There are a variety of factors you should consider when you need to install a new air conditioner. One essential factor is the brand, as some manufacturers are known to produce higher-quality, longer-lasting equipment than others. Getting an AC unit that’s the correct size for your home is also essential for ensuring it cools effectively. Another thing you always want to focus on is energy efficiency, as this directly determines how much it will cost to cool your house. How energy efficient any AC unit operates is expressed in its Seasonal Energy Efficiency Ratio (SEER) rating, and this guide will explain all you need to know about these ratings.

What Are SEER Ratings?

The first thing to understand about air conditioning efficiency is that it’s not a static measure. Instead, it fluctuates depending on how hot and how humid the air outside is. If an AC system is maintained correctly, the electricity it uses at any given time stays the same. Nonetheless, the amount of heat it can remove from the house and thus how efficiently it cools decreases in hotter, more humid conditions. That means it takes the system longer to cool the home, resulting in an overall increase in the amount of energy it uses.

SEER ratings take these fluctuations into account. Instead of just looking at how efficiently an AC works in one hour or one day, SEER measures its average efficiency over an entire cooling season to provide the most accurate rating possible.

To calculate an AC’s SEER rating, it must first be tested to determine how efficiently it cools in different temperature and humidity conditions. This testing aims to simulate the varying conditions it would typically operate in from late spring/early summer until early fall. That way, you can then accurately estimate the total amount of electricity it would use throughout a typical cooling season. The SEER rating is then calculated by dividing the BTUs of cooling the AC puts out by its total electricity consumption over the cooling season. The higher this ratio is, the more efficiently the AC works.

An Overview of SEER2 Ratings

In 2023, the US Department of Energy mandated that the HVAC industry use the new SEER2 rating system, creating even more confusion for homeowners trying to find an energy-efficient AC. The main thing to note is that SEER2 ratings are calculated the same way as SEER ratings and are still just a ratio of cooling output to annual energy consumption.

The only difference with the SEER2 rating system is that the testing conditions used to estimate annual energy consumption are slightly different. Specifically, the units are tested at a higher static pressure, which is the amount of airflow resistance there is in a ductwork system. This change was made because most HVAC systems operate at a higher static pressure than was used in the original SEER tests. That means the new test is designed to more accurately simulate real-world operating conditions, resulting in SEER2 ratings being a more accurate calculation of average efficiency than SEER ratings.

What Is a Good SEER Rating?

The US Department of Energy also mandates that all new air conditioners meet a minimum energy-efficiency standard. In Massachusetts and the rest of the Northern US, the minimum for new ACs is currently 14 SEER or 13.4 SEER2. This has been the requirement since 2023, when the DoE updated its energy-efficiency standards. Until then, the minimum in the North region was only 13 SEER. Almost all ACs in use today are at least 13 SEER, as this requirement was put into place back in 2006. Nonetheless, if your AC was installed before 2006, it may not be any higher than 10 SEER. In that case, you’ll save a significant amount on your electricity bills, no matter which AC you replace it with.

If you’re looking to save money on your air conditioning bills, you obviously want to go with an option that’s more efficient than the minimum requirement. Installing a unit with a higher SEER rating is almost always going to cost a bit more, but it will usually pay off in the long run due to the amount of energy it will save. That said, choosing a top-of-the-line option with a much higher SEER rating may never fully pay off due to how much more it will cost.

What Should You Look For When Installing a New AC?

When deciding which AC to install, a good place to start is by looking for units with an ENERGY STAR certification. To qualify for this certification in 2025, the AC must be at least 15.2 SEER2. If you opt for a 15.2 SEER2 AC, your air conditioning costs will be approximately 16% lower than they’d be with a 13.4 SEER2 unit.

Another thing to consider is that you may be eligible to receive up to a $600 credit on your next year’s federal income taxes if your new AC meets the necessary energy-efficiency requirement. The requirement to earn this credit in 2025 is 17 SEER2, but it will most likely increase at the start of next year. You may not receive the full $600, as the credit is capped at 30% of the total installation cost of the new AC. It’s also important to note that it is only a credit and not a rebate. That means you can apply the $600 to what you owe in income taxes, but you won’t get anything if you don’t owe any taxes.

If you do opt to install a 17 SEER2 unit to earn the credit, you can expect your air conditioning costs to be approximately 21% lower than they’d be with the minimum 13.4 SEER2 unit. Depending on the size of the AC, a 21% improvement in efficiency would usually equate to annual savings of anywhere from $60 to $150.

What SEER Ratings Are the Best?

The very best ACs have ratings around 28 SEER2. This type of unit is approximately 50% more efficient than the current minimum requirement. That means it would likely save you well over $1,5000-$3,000 in energy costs over 10 years. Nonetheless, it generally only makes sense to go with a much higher SEER2 rating if you aren’t concerned about initial cost and are only focused on getting the most energy-efficient option available. Otherwise, choosing a unit that’s somewhere between 15 and 22 SEER2 will allow you to cool your home for quite a bit less without the cost of the installation breaking the bank.

Partner with an AC Installation Team You Can Count On

If you’re in the market for a new AC, Efficiency Plumbing, Heating & Air is the company to trust. We’ve been serving Hanover, MA, and the surrounding areas since 2015 and are dedicated to providing top-notch installation services. We carry quality AC units from some of the most-trusted brands in the industry, such as Carrier, Goodman, and Viessmann. If you’re not sure which AC is the right choice for your home, one of our experts will happily explain your options and help you find one that meets your needs and fits in your budget. We also provide maintenance and repairs for heating and cooling systems. We have financing options available for new AC installations on approved credit.

To schedule a consultation and get help finding the right AC for your home, contact us today.

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