Photovoltaic (PV) installers and non-technical solar energy consumers use PV planning software for the system design and simulation. End-users rely on the designed system and power estimations provided by these tools. However, most planning software products fail to consider shading conditions. This problem affects energy forecasting for solar power plants located in cold climates. In this paper, we define the status of full shading for a snow-covered panel and the minimum depth of snow creating it. Using a case study, we design the project by the most reliable planning software, System Advisor Model (SAM). We show that the simulation overestimates power generations for snowy months. To identify shading conditions and the correlated performance reductions, we compare the SAM results with the measured data collected onsite. As a result, the minimum depth of snow that can create full shading and zero production is detected. Moreover, comparing the measured data with the simulated power helps us to define a rule-base system providing PV performance reduction factors. It assists solar sector practitioners to plan a PV project accurately, especially for the locations where snowfall is an important environmental factor for several months.