system to heat all the rooms of your home that nobody is occupying. Instead, you would turn on your electric baseboard heater in the living room to keep you warm there. You can then turn off the heater when you are leaving the room for bed. This is much more efficient as the heat is targeted to the areas needed most and you are in full control.

Electric Furnaces – An electric furnace would replace your standard gas furnace to heat your entire home. A gas furnace can last 20 – 25 years, while the expected lifespan of an electric furnace is even longer. Because there are more combustible parts in a gas furnace, the maintenance is much higher over the course of its life. This means you will realize more cost savings over the life of an electric furnace.

Electric Baseboard Heaters – Many of you may be familiar with these types of electric heaters. These small boxes are placed just above the floor on the baseboard. They are installed in each room (as desired), and can be controlled individually. When the heat is generated it will rise to the top of the room, in turn the cold air falls and is put through the baseboard heater and the process continues.

If you are looking to make your home more efficient and eco-friendly – electric heating is the right option for you.

What would our lives be like without electricity? Electricity is a necessary utility in today’s world, required for a variety of work and entertainment tasks and to power the appliances used throughout the home. However, if your wiring is not set up properly, you may be facing an electrical hazard that could cause a family member to become injured or start an electrical fire.

In general, you should follow standard safety procedures around the home to prevent problems, like shutting off the power from the service panel before attempting any electrical repairs and making sure not to overload electrical outlets. Furthermore, any unusual power surge or unusual behavior from your lights and appliances indicates a problem that requires immediate attention from an electrician. The following guide contains just a few indications that your home may be at risk for a major electrical issue.

The GFCI outlet helps protect you and your family members from electrical shocks. You may recognize this type of outlet—equipped with both a “test” and “reset” button—from the inside of many kitchens. These are located in the kitchen because, as we all know, water and electricity do not mix. Water interrupts the regular flow of electrical current so that it may flow through you instead. When the GFCI outlet senses that the electrical current is not flowing as it should, it immediately shuts off. If this type of outlet is missing from your bathroom or kitchen, you should call an electrician as soon as possible.

Another cause for immediate electrical repair is excessively hot dimmer switches. If you have dimmer switches in your home and one or more feels very hot to the touch, this is not normal. It most likely means that the dimmer switch is overloaded, exceeding the maximum allowable wattage.

If the circuit breaker seems to frequently trip for no reason, it could indicate an overloaded circuit or a short circuit. This can be caused by something plugged into an outlet or by the wiring itself.