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Tips for Saving Money on Telephone Costs

Updated on February 17, 2011

The economy is in a precarious state and most of us are trying to find ways to save money. The best way to save money is to reduce the cost of spending on things that you use every single day. For example, you probably use your phone every day and it's not something that you can just get rid of so you should try to find ways to reduce the amount of money that you spend on phone calls. Following you'll find some basic tips for saving money on telephone costs.

Analyze Phone Spending

The first thing that you need to do is to figure out what you spend on your monthly phone bill. You can't learn how to reduce call costs unless you know where your money is going. Here are some things to consider:

  • How many phone bills do you pay? Do you have a cell phone and a landline? Are there multiple cell phones for your family?
  • How does the breakdown of your costs work? Do you spend a lot on minutes that exceed those within your cell phone plan? Do you spend a lot on international calls? How much do you spend on fees and extra phone features like voice mail?
  • Who are the top five people or businesses that you call?

Identify Ways to Save Money

After analyzing where your money goes, you can figure out ways to save money. These are some of the common problem areas and how to address them:

  • Paying too many phone bills. Options to reduce costs here include getting rid of the landline, getting rid of the cell phone or putting all of the home's cell phones on a single family plan.
  • Over-paying for phone features. Determine whether you need the features that you pay extra for on both your landline and cell phones. Get rid of all paid features that you don't use.
  • Paying more than you need to. For example, you may always go over your minutes on your cell phone and have to pay by the minute; choose a plan with more minutes to save on costs. Likewise, you may have phone service separate from other bills like cable and Internet; you can bundle them and reduce costs.

Common Tips to Reduce Phone Spending

In addition to analyzing your spending and dealing with the problem areas that you've identified as most significant, you can implement the following tips to further reduce the amount of money that you spend on calls:

  • Use free phone cards. There are places online that let you get these but some are scams so review them carefully before you sign up. Use them on a landline so you don't use up your cell phone minutes.
  • Make use of free calls on your cell network. If you have free nights and weekends, make most of your calls then. If you have free calling within the network, find out which people in your use that same network.
  • Learn about VoIP. VoIP calling is completed through the computer and may require no extra hardware or software if you get the right service. You can even get mobile VoIP. These services often have free peer-to-peer calling within the network. Some even offer free calling or low-cost calling at all times. This is a great way to reduce overall phone costs. If you are using the Internet to complete calls, you'll want to look closely for good broadband deals so that you're paying the lowest cost possible for your broadband connection.

Adjusting Your Phone Usage

The main thing that you need to do to reduce the costs of telephone calls is to start changing your phone habits. Don't just pick up the phone every time you think that you need it. Instead, think about the costs of your calls and make wise decisions about when to call people and what method to use to make those calls. Mindful attention to your calling habits can significantly reduce what you spend on calls.


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  • profile image

    Ellen S. 7 years ago

    I think most people would agree that saving money is something “easier said than done”. Personally, I believe it’s a mind-set that needs to be developed by creating good money-saving habits.

    Here are some things I’ve done to help change my spending habits:

    - Cook more at home ? Eating out is very expensive especially if you do it a couple times a week

    - Try shopping online ? You can find better deals than in the store and you save on gas (I recommend

    - Pay the full balance on credit cards each month ? Interest charge is like giving away free money

    - Don’t forget to pay yourself ? Set up an online savings account (they pay higher interest than a normal savings account)

    - Set a budget and goals ? It’s good to have your goals written down so you see them everyday and don’t lose focus on your ultimate objectives

    Again, saving money requires a lot of patience and hard work. However, you’ll thank yourself later on in life. Good luck everyone!! =)

  • adelacuesta profile image

    adelacuesta 9 years ago

    my $0.02 - I have an unlimited VOIP phone service at my home office. I do forward my cellphone to my home phone to reduce airtime/long distance/inter-operator charges.

  • Eileen Hughes profile image

    Eileen Hughes 9 years ago from Northam Western Australia

    You have covered everything in here I think. We all need to follow your directions and try to reduce this big expenditure.

    I want to connect to the net with my wireless laptap while traveling but the only one covering most of australia is Telstra. And the amount of downloads etc (ha ha) mainly due to hubpages.

    I have 1 gig at present. So if I change it will cost me an extra $50 to keep same downloads with Telstra. So that is a no no. Thanks for the great hub