Published On: Sun, Oct 5th, 2014

The Cost Of Communication: Are You Spending Too Much On Your Phone Tariff?

There are over seven billion people in the world today. It may surprise you to find out that there are almost the same amount of cell phone subscriptions in the world. That’s not to say that everybody in the world has mobile phones. In fact, the figure is likely to be high because many people have many phone contracts. People often have phones that are personal, work phones and even spare phones that they can use in emergency. In a world obsessed with constant communication, it’s no wonder that everybody feels that they need to have a phone at all times.

business man on phone

One of the most-troubling thing about phone contracts is how much money people are willing to spend on a contract. The average phone contract costs as much as a gym subscription. More people in the world subscribe to phone contracts than join gyms. That means that we as a collective spend more on mobile communication than we do on our health. Much of the time, when people enter into an expensive contract a part of the monthly cost covers the phone itself. New technology develops every day meaning it is hard for people to keep up with the latest devices. With the average cell phone costing $450 now, the costs soon add up to a large sum. It won’t surprise you to find out that people are paying an extra 60% on their monthly phone bill to cover the cost of the device. That means that people are no longer paying for communication; they are paying for brand name technology.

Let’s take a look back at the original function of the phone. You use a phone to communicate with people. You want people to reach you when you are out and, in turn, you want to reach other people. One of the main issues with many phone tariffs is that they don’t accommodate landlines. Landline to mobile calls have always been more expensive than calling mobile to mobile. Often companies offer free minutes when you make calls to other mobiles, but don’t offer any calls to landlines. That means that if someone calls you from their home phone it will cost them (and maybe you) a great deal of money per minute. That in itself defeats the point of having a phone. If some people are not able to call you without incurring large fees, why do you have a phone at all? Making sure that everybody can contact you should be your top priority.

So, how can you cut the cost of calls and ensure everybody can call you? When you take out a phone contract, you should be sure to read the small print. We live in a society in which everything comes with terms and conditions. Few people pay any attention to the terms of their contract. When you sign a contract, you agree to pay monthly fees to the company. You should make it your business to find out what you’re getting from your money. If the contract doesn’t include landline calls, ask why not. You can talk to the company about the terms before you sign a contract. After you have signed the deal, though, there is no going back. You will be in the contract for 18 months or even a year.

Another way to cut the costs of your phone bill is to opt for a sim only contract. That means that you are only paying for internet, minutes and texts. It means that you won’t get the newest phone and will have to stick with your old phone instead. Doing so could save you over half your monthly phone expenses. Look into all the details before you sign your next contract. Everybody could do with more money, and everybody spends too much on their phone bill. Cut the costs and save yourself money in the long run.