Like everyone else, I want to know if switching to the Verizon Plan is worth it when I upgrade. On paper it seems like I will save money, but I've been with Verizon long enough to know that they rarely do things in the best interest of the customer. I made the mistake of switching from the Nationwide Friends and Family plan to these plans with data caps. I'd like help to determine which is truly the best. I have 3 lines, but I'm going to leave out 2 since one is on an Edge plan and the other is a basic phone thats $20 because its out of contract. This will be a comparison of going with a 2 yr contract (Verizon says I still have that option) or switching to the Verizon Plan. Let me know if what you guys think.
2yr contract:
$40 line access
$53.90 for 6GB data(w 1GB promo data)
$10 for insurance
$499 for new iPhone
$103.90 a month and $3033.60 over 2 yrs (including $499 for the phone and $40 activation fee)
Verizon Plan:
$20 line access
$46.20 for 6GB data
$10 for insurance
If i go this route I plan to put $421 down on a $949 phone ($22/mo)
$98.20 a month and $2777.80 over 2 yrs
With my calculations, the Verizon Plan seems better. There are a few other things to consider as well. When I upgrade, I'll be using the basic phones eligibility to upgrade my phone. My line is under contract for another month. How does that affect the Verizon Plan line access charges? Also, if I switch to the Verizon Plan, will I lose that promo data? I'm suppose to have it another yr. If so, I might can get them to give it to me again. Lastly, I upgrade every yr. I haven't calculated if that changes the how the plans compare. It gets confusing when you factor in the selling of the phone after 1 yr to upgrade to the next and all that, but I'm assuming on paper the Verizon Plan would still look better. Do you guys see any downsides to switching to the Verizon Plan? If you guys could help me, I'd really appreciate it.
I also calculated plan C for you. With 6 GB always check if staying on More Everything plan, but use the device payment plan saves you.
More Everything with 24 month device payment plan
$15 line access
$53.90 6 GB data (still with 1 GB promo?)
$10 insurance
$22/month device payment ($421 down on $949 phone)
$100.90 per moth and $2842 over 2 years.
So in your case, switching to the Verizon plan makes the best sense. I double checked your calculations and I agree. If you had 2 lines on your account, plan C would pull ahead since it only has $15 per line access rather than $20 per line access. In the 3 scenarios, contract is the most expensive.
Sounds like plan C is the Edge plan. Do they still allow you to get one of those plans? Also, its not much, but plan C ends up being a little more over 2 yrs than the Verizon Plan. Is there any advantage to staying on the More Everything?
With so many options, it’s smart to weigh out each alternative, jbeckwith17. You’re correct Plan C is indeed what we used to call the Edge program, and it has been rebranded as Device Payment plan. Take a look here for a bit more about this: http://www.verizonwireless.com/support/device-payment/ Anyway, there are different tiers to the More Everything vs. The Verizon Plan. On the The Verizon plan the next plan up is $20 more and 12 GB, while on the More Everything Plan the next plan up from 6GB is 8GB for $15 more. Just something to consider if you have one of those months when more than 6GB are used.
DavidH_VZW
Follow us on Twitter @VZWSupport
If my response answered your question please click the �Correct Answer� button under my response. This ensures others can benefit from our conversation. Thanks in advance for your help with this!!
IN your case, only if you have, or plan to have more than 1 device on the plan. Since the per line access fee is only $15 Instead of $20, the ME plan with device payments becomes cheaper saving $5 per line over My Verizon with 6 GB or more.
And yes, it is still available.
I've thought about something else. I said earlier that I was confused about which options works out the best when you consider that I upgrade ever yr. I alternate between upgrades with my line and the basic phone line. When I upgrade, I sell the phone that I have and I use that money to pay the 2 yr contract price for the new phone (usually I get back what I paid originally). When I think about it, it seems that when you take that into consideration, the device payment plans don't work out to be the best. The way I see it, if I put some money down on a phone and then a year later I want to upgrade, I'd be selling the phone to pay the balance off on the phone and I'd have to come out of my pocket for the next phone. Is my thinking correct? Can anyone help me do the math on that?
You can sell the phone you have to help pay for the next phone and keep that cycle going. I would pay off the phone at whatever point you wish and then sell that phone bought on the DPP. You can usually sell it for more than you owe.
2yr contract:
$40 line access
$53.90 for 6GB data(w 1GB promo data)
$10 for insurance
$499 for new iPhone
$103.90 a month and $3033.60 over 2 yrs (including $499 for the phone and $40 activation fee)
After 1 year - sell iPhone for $499, buy new iPhone for $499, another $40 upgrade fee)
24 month cost (2 years - 2 phones
$3033.60 + $40=3073.60
Verizon Plan:
$20 line access
$46.20 for 6GB data
$10 for insurance
If i go this route I plan to put $421 down on a $949 phone ($22/mo)
$98.20 a month and $2777.80 over 2 yrs
After 1 year - sell iPhone for $499 - buy new iPhone on payment plan $421 down ($949 phone again)
24 month cost (2 years - 2 phones)
Residual on 1st phone to be paid $264
2777.80 -$499 + $421 + $264 = $2963.80
i.e. payment plan still cheaper
Another new consideration is Apple's new plan with Verizon Plan
$20 line access
$46.20 6 GB data
-insurance no longer needed, price from Apple includes Apple Care +
Monthly phone fee to Apple which includes upgrade at 1 year - $44.91
24 month cost ( 2 years - 2 phones)
$2666.64
So the new program by Apple looks like your cheapest and best bet (by several hundred dollars!)
** I also think you are $100 too high on the cost of the iPhone 6 Plus 128 GB which is showing up as $849 not $949
I'm usually a math wiz, but this is stumping me lol. I came up with something different. The 2 yr contract route is straight forward. Now for my calculations for the Verizon Plan, I'm not going to include an initial down payment. That shouldn't matter because down payment or not, you end up paying the same thing in the grand scheme of things. So here's my calculation for the Verizon Plan:
I calculate that at the end of the first yr I would have paid $1863.6. This is the cost of the phone plus the service. So obviously it would be the same thing at the end of the 2nd yr as long as iPhone prices don't change. So for 2 yrs thats $3727.2 Now at the end of the first yr, I sell the first phone for lets say $499 and then put that profit down on the 2nd phone. Since that's not money out my pocket, I minus that from the $3727 and I get $3228.2. Thats the figure I get for being on the Verizon Plan. Again, correct me if I'm wrong.
Also, $949 is the 6S Plus 128GB. The 6 Plus 128GB is now $849. And thanks for the Apple upgrade program. I was confused as to how that was working. My issue with that is AppleCare doesn't cover lost or stolen.
Couple problems
#1 - Scenario 1, contract option, is not possible, since you cannot cancel a contract halfway through and start over. You would need a second line, which opens up even more costs.
#2 - Your math in the Verizon plan is ignoring that only $264 ($949 - $264 paid monthly in 1 year - $421 downpayment) is owed after 1 year on your year 1 iPhone that you are selling for $499. It is not break even, but nets you $235. Your simplification of just including the total cost and the resale cost overestimates because of this.
#3 Even if you added insurance to the Apple option, it still is significantly cheaper. You would not need to add the Total Equipment protection for $11, but the cheaper Phone protection only (about $3/month cheaper I believe) since you only need to cover loss and theft. Also ask yourself if Asurion insurance is worth it. Over 24 months you will pay $240. If you do need to replace the phone, it is at least $199 co-pay for a used phone, i.e. $440 for a used phone. You could buy a used phone for about the same cost.
Start a new topic or ask questions in the open forum.
