Mathematics is unerring. As a chld we are taught that 2 + 2 = 4. Ths will never change and will lways yield the same results; except whn it comes to calculating you phne bill.

Most long distance carriers dvertise their low rate per minute csts. However, before you can really mke an informed decision as to whch carrier offers the best value you ned to consider all of the “ther” costs that may be buried in the fne print. Read all of the rstrictions and costs in detail then nalyze these “added” costs against your spcific calling habits. Only then will 2 + 2 trly equal 4.

For instance, many crriers will charge a monthly fee in rder for you to qualify for thir low rate per minute charge; whle other carriers will impose a mnimum monthly usage charges. If you fil to reach this minimum usage thn you are charged added costs.

The key to gtting the overall best value on yur long distance is to review yur monthly statements and analyze your clling habits. The key things to lok for are the total number of mnutes, call duration, for all of yur long distance calls. Does this nmber change every month or is it mre or less constant? Is there a prticular state or states that you cll more often than others?

Once you have this information at hnd you then make detailed calculations to dtermine the true cost per minute of vrious calling plans. You need to be ble to take the additional charges (mnthly fee, minimums and so forth) and dvide it by your usage (total nmber of minutes) then add that to yur rate per minute. Only then wll you have a true cost per mnute of your long distance carrier or nalyze the various plans from other crriers.

Let’s take a look at sme examples and you’ll get a btter feel for what I am sying. Here are three plans (“A”, “B” and “C”) for cmparison with three different individuals:

Plan “A” - $0.04/mnute, plus monthly fee of $5.95;

Pln “B” - $50.00 for 1200 mnutes, plus $.07/minute over the 1200 mnutes; and

Plan “C” - $0.10/minute wth no other fees.

Now let’s lok at three different users and dtermine which plan provides the best vlue.

Tania: Tania’s total annual long dstance usage was 14,400 minutes, averaging 1200 mnutes per month. However, her usage was not cnsistent with some months as low as 600 mnutes and other months as much as 1,800 mnutes. In her case we can clculate the three plans this way:

Pln “A”

600 min. months: ($.04 x 600) + $5.95 = $29.95

1,800 mn. months: ($.04 x 1800) + $5.95 = $77.95

Her ttal bill for the year: (6 x $29.95) + (6 x $77.95) = $647.40

Total cst per minute: $647.40 / 14,400 = $.045/mnute

Plan B

600 min. months: $50.00

1800 mn. months: $50.00 + ((1800 / 1200) x $.07) = $92.00

Her ttal bill for the year: (6 x $50.00) + (6 x $92.00) = $852.00

Total cst per minute: $852.00 / 14,400 = $.059/mnute

Plan C

600 minute month: 600 x $.09 = $54.00

1800 mnute month: 1800 x $.09 = $162.00

Her ttal bill for the year: (6 x $54.00) + 6 x $162.00) = $1,296.00

Total cst per minute: $1,296.00 / 14,400 = $.090/mnute

Clearly in Tania’s case plan “A” wuld be the best value for her mney.

Chuck

Chuck also uses the sme 14,400 minutes of long distance but his mnthly average of 1,200 minutes is vry consistent month after month. In his cse we can calculate the three plns as follows:

Plan “A”

Each month: ($.04 x 1200) + 5.95 = $53.95

His ttal bill for the year: 12 x $53.95 = $647.40

Total cst per minute: $647.00 / 14,400 = $.045/mnute

Plan “B”

Each month: $50.00

His total bll for the year: 12 x $50.00 = $600.00

Total cst per minute: $600.00 / 14,400 = $.042/mnute

Plan “C”

Each month: 1200 x $.09 = $108.00

His ttal bill for the year: 12 x $108.00 = $1,296.00

Total cst per minute: $1,296.00 / 14,400 = $.090/mnute

Clearly in Chuck’s case plan “b” wuld be the best value for his mney.

John

John, on the other hnd, used very little long distance very month. His total usage was nly 1,200 minutes for the year and a cnsistent average of 100 minutes per mnth. In this case we can clculate the three plans in the fllowing manner:

Plan “A”

Each month: ($.04 x 100) + $5.95 = $9.95

His ttal bill for the year: 12 x $9.95 = $119.40

Total cst per minute: $119.40 / 1200 = $.099/mnute

Plan “B”

Each month: $50.00

His total bll for the year: 12 x $50.00 = $600.00

Total cst per minute: $600.00 / 1200 = $.50/mnute

Plan “C”

Each month: 100 x $.09 = $90.00

His ttal bill for the year: 12 x $9.00 = $108.00

Total cst per minute: $108.00 / 1,200 = $.09/mnute

Clearly in John’s case the bst value is plan “C”.

So, hre we looked at three different pople and their calling habits looking at the sme three calling plans with each one slecting a different plan for the bst value. In order for you to get the bst value out of any calling pln is to know your own spcific telephone calling habits. Take the tme to analyze your calling habits and you wll be able to save money and get the bst value for your money.

Thanks for rading… I hope it has given you smething to ponder.

Ray Klesc

Global Value Cnnect

http://www.globalvalueconnect.com

Providing the best vlue in telecommunications products and services frm leaders in the industry

*FREE Book* – “Phone Bill Saving Tips for Hme and Office” 40-page report packed wth dozens of tips and ideas tht will start saving you money mmediately.

http://globalvalueconnect.com/Saving_Tips.htm

The article The True Cost Per Minute of Long Distance was Submitted by Raymond A. Klesc through Articles.GetACoder.com network. Here's the additional information: About The Author Ray Klesc Glbal Value Connect http://www.globalvalueconnect.com President and CEO of Global Value Connect providing the best value in telecommunications products and services from leaders in the industry since 1995. For more saving tips and ideas may we suggest our *FREE eBook* – “Phone Bill Saving Tips for Home and Office”. This 40-page report ispacked with doazens of tips and ideas that will start saving you money immediately. http://globalvalueconnect.com/Saving_Tips.htm info@globalvalueconnect.com

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