Is a mobile phone contract with a smartphone a costly investment or an outstanding deal?
Going Mobile: Make the Right Move on Your Phone Plan
Step into the flippin' awesome world of mobile phone deals, but beware—those "bargain" combo plans may not be all they're cracked up to be.
Before jumping into a bundled tariff, crunch the numbers and see if it's smarter to opt for a plan sans phone and nab the best-priced device on the open market.
Keep Your Monthly Tariff Costs Under 9 Quid
Consumer advice guru, "Finanztip," suggests a rule of thumb for calculating: Monthly contract costs without a phone that exceed nine pounds sterling are considered a waste, according to experts.
This figure derives from Finanztip's all-net flat tariff recommendations, which typically range from 5 to 9 pounds per month for most users, offering data volumes from at least 1 GB (light usage) to 35 GB (heavy usage). "Finanztip" suggests forking over no more moolah for a contract including a phone than for these tariffs.
A Three-Step Money Dance
The real math involves three easy-peasy steps:
- Multiply the monthly basic fee by 24 (the minimum contract term in months).
- Add all costs like one-time payments, setup fees, shipping charges, and whatnot.
- Subtract any discounts such as a switching bonus. Then, divide the grand total by 24. Comparison sites like "Check24.de," "Teltarif.de," or "Verivox.de" often issue the average monthly price right upfront.
- Rumble through price comparison engines like "Geizhals.de," "Günstiger.de," or "Idealo.de" to find the cheapest market price for the phone (including delivery). Split the phone's price by 24.
- Subtract the phone's price (from step 3) from the average monthly price (from step 2).
Scrutinize the Effective Monthly Price of Your Contract Without a Phone
The result (from step 3) is the monthly effective price of the contract without a phone. "Finanztip" suggests eyeballing the result like this:
- If the result tops nine pounds, the standalone buy usually saves you a ton.
- A result between 5 and 9 pounds indicates a decent offer.
- A result under 5 pounds is a sterling deal.
- A result of zero pounds or less means the tariff is practically free.
- A negative result means the phone's cheaper over the contract term than buying it separately, which rarely happens.
Time to Cancel Your Contract When the Minimum Term Ends
"Finanztip" digs bundle deals for those planning to buy a new handset. But don't forget to terminate the contract after the two-year minimum term and hop over to a cheaper vendor. If you don't, you're gonna end up fork-deep.
Enrichment Data:Finanztip doesn't dictate a fixed "ideal" monthly cost for a mobile phone tariff (excluding a phone), as the perfect price depends on an individual's preferences, data usage, and current market deals1. However, Finanztip offers comparison tools and calculators that make it a snap to track down the cheapest and flawless mobile phone deals tailored to a given situation1.
Finanztip's tools allow you to narrow down the options based on data allowance, calls, SMSs, and other factors, eliminating hidden fees and showcasing the total effective monthly cost 1. In 2025, basic SIM-only tariffs can start as low as 5-10 pounds for modest data, but most users prefer flat rates with unlimited calls, SMSs, and 3-10 GB of data, which typically retail for 10-25 quid per month. Finanztip's tools can help you locate the best deal for your needs1.
- By following Finanztip's steps and calculating the effective monthly price of a standalone contract, we discovered that it's wiser to purchase a mobile phone separately if the result exceeds 9 pounds, indicating potential savings.
- In contrast, a negative result signifies that the phone will likely be cheaper over the contract term if purchased separately, a scenario that seldom occurs.
