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B.A.T

macrumors 6502a
Oct 16, 2009
843
707
Idaho
Keeping my 8+ for as long as possible. I've spent way more on camera gear this year than the most expensive Pro Max costs. But that's me I'm happy for everyone that has upgraded the new phone look killer.
 

Chocolatemilty

macrumors 6502a
May 17, 2009
653
113
Los Angeles, CA
First and Foremost, HAPPY iPhone LAUNCH DAY MacRumors Family!!!

I'd like for this thread to serve as a sounding board for those who "primarily" own their phones outright like myself.

With that said, I've resisted the wave of pre-order fury and now launch day excitement over iPhone 11 & iPhone 11 Pro & 11 Pro Max. Here's how I was able to do so...

Apple will give me $600 for my Xs Max, that leaves a balance of $650 owed + applicable taxes (7% where I live). So let's just say I did decide to upgrade and join the annual upgrade crowd. Assuming I continue to get the Max 256 and assuming pricing stays the same @ $1250; here's what my cost would look like annually:

$1250 x .07 = $87.50 for tax; $1250 - $600 for annual trade = $650 + $87.50 = $737.50 that I would need to come up with annually if I want to fully own and do hassle free trading through apple.

Now what I said I was going to do going forward was upgrade every 3 years at the earliest. So again assuming prices stay the same and I go with the same model Max 256 @ $1250; here's what I came up with for myself: $1250 x 1.07 = $1337.50/36 (months) = $37.15 that I'll put into a savings account every month going forward for all future iPhone purchases.

So I could upgrade 3 times in the next 3 years and pay $737.50 x 3 = $2212.50 overall OR Keep my iPhone Xs Max and pay $1337.50 in 2021/2022. That's a difference of $875 I save by being content with my current device. Not life changing money but it's almost the cost of another iPhone 11 Pro and definitely iPhone 11 plus a few accessories.

Again HAPPY iPhone LAUNCH DAY to those that have upgraded!!! However, for those of us on the fence or staying put, I just wanted to bring a financial snapshot into the equation so as to have a more well rounded discussion on whether to upgrade or not.

This is a great overview, thanks OP.

I actually did so something to substantially lower the price of both my iPhone and iPad purchases on Friday with this line of thinking in mind, but in more with of a Robin Hood course of action haha.

My bro-in-law, nephew and father all were on 6, 6 Plus, and 6S Plus phones respectively. Knowing that the 6 wouldn’t be receiving feature and security updates any longer (besides the potentially catastrophic ones) led me on a carrier crusade against AT&T. We’ve been customers since my mother got the first cell in family in ‘94 with AirTouch. Never made a payment late in 25 years with two different accounts. I got on the horn with retentions and instructed them on this as they were running their free iPhone 8 program, but only for new customers. Long story short — they got iPhone 8 and 8 Plus’ for free (when you’re firm but polite with retentions, it’s amazing what they can do for you when they want to keep your 8 lines of service). With that, their current iPhones were done, so they allowed me to take them in for trade-in for myself for getting them new-to-them free iPhones that can run iOS 13 beautifully.

Then, a client of my mother’s heard from her about this and they asked me if I could help them do the same — they’ve been with AT&T for 20 years. So I helped them through retentions and got them a similar deal (heavily discounted XR and XS phones). For compensation, they gave me their older 6S Plus and 7 Plus iPhones (2 each, 4 in total). With that I traded them all in to Apple for convenience (I know I could’ve gotten more through Swappa or Craigslist, but it was the Wednesday before 11 Pro preorder and I had no intention of running a mini-business selling old iPhones lol).

When I went in to trade in at the store, I could tell the worker was questioning how I got all these devices on this face lol. I told him my story and he called me a Genius hahaha. Well, I surely left money on the table if I had of just sold them all myself, yeah, but if time allocation has a price, I happily paid it to get all of that done in 30 minutes vs. 30 days.

All in all, and with my own iPad 2018 trade in, I traded in a total of $1,040 worth of older Apple gear and was able to get my new 11 Pro unlocked and iPad Air on education discount with the free Beats for educators for just over $475 out the door. I plan on keeping these for years and both will move down the line in the family!
 
