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Thermoelectric technology is commonly used in waste heat utilization of automotive internal combustion engines and widely combined with solar energy units to form solar thermoelectric generator systems. The structure of the Thermoelectric Generator (TEG) needs to be optimized in order to obtain better performance for wider applications. In this paper, the influence of temperature on the height of PN-type thermoelectric arms was analyzed using an improved one-dimensional heat conduction model with the calculus method. At the same time, both the calculation formula of the maximum output power and the calculation formula of various size parameters of the TEG was derived when the influence of temperature on the performance of thermoelectric materials has been considered. In addition, the relationships among different size parameters were derived to obtain the maximum efficiency. The relationships include the most commonly used classical optimization relationship, that is, when the Seebeck coefficient, thermal conductivity and resistivity are averaged, the relationship is consistent with the classical optimization relationship. By considering the impact of temperature on the performance of thermoelectric materials, an improved calculation formula of the figure of merit (Z) was also given. The new optimization formula was compared with the classical optimization method by taking the maximum output power as the optimization index. In the case study, the temperatures of the cold end and the hot end were set at 330 K and 700 K, respectively. PbTe and PbSe were used as the materials with intermediate temperature, and Bi 2 Te 3 was used as the material with low temperature. Through theoretical analysis, it is found that the maximum output power of the new optimization formula can be higher than that of the classical optimization formula. [ABSTRACT FROM AUTHOR]