The Inflation Reduction Act
What is the IRA?
“The Inflation Reduction Act (IRA) is the largest investment in reducing carbon pollution in U.S. history. But along with the Bipartisan Infrastructure Law (BIL) and the CHIPS and Science Act, the IRA also serves as a key investment in our economic growth” (U.S. Department of Treasury).
The Inflation Reduction Act aims to stabilize prices and minimize inflation rates in New York. By implementing measures to control price increments across essential goods and services, this legislation directly benefits the people of New York by ensuring a more predictable and manageable cost of living. One of the biggest changes comes through NYSERDA. New York has become the first state of many to accept the funds from the Federal Government and are on track to roll out stronger incentives and assistance programs for its residents beginning July 1, 2024!
NYSERDA and Comfort Home Programs have recently announced increased incentives in the amounts of $1600-3000 to encourage more households to invest in energy efficiency upgrades. The new incentives aim to offset a significant portion of the costs associated with installing energy-efficient systems such as heating, ventilation, and air conditioning (HVAC), insulation, and smart thermostats. By offering higher incentives, the program seeks to make energy-saving upgrades more accessible and affordable for homeowners, ultimately leading to reduced energy consumption and lower utility bills for participants. If you are considering making your home more energy-efficient, now may be an opportune time to take advantage of these enhanced incentives to maximize your potential savings. For Westchester Homeowners their is even an additional $1000 Westchester Rebate which can be combined with the Comfort Home Incentive! To make this even better, if you use Con Edison for your utilities, then you may be eligible for a $2000 Rebate!
The Inflation Reduction Act tax credits aim to alleviate the financial burden on individuals and businesses by providing tax relief through targeted measures to combat rising inflation. These credits are designed to stimulate economic growth by encouraging spending and investment while safeguarding against the eroding effects of inflation on purchasing power. By implementing strategic tax incentives, the government seeks to bolster consumer confidence and support businesses in navigating the challenges posed by inflationary pressures. Through the Inflation Reduction Act tax credits, policymakers aim to foster a more resilient economy capable of withstanding fluctuations in the broader financial landscape. Ask us about how these can be applied to your taxes and find out if your Accountant can help you properly file for the IRA Tax Credits!
How does this help?
Climate change has some very aggressive costs and investing in fighting it is beneficial not only economically but mentally as well. “Some of those economic costs are obvious, like costs due to more frequent and more powerful hurricanes, floods, and fires. Others are more subtle but still pernicious. Temperature increases have been found to cause declines in students’ academic performance and future incomes, as well as diminish worker productivity, reducing economic potential across the economy” (U.S. Department of Treasury). By taking advantage of these programs, you are not just helping yourself but helping everyone on Earth! By lowering your energy consumption, you are lowering the amount of fuel needed to run the power plants and the amount of air pollution being put into the atmosphere! Their are truly so many reasons as to how the IRA Program helps!
Insulation and air sealing are essential components of maintaining energy efficiency at home. By properly insulating walls, floors, and attics, homeowners can significantly reduce heat loss in the winter and heat gain in the summer. Additionally, sealing any air leaks around windows, doors, and ductwork helps prevent conditioned air from escaping, leading to lower energy bills and increased comfort indoors. Combined, insulation and air sealing create a more sustainable and environmentally friendly living space while promoting energy savings for homeowners. The reasons for taking advantage of these programs are clear as it will benefit you in the long run economically and immediately improve your overall comfort which can increase productivity and stress!
Final Thoughts
Investing in a cleaner, greener, and more efficient earth is ingenious as it helps alleviate so many problems within today’s society and relieving financial burden from so many people and businesses especially within New York State! Energy Management Solutions is committed to working with NYSERDA and the various utility companies to continue offering these rebates and helping homeowners towards their energy efficiency goals! The first step is to have Your Free Home Energy Audit completed at No-Cost to you! Call us today or Schedule Online to find out more!
