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Costs depend on generator type, labor, and additional wiring or transfer switch requirements.

The cost to install a whole-house generator averages $5,200, with a typical price range of $1,500 to $8,900. However, total costs can vary from $400 for a small portable unit to over $18,000 for a large-capacity system. The most significant cost factor is the generator's size and capacity, but other variables include the brand, fuel type, and labor for assembly and installation.

Generator costs can be broken down by type:

• Portable or Emergency Backup Generators (1kW–7.5kW): $500 to $2,000

• Partial-Home Generators (9kW–20kW): $2,000 to $6,500

• Whole-House Generators (22kW–48kW): $5,000 to $18,000

To avoid paying for more power than you need, consider hiring an electrician to calculate the electrical load for your essential appliances. It is also recommended to get at least three quotes to find the best deal for your specific needs and budget.

It might seem counterintuitive, but installing a generator transfer switch will save you money in the long run. While you’ll have to pay between $400 and $2,500 to have the transfer switch installed, you’ll recoup that amount later on when you don’t have to pay for expensive repairs to your appliances, devices, and electrical system that may have burned out, overloaded, or stopped working due to a sudden loss of power or an incorrect hook up of a generator to your home. 

In most cases, there are no tax credits available for home generators. However, that’s a general statement that applies to federal tax credits, so you might have access to state or local tax incentives. You can check the Database of State Incentives for Renewables & Efficiency (DSIRE) for more information about your area. If you hire a reliable home generator installer, they should also know if there are any state or local perks you can use to reduce your installation costs, including tax breaks and rebates.