Over the years, solar energy has quietly become more mainstream. According to Energy.gov, over 3% of all American electricity is solar power, which is a significant amount. Using solar power can help increase your efficiency by providing a useful alternative energy source and can also help you make money in the process. Here's what you need to know about how it works.

How a Solar Panel Works

Solar power begins with the panels, which convert the sun's energy into electricity. They include photovoltaic cells that capture sunlight and convert it to DC electricity. These cells are encased in a silicon cell, with glass and metal protecting them from serious damage. They will capture the sunlight in this way as long as direct or indirect sunlight falls on them.

During the sunniest days of the year, cells will naturally collect more UV rays and convert more electricity. However, solar cells are always on, meaning that even small amounts of UV rays can be converted into consistent electricity.

The Inverter: How it Creates Electricity

As your solar panels collect sunlight from their photovoltaic cells, they transport it to an inverter. The inverter is an important solar energy component that converts DC electricity from UV rays to AC electricity. The latter type is what your home uses for its power. This power can then be used in your home as it's created, augmenting your traditional electrical needs.

For example, you could use solar power to run a washing machine, power your television, or any other electrical appliance in your home. The power is typically drawn from the system as it's created to supplement your current electrical use. The extra energy it creates helps to minimize your electricity use and cuts down on your bills, increasing your home's electrical efficiency.

That said, some of the energy created by your solar panels can be sent to a battery bank, which lets you charge up extra electricity and use it when you need it. Most people use solar panels as extra electricity, rather than the sole source for their home. The number of panels needed to power a home without additional electricity from power companies may be too high for some people to afford.

However, there are also ways that you can make money by using solar power. These include incentives from the federal government, which pays you for installing and using solar panels. However, there are also a few other ways that you can make extra cash with solar. This extra money can help pay for your system by saving you cash on your energy bills over time.

How Some People Make Money With Solar Power

While solar panels can save you money by cutting how much power you take from the energy grid, they can also help you make money through a process known as net metering. Some power companies will actually accept the extra solar power that you don't use in their electrical system and send it to other areas, giving you credit for the energy that you send into their system.

This credit is typically taken off of whatever electrical bill you have at the end of the month. As a result, you can save money by using solar panels and selling your extra solar power to your power company. For example, let's say that you save $50 on your electricity bill thanks to your solar panels but don't use all the energy you create. If your power company uses net metering, they will then give you an appropriate energy credit based on the power you send it. Let's say that they give you an energy credit of $25 on average every month for your extra solar power. If your electricity bill is $125 per month, these savings could cut your payments down to $50 per month.

Naturally, the amount of energy that you can produce with solar power will vary based on things like cloud cover, the season, and the angle of your panels. On cloudier days or in winter months, your output is going to be lower. However, smart installation and carefully conserving your energy can still potentially make you money and help pay back your initial solar investment.

Reach out to Solar Savings Direct, Inc if you're interested in this process. Doing so can help you not only save money but also protect the environment with less damaging electrical sources.