Residential Photovoltaics; An Investment Vehicle for Retiree´s

Can a residential photovoltaic system provide all of the elements that would qualify it for consideration as a component of a retiree´s investment portfolio? To address this question one must consider the maturity of the technology, investment amount, derived revenue stream and overall risk. These factors can then be compared to conventional investment vehicles. A retirement investment vehicle should be capable of providing an income stream, which keeps pace with inflation for an indefinite period. This paper will provide actual financial performance data from a 6 KW DC/5 KW AC residential photovoltaic system with the performance of conventional retirement investment vehicles. The methodology for performing the economic analysis along with tax implications for each investment vehicle is presented. This will allow individuals to determine if a residential photovoltaic system should be considered as investment vehicle for retirement planning