Federal Tax Credits for Energy Efficient Windows
By now you’ve probably seen or heard several advertisements on television, in the newspaper, or on the radio for local Milwaukee area window companies promoting their product in conjunction with a $1,500 federal tax credit.
If you are considering replacing your windows, the ENERGY STAR website has comprehensive information on the federal tax credit for energy efficient windows, doors, and skylights. However, just because we are nearing the end of the calendar year, it does not mean that the federal tax credit is going away. According to ENERGY STAR, qualifying products purchased between January 1, 2009 and December 31, 2010 are eligible for a tax credit equal to 30% of the product cost. If you are considering window replacement, be sure to have your window salesperson explain how their windows qualify for tax credit.
In fact, as of January 4, 2010, ENERGY STAR windows will need to meet more stringent requirements. So, another question worth asking is if it would be in your best interest to wait to buy windows so you can get a more energy efficient window once the more stringent requirements are in place. Perhaps their windows already meet that requirement, but it’s a question worth asking.
We took a look at the ENERGY STAR rebate finder and there aren’t any local incentives from ENERGY STAR partners such as Focus on Energy. (Regardless of a federal tax credit, it’s a good idea to check the ENERGY STAR rebate finder whenever you are purchasing appliances, heating and cooling equipment, lighting products, office equipment, or water heaters!)
According to ENERGY STAR:
- installation is not included in the federal tax credit, so be sure to obtain an itemized invoice from your retailer or installer.
- the maximum amount of homeowner credit for all improvements combined (including roofing, insulation, HVAC, and water heaters) is $1,500 during 2009 and 2010.
- For purchases after June 1, 2009, homeowners must obtain a manufacturer certification statement to document window, door, or skylight eligibility for the tax credit. If the retailer or installer cannot provide this document, it may be available on the manufacturer’s Web site.
- There are separate guidelines for purchases made before June 1, 2009 (see the ENERGY STAR website for full details).
If you are considering replacing your windows, there is a lot of information to research. Learn about all the details on the tax credit for windows, doors, and skylights on the ENERGY STAR website and, as always, consult your tax advisor for any tax credit questions.
Time for a Furnace Tune Up?
According to the Energy Star website, about half the amount of money spent on energy in a home is spent on heating and cooling costs. Therefore, making good decisions on your heating and cooling equipment can save you time and money.
With the cool fall weather we’ve been having, many Milwaukee area residents have turned on the furnace for the first time this fall, so this is a perfect time to read up on heating and cooling efficiency tips from Energy Star.
Among the many tips that Energy Star recommends, one of the most important is for homeowners to keep their HVAC unit running in top shape. If you are a homeowner, you should tune up your HVAC unit on an annual basis in order to improve the efficiency of the unit and the comfort level of your home.
Energy Star has a list of 10 tips for hiring a heating and cooling contractor. If you are looking for a contractor, one option is to use Service Magic. Service Magic
is a free service to homeowners, where you can search for professionals nationwide. Homeowners can be matched with up to 4 professionals for each project, and have the contractors compete for their business. You can also review comments on each contractor to help you pick who is right for you.
ENERGY STAR Rebate Finder
ENERGY STAR partners often have rebate offers to incent consumers to purchase energy efficient products. To find out if there is an existing ENERGY STAR rebate in your area, just use the ENERGY STAR Rebate Finder.
It’s simple to use:
1. Enter in your zip code and check the type of product you are interested in.
2. If you prefer to see all product rebates available, scroll all the way down to the end of the list and click on the “Select All” link.
3. Select the “Locate Special Offers/Rebates” button.
Products on the rebate finder include appliances, fans, heating and cooling equipment, home electronic, insulation, windows, doors, lighting equipment, office equipment, and residential gas water heaters.
As of today, there are eight rebate offers available in the Milwaukee area:
- $15 rebate on ENERGY STAR light fixtures and ceiling fans
- $50 rebate on certain natural gas storage water heaters
- $100 rebate on certain natural gas tankless water heaters
- Visa prepaid card of $100 to $500 with purchase of 2 or more qualifying GE Profile appliances
- Dacor free reward appliance
- $100 mail in rebate with purchase of ASKO dishwasher
- Kitchen Aid cash back event – rebates of up to $500
- $150 reward for certain natural gas condensing water heaters.
For full details on these energy rebate offers in Wisconsin, visit the ENERGY STAR Rebate Finder.
Visit Energy Star to Reduce Your Utility Bill
It’s no secret that consumers have been changing their buying habits and looking for ways to reduce their expenses. One area that consumers should consider making a high priority is examining energy usage around the home and look for “low hanging fruit” – easy projects that can be done around the home to receive an immediate reduction in a utility bill.
To learn more about energy efficiency for your home, visit the Energy Star website. The Home Improvement area of their website allows consumers to assess their situation and then gather information on how to take action. There is a lot of information in this section, including advice on common home problems, a tool to compare your energy usage with others in the country (the “Home Energy Yardstick”), a do-it-yourself guide to insulating and sealing, and thorough information on how to heat and cool your home properly.
ENERGY STAR Information on Compact Fluorescent Light Bulbs
Our energy savings tip for the week is to visit the ENERGY STAR website and learn about compact fluorescent light (CFL) bulbs. On this website there is a buyers guide, a piece on how CFLs work, and disposal options on what to do if a CFL breaks. By educating yourself on the proper CFLs to buy for your home, you can make sure you select the proper CFL for your situation and save money in the process. For example, did you know that you have options for your white light, such as Warm White, Soft White, Cool White, Bright White, Natural, or Daylight? There is no reason to put off replacing some of your light bulbs with CFLs – ENERGY STAR estimates that the purchase of a CFL will pay for itself in only six months!
According to ENERGY STAR, if every American home replaced just one light bulb with an ENERGY STAR qualified bulb, we would save enough energy to light more than 3 million homes per year, more than 600 million in annual energy costs, and prevent greenhouse gases equivalent to the emissions of more than 800,000 cars!
Every Wednesday we highlight an energy savings tip to help Milwaukee area consumers reduce their utility bill. Follow this link to see all of our previous energy savings tips.