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Chocolatemilty

macrumors 6502a
May 17, 2009
653
113
Los Angeles, CA
First and Foremost, HAPPY iPhone LAUNCH DAY MacRumors Family!!!

I'd like for this thread to serve as a sounding board for those who "primarily" own their phones outright like myself.

With that said, I've resisted the wave of pre-order fury and now launch day excitement over iPhone 11 & iPhone 11 Pro & 11 Pro Max. Here's how I was able to do so...

Apple will give me $600 for my Xs Max, that leaves a balance of $650 owed + applicable taxes (7% where I live). So let's just say I did decide to upgrade and join the annual upgrade crowd. Assuming I continue to get the Max 256 and assuming pricing stays the same @ $1250; here's what my cost would look like annually:

$1250 x .07 = $87.50 for tax; $1250 - $600 for annual trade = $650 + $87.50 = $737.50 that I would need to come up with annually if I want to fully own and do hassle free trading through apple.

Now what I said I was going to do going forward was upgrade every 3 years at the earliest. So again assuming prices stay the same and I go with the same model Max 256 @ $1250; here's what I came up with for myself: $1250 x 1.07 = $1337.50/36 (months) = $37.15 that I'll put into a savings account every month going forward for all future iPhone purchases.

So I could upgrade 3 times in the next 3 years and pay $737.50 x 3 = $2212.50 overall OR Keep my iPhone Xs Max and pay $1337.50 in 2021/2022. That's a difference of $875 I save by being content with my current device. Not life changing money but it's almost the cost of another iPhone 11 Pro and definitely iPhone 11 plus a few accessories.

Again HAPPY iPhone LAUNCH DAY to those that have upgraded!!! However, for those of us on the fence or staying put, I just wanted to bring a financial snapshot into the equation so as to have a more well rounded discussion on whether to upgrade or not.

This is a great overview, thanks OP.

I actually did so something to substantially lower the price of both my iPhone and iPad purchases on Friday with this line of thinking in mind, but in more with of a Robin Hood course of action haha.

My bro-in-law, nephew and father all were on 6, 6 Plus, and 6S Plus phones respectively. Knowing that the 6 wouldn’t be receiving feature and security updates any longer (besides the potentially catastrophic ones) led me on a carrier crusade against AT&T. We’ve been customers since my mother got the first cell in family in ‘94 with AirTouch. Never made a payment late in 25 years with two different accounts. I got on the horn with retentions and instructed them on this as they were running their free iPhone 8 program, but only for new customers. Long story short — they got iPhone 8 and 8 Plus’ for free (when you’re firm but polite with retentions, it’s amazing what they can do for you when they want to keep your 8 lines of service). With that, their current iPhones were done, so they allowed me to take them in for trade-in for myself for getting them new-to-them free iPhones that can run iOS 13 beautifully.

Then, a client of my mother’s heard from her about this and they asked me if I could help them do the same — they’ve been with AT&T for 20 years. So I helped them through retentions and got them a similar deal (heavily discounted XR and XS phones). For compensation, they gave me their older 6S Plus and 7 Plus iPhones (2 each, 4 in total). With that I traded them all in to Apple for convenience (I know I could’ve gotten more through Swappa or Craigslist, but it was the Wednesday before 11 Pro preorder and I had no intention of running a mini-business selling old iPhones lol).

When I went in to trade in at the store, I could tell the worker was questioning how I got all these devices on this face lol. I told him my story and he called me a Genius hahaha. Well, I surely left money on the table if I had of just sold them all myself, yeah, but if time allocation has a price, I happily paid it to get all of that done in 30 minutes vs. 30 days.

All in all, and with my own iPad 2018 trade in, I traded in a total of $1,040 worth of older Apple gear and was able to get my new 11 Pro unlocked and iPad Air on education discount with the free Beats for educators for just over $475 out the door. I plan on keeping these for years and both will move down the line in the family!
 

redman042

macrumors 68040
Jun 13, 2008
3,051
1,629
My wife and I have been annual upgraders since our first iPhones, the iPhone 3G. We get a lot of use out of our phones, and we appreciate great photos. Upgrading annually was always a luxury but it was one that was well worth it to us. We currently have the XS and XS Max.

