Food for thought!

Om nom?

With Google annoucing now that the GSM galaxy Nexus is being dropped to $349, I thought everyone would like a comparison on how much you can save by going prepaid instead of postpaid.

Remember, this is a simple comparison and depends where you live and what service you choose.  This will hopefully start making more sense to folks as I post more about different carriers that offer more coverage.










Verizon:

LTE Galaxy Nexus = $149.99 + sales tax = $158.99 (in Pennsylvania)

Unlimited minutes + Unlimited Texting + 2 GB Data ($10/GB overage charge) = $119.99/month + taxes = about $135/month

$35 activation Fee or $30 existing customer upgrade charge (stupid fees)

Total 2 year contract cost is about $3428.99

T-Mobile prepaid:  (See my previous post A study in magenta)

Google GSM Galaxy Nexus = $349 + applicable taxes (comes to $381 taxed and shipped to me here in Pennsylvania)

Unlimited Minutes + Unlimited Texting + 2 GB data (throttled but no overage charge) = $60 + taxes = about $70/month

Total over 2 years = $2061

Savings over Verizon = $1367.99 over 2 years (or a whopping $57 per month)

That is some significant savings.  I sure would love $57 per month extra to spend on other things.....like the new Nexus 7 Tablet!

Hopefully that lets helps everyone understand how much money their plans are costing them.  I know there are folks out there who get discounts through their jobs, as much as 23% off their costs.  Even with this factored in, the cost for this is $2639.56 over 2 years. In this instance prepaid still offers a savings of $578.56 over 2 years, or $24.10/month.

Some folks may believe that an acceptable cost, but I do not.  Not to be locked into a contract with termination clauses in excess of $300.

What would you do with $24 to $57 per month extra?

Let me know your thoughts below :)

-Matt