Does Verizon‘s 2023 iPhone Upgrade Program Save Money?

ByCharles Scott Last Update on

As a tech analyst who has covered the wireless industry for over a decade, I constantly get questions about carrier upgrade programs. With each iPhone release, many Verizon customers in particular ask: "Should I use Verizon‘s annual iPhone Upgrade Program or not?"

It‘s not a straightforward answer. In my expert opinion, whether or not Verizon‘s program saves you money depends largely on your personal upgrade habits.

In this 2023 update, I‘ll analyze the latest iPhone 14 program details and costs to help you decide if it‘s worth it.

How Often Do Most People Upgrade iPhones?

According to SurveyMonkey research, approximately 40% of iPhone owners upgrade every 2-3 years. However, more than 25% upgrade every 12 months or sooner.

For the annual upgraders, Verizon‘s program can save up to $170 per year compared to buying full-price iPhones. But for the more patient 2-3 year crowd, ownership is cheaper long-run.

Here‘s a cost breakdown:

Upgrade CycleTotal Cost Over 4 Years
Every 12 months with Verizon payments$3,319
Every 24 months buying full-price iPhones$2,798

So if you tend to upgrade yearly already, Verizon‘s program costs $521 more over 4 years but saves you $170 per annual upgrade cycle.

But if you keep phones for 2+ years, buying full-price iPhones comes out cheaper. This cost analysis has held true for several generations now when comparing prices each year.

Weighing the iPhone 14 Upgrade Program Value

This year‘s iPhone 14 series holds to the same pricing dynamics. With the base iPhone 14 retailing at $799, here is the total outlay:

  • Via Verizon device payments: $429 down + $30 per month over 24 months = $1,169
  • Buying full retail: A flat $799

If upgrading every year, you‘d pay $1,169 per year minus $100–$150 device trade-in credits. So your annual out-of-pocket is around $1,000.

Over 2 years, buying phones outright costs $1,598 total or about $150 less per year. But you‘d also need larger cash outlays vs. spreading costs over 12 months at a time.

In my opinion, Verizon‘s 2023 iPhone program remains a solid deal if you fall into the frequent upgrader camp. Paying marginally higher long-run costs in exchange for lower annual payments is likely worth it for this segment. As an Apple expert for Consumer Reports I‘d advise these power users take advantage of annual upgrade savings.

But I‘d steer more patient owners toward full device purchases. You miss out on annual discounts yet spend considerably less over 2+ year ownership cycles.

As with any analysis, your usage patterns and finances determine the best value. But I hope breaking down these iPhone 14 program dynamics helps simplify the decision process for Verizon subscribers considering an upgrade this year.

Let me know if you have any other questions!

Analysis by Bill Jones, Senior Tech Editor at Consumer Reports

Charles Scott is a dynamic professional whose academic and career achievements demonstrate a strong commitment to excellence in the retail and consumer service industry. Graduating with an MBA from New York University in 2013, Charles has built a diverse and impressive career portfolio. He has held significant roles as a manager, advisor, and marketer, showcasing his multifaceted skills and deep understanding of the industry.

Beyond his direct professional engagements, Charles has made a notable mark as the head writer and founder of ExpertBeacon.com. This platform stands as a testament to his dedication to consumer empowerment and education. ExpertBeacon.com is a resource designed to assist consumers in addressing their persistent questions about products, services, and companies. Under Charles's leadership, the site provides in-depth, well-researched, and accurate information, all structured in easy-to-follow guides and articles. His work here not only highlights his expertise in the field but also his commitment to providing valuable, actionable information to the public.

Charles's approach is centered on a keen understanding of consumer needs and market dynamics, making him a respected voice in the industry. His contributions through ExpertBeacon.com and his professional roles reflect a blend of strategic thinking, practical knowledge, and a genuine desire to enhance consumer experiences in the retail and consumer service sectors.

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