The Benefits of Upgrading Your Electrical Panel

A new electrical panel may not be on your list of favorite things to buy, but a replacement could benefit you in unexpected ways. There are five reasons, according to the Department of Energy, to consider upgrading the panel in your home.

Enhanced safety. Older electrical panels may not meet current safety standards and could pose a fire hazard. A new panel with circuit breakers that trip reliably can help prevent electrical fires and reduce the risk of shocks.

Increased capacity. Many older homes have electrical panels with lower capacity, whereas modern households typically require more power due to increased use of electronics, appliances and HVAC systems. A higher-capacity panel (e.g., 200 amps) helps your home handle the electrical load without overloading circuits. It might also give you more options when selecting appliances, such as choosing a larger water heater or faster electric vehicle charger.

More energy efficiency. New electrical panels often have new designs that include, for example, better insulation and improved wiring, which can reduce energy loss.

Lowered costs. Some insurance companies may offer lower premiums for homes with updated electrical systems because they pose a lower risk of electrical fires or failures. In addition, your purchase may qualify for up to 30% (or $600) in federal clean energy tax credits.

Heightened buyer interest. A modern electrical panel is an attractive feature to potential buyers if you decide to sell your home.

Be sure to consult with a qualified electrician before you upgrade your electrical panel to determine the best options for your home. And remember, just because you upgrade and have the option to increase your electricity use, that doesn’t mean that you should stop employing sensible energy conservation measures.