But this year we’ve finally said enough with the annual upgrading. Our reasons:

  1. iPhones are getting really really good now. They are faster than they need to be. They have edge to edge displays. The cameras are amazing. I used to be able to justify upgrading because the CPU was struggling or the camera could be better or the newest phone was a big redesign, but that’s not the case anymore. The XS Max will be a great phone even in its third year.
  2. Upgrading used to cost a whole lot less and the phones held their valve better.
  3. Upgrading might be the equivalent monthly cost of a decent meal out or whatever, but we are eating out too and there’s a billion other things to spend money on. It all adds up. So we’re trying to be more sensible.
While we’d really enjoy night mode and the wide angle lens, and I will admit Apple did a great job on those upgrades, those are essentially the only major changes in this year’s model, and it’s a stretch to say that paying $500 x two phones (after trade-in), plus taxes and fees, is worth it for that in comparison to the XS models we have now.

My plan is to wait two more years (total of three), but in all likelihood we’ll give in next year.

However I will never criticize someone who upgrades annually. Each person gets to choose their own indulgence. I have no problem with that.
 

MisterSavage

macrumors 601
Nov 10, 2018
4,667
5,513
I spend about $400 out of pocket every year on two new phones (myself and my wife). That’s $33/mo. There’s a ton of people who drink away $33 every other night, every weekend, or a few times a month. Or even people who have pets, a lot spend more than $33/mo in pet food, toys, amenities, and vet visits. There’s countless hobbies out there that cost more than $33/mo. Hell, I’ve spent more than $33 every single month on gas for my motorcycle on joy rides (non commuting), and nobody bats an eye. But tell them I buy new phones for myself and my wife every year, and people have acted like that’s completely irresponsible.

My $400 out of pocket after considering leverage on rewards credit cards and selling the previous year’s models. This is reason enough for me to buy every single year. $400 annually to enjoy new tech is a reasonably small price for a hobby. A healthy, safe hobby at that.

E-X-A-C-T-L-Y. There's a lot of generalizations being thrown around about people who upgrade every year. Paying $60 a month for the enjoyment of upgrading every year is more than worth it to me.
 
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dagmar10

macrumors newbie
Sep 8, 2019
18
11
Yeah, like some people, keeping your phone mint & battery health high (so don't charge like a goon) for one whole year is the way to go. Then sell that mint phone and use the moneys towards the latest & greatest. Will probably cost yearly around $300. Way better than the IUP.
 

tonybarnaby

macrumors 68020
Dec 3, 2017
2,385
1,741
I have cash in hand for Apple, but their oled messes with my head so I’m still waiting for a breakthrough. That’s how I saved $1300 this year.
 

Wide opeN

macrumors 68000
Original poster
Aug 27, 2010
1,763
1,035
Georgia
This has been a great discussion so far... on BOTH sides.

Conversely, I don't know if there's a name for it but I find the longer I hold on to my device the more I fall in love with that specific individual device. I gradually stop caring about scratches, battery health, etc and just start to enjoy the device that much more.

It really is liberating... to be into all the latest tech, but not "have" to indulge... It's like walking a tight rope or something, or looking over a cliff without falling. I'm actually loving this space I'm in right about now.
 

nostresshere

macrumors 68030
Dec 30, 2010
2,708
308
Biggest ways to save money on these things.

1 - Keep it longer to spread out the cost.

2 - Do not buy at launch. Wait a few months for sales. Of course this year, there were lots of deals during launch week. Would guess even better down the road.

3 - Buy each model just after the next one comes out. Prices usually drop quite a bit then.

As a few posters here have shared, their IPHONE6 still does a great job.
 

AddisonIII

macrumors regular
May 8, 2013
190
54
Yes, happy LAUNCH DAY! I have been consuming a lot of reviews and I have to say this I have been feeling the itch to join in.

I like the way you've spelled this out. Let me offer another way I look at it - on a yearly cost basis. This has proven to also be helpful to compare to the new pricing marketing that Apple is really pushing hard through the Upgrade Program. (It finally all clicked for me when reading this editorial from Stratechery.) For the purposes of this simple exercise, I don't discount cost over time.

If you bought another phone today at $1250+tax, and held it until 2022 (3 years), the annual cost would be:
$1250*1.07/3 years = $446

If you used the iPhone Upgrade Program in order to upgrade every year, the first year's annual cost would be:
$60.33*12 months*1.07 = $775

If you kept upgrading after every 12 months, assuming prices stay flat, your total cost would be:
$775*3 = $2325

The difference between the iUP price and the outright price today after 3 years is $988!

Now, this assumes there's no trade-in happening, which I know isn't exactly your case but I wanted to generalize a little bit. Obviously starting with some trade-in value brings these figures a little closer together, but the trade-off is a one-time phone upgrade vs. a long-term annual cost hike.

This becomes more apparent if you consider owning phones for longer than 3 years.

4 years - $334 annual cost
5 years - $268 annual cost

When I did this kind of math for myself, I found it really compelling *not* to give in. I think that on a monthly basis, it can look appealing. "You mean for just $60/month I can have the latest new phone? $2/day? Pshh I spend $2 without thinking every day, let's just do it." But I think that seeing the yearly numbers has a different mental impact for most people.... which is obviously why it's not marketed that way so I'm not uncovering anything new here.

The last phone I bought outright was an iPhone 6, and after ~5 years of use and 2 battery swaps, my annual cost still came out to something around $180. In my case - and I know my logic won't appeal to everyone - but for me I am finding it hard to justify moving up to an annual cost that might be 2.5x higher. In 5 years my income hasn't remained flat but it certainly hasn't moved up 2.5x.
It's kind of funny when you think about how we each see things so differently, and I for one agree with your thought on this subject. If more people would take the same approach maybe prices wouldn't sky rocket so quick.
I wish I could more understand the excitement and thinking so many have who dream of upgrading every year or so and do just that. I hate having payments, so when I have a need to upgrade most times I pay up front. Lastly..I'm sure Apple loves us all, maybe some more than others. Just my 2 cents on the topic.
 

okieoutwest

macrumors regular
Sep 14, 2019
208
239
If more people would take the same approach maybe prices wouldn't sky rocket so quick.

I agree, and while I'm no economist, I think we saw that in action with supposedly slow sales of the XS and XR and subsequent tweaking of the naming and pricing that followed. There's a finite limit to how high prices can go while wages have remained flat over the last 12 years of iPhone releases. Adjustments to that are likely slow but will become clear in hindsight a few more years down the road... maybe even this year will signal to Apple whether its found its ceiling/floor for pricing for now.
 

redman042

macrumors 68040
Jun 13, 2008
3,051
1,629
Apple made some of their lower-end models less expensive this year. They also released their new subscription services (Apple Arcade and TV+) at very competitive price points. I think they've found their near-term ceiling. Also remember that the OLED phone models are considered their high-end "luxury" phones. They aren't meant for everybody, and they don't expect most people to upgrade the Pro models every year, though some will. For the average person, the non-pro models are more reasonably priced and the phone of choice. In either case, these phones are made to last at least three years.

Apple used to just offer one new phone model each year, and that was it. And they were not so packed with power and features for their time as today's models. I remember right after buying the iPhone 6+ that I found the CPU to be lacking. I couldn't wait to upgrade it when the 6S + came out. It's sure not that way anymore.
 

danilko1

macrumors 65816
Jun 21, 2010
1,087
366
I have been upgrading, paying full price, unlocked, each year, since the iPhone 7, and subsidized locked to AT&T for even longer. Really the subsidized price was a no-brainer. The subsidy was something close to $400 every two years, and that was not something you paid in to, it was use it or lose it.

A single phone in my family, lasts 5 years, so far. The oldest phone in use, currently, is the iPhone 6 Plus, which soon will be replaced with the 6S Plus. I think the 6S Plus was the last subsidized phone from AT&T, @ $399...

Given a phone lasts 5 years, and the cost for an X class (250GB), is $1250 after tax, that amounts to, $250/year or $21/mo. Worst case scenario.

It's still a lot of money. I paid $250 for a Sony Ericsson 810w with 2yr contract, back in 2005. I felt really bad about that at the time. I guess its a matter of perspective.

In my situation, if I don't get a new phone, and the way we have it arranged, the person who has the iPhone 6, is stuck with an unsupported iPhone and an insecure iOS 12. When I do update, 5 family members get a new and upgraded phone, to them, with the most current iOS 13 and whatever new features that may bring.

