You can make relatively easy and inexpensive upgrades, such as adding insulation or replacing leaky windows, and possibly receive a $500 tax credit on your 2013 tax return.
More extensive — and expensive — alternative energy improvements will get you bigger tax breaks. These include installing solar energy, wind power, fuel cell or geothermal systems. Eligible home energy improvements in these areas could qualify for a tax credit equal to 30 percent of the cost, including installation, without any cap on the credit amount.
Source: 10 midyear tax moves to make now.
I am not usually one to give you any financial advice but when I came across this one I thought I would mention it. I like to think that I am green so this is a double whammy for me. Since I own an almost 100-year-old house I know part of it could use some more insulation. I plan on getting that done soon and then taking my five hundred buck credit on taxes this year. Since our medical bills (read this as dental implants) will be pretty high this year this credit will certainly come in handy.
I guess I am just one of those lazy ones who let things slide from year to year. I am usually not a procrastinater but seem to be so in this case. I have known that the insulation in the older front part of the house needs replenishing but just never got around to getting it done. Maybe I am green in words only. 😉 It would be nice to also do some solar energy stuff but the up front costs are just a little too high for me yet. I am waiting for more technology advances to bring those costs down before I take the plunge.
So, I hope this post is a heads up for you to take a look around your homestead for energy improvements. Your pocket-book will eventually thank you and so will your grandkids, both present and future, for reducing your carbon footprint.