Choosing the best cell phone plan can be overwhelming, considering the many mobile plans available.
Two of the most popular are unlimited and pay-as-you-go options. Each has unique advantages depending on your needs, lifestyle, and budget. Choosing a bad plan means paying more money or going without the services you need.
You can avoid that by considering the following six recommendations for choosing the right plan.
1. Learn About Unlimited Plans
Unlimited plans typically have unlimited talk, text, and data usage. Some have high-speed data caps -- after which speeds are reduced. But the overall theme is flat-rate, predictable billing for heavy usage.
You’ll want to consider unlimited plans if you work remotely, stream media, use GPS extensively, or use your smartphone as a hotspot.
2. Understanding Pay-As-You-Go Plans
Pay-as-you-go plans operate on a pay-as-you-use basis. You load credit on your account and you pay per minute, text, or megabyte of data used up.
The plans are appropriate for light users, occasional users, or anyone with a tight budget who likes to have full control over costs.
If you're among the 2% of Americans who don't own a mobile phone of some type, the cost might be one reason. Some people are happy with landline phones and can't justify the cost of getting a smartphone and mobile plan. But a pay-as-you-go plan is an option if you want a smartphone for convenience, security, or some other reason at a set price.
3. Evaluate Your Patterns of Use
Before settling on a plan, consider what you do on your phone every day. Do you watch video streams, scroll through social media feeds, or use your phone at work? If any of the aforementioned applies, an unlimited plan might be the way to go.
If you only use your phone for random calls or texts and never use cellular data, however, a pay-as-you-go plan can save you money.
To make an educated decision, examine your recent phone bill or access your device's data usage monitor to see how many megabytes of data you typically consume in an average month.
4. Consider Your Budget
Pay-as-you-go plans are less expensive initially, as you only pay for what you've consumed. There are no contracts, and you can scale up or down based on your needs. This is ideal for students, seniors, or individuals with an unpredictable income.
Alternatively, unlimited plans cost more on a monthly basis but are reliable. If you need steady, ongoing connectivity -- especially for remote work or school -- it may be worth spending the additional money to avoid overage charges or disruptions.
5. Look at Travel and Roaming Needs
If you travel a lot, you need to consider how a plan handles roaming. Some unlimited plans include national and international coverage, but pay-as-you-go plans may charge you for roaming or don’t support it at all. Not knowing the particulars could cost you.
However, for people who are overseas half the year or don't get around much, a pay-as-you-go SIM per country could be cheaper than paying global rates on a large carrier's unlimited plan.
6. Keep in Mind Flexibility
Pay-as-you-go rates offer flexibility. There are no contracts or commitments, and you can change providers or alter your plan whenever you wish. This is ideal for consumers who value freedom or are testing out various providers.
Unlimited plans are typically contract-bound in nature. If your circumstances suddenly shift -- losing a job or working from home -- you might find yourself paying for what you don’t use unless you change to a different plan.
Remember that unlimited plans offer convenience and on-the-go connectivity for high-demand users, and pay-as-you-go plans offer flexibility and control over your budget. Choosing between pay-as-you-go and unlimited cell plans is all about what’s best for you.