Another perspective is to buy 5 iPhone 11 Pros, and use them for 5 years, before getting the then new model. 5 years is a long time. At the tail end of that, who knows what problems we would be facing with some or all of them. At least with my current situation I am buying one a year and then everyone feels an iterative bump every 12 months. I don't see that as a bad thing.

I think three to four years is just about as long as one person can take with the same iPhone.

My habits will change, if and when my kids are old enough to decide on their own to buy a new model, instead of getting a free hand-me-down. So far, everyone seems to be happy.
 
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Wide opeN

macrumors 68000
Original poster
Aug 27, 2010
1,763
1,035
Georgia
All I know, is it feels good to be holding the power by fully owning my device. I'm the one doing the dictating.

I've decided to vote with my wallet.
 
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The-Real-Deal82

macrumors P6
Jan 17, 2013
16,547
24,310
Wales, United Kingdom
I enjoy upgrading every 2 years on average and find I get more enjoyment from a device that way. Upgrading every year for me would make it less appealing to be honest. I don’t have the bug for wanting the latest and greatest anymore and I’ve found what Apple now offers in their mid tier is plenty good enough for people like me, the average consumer. Phones aren’t as exciting as they used to be and any iPhone you get these days will be powerful and feature packed enough.
 
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compwiz1202

macrumors 604
May 20, 2010
7,389
5,742
I’m also concerned about the annual numbers thrown around when they talk about a few bucks a day. They’re also not convincing me of anything with a coffee analogy. I hear them suggesting that I quit coffee to come up with the money. Nope.
Yea that's the point. I don't care about daily lattes but I like to have modern tech. Some would rather have coffee or whatever else daily. Now if you choose them all, that is definitely an issue.
[automerge]1577388629[/automerge]
Nope! Tax free in Delaware.
I always ponder going to DE whenever I want the new iPhone but always think it won't be worth the gas and tolls and such.
[automerge]1577388717[/automerge]
All I know, is it feels good to be holding the power by fully owning my device. I'm the one doing the dictating.

I've decided to vote with my wallet.
Good I don't have the willpower, but I also don't complain about the price as I hand Apple more $$$.
[automerge]1577388848[/automerge]
I agree, and while I'm no economist, I think we saw that in action with supposedly slow sales of the XS and XR and subsequent tweaking of the naming and pricing that followed. There's a finite limit to how high prices can go while wages have remained flat over the last 12 years of iPhone releases. Adjustments to that are likely slow but will become clear in hindsight a few more years down the road... maybe even this year will signal to Apple whether its found its ceiling/floor for pricing for now.
Especially when a phone is only one of the bunch of things with prices rising faster than wages.
 
Last edited:

JagRunner

Suspended
Oct 18, 2018
580
2,735
Houston,Texas
I upgrade when I feel like it lol

I didn't have the X, but I got the XS Max and now I went to the 11 Pro because I wanted something more portable and not like a brick in my pocket.

I make a good living and treating myself to a new piece of tech when I want it is good enough for me. Like someone else stated people like to spend their money on different things like pets. My ex spent thousands on his dogs when we dated. I'd rather spend money on stuff I like (Sorry pet owners lol)
 
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jettie1767

macrumors 6502a
Oct 29, 2003
587
225
New Jersey, USA
I don't mind paying monthly as long as there is no interest. I switch every year and don't mind the monthly payments. Sometimes, I buy the phone outright. Just really depends on what I feel like doing at the moment.
 
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steelhauler34

macrumors 6502
Jul 23, 2019
345
251
You could be like me. I just bought a new iPhone 7 Plus for 350. That 350 will last me at least 3 years. That’s only a little over 100 per year. At the end of that cycle I will buy a new several generations old phone again. You can say whatever you want but the fact is my older phone will place calls, texts , emails, web browse and take pics just like the 1250 dollar phone.
 

nickdalzell1

macrumors 68030
Dec 8, 2019
2,787
1,669
I still can't find one thing the iPhone 11 does that my 6S doesn't do enough. I never buy a phone for its camera (I would prefer a DSLR over a crappy phone camera) anyway so if that's the only real improvement I'll save the $1000 and be happy. If it ain't broke don't fix it. I still like home buttons and headphones that are wired when my Bluetooth ones die.

I no longer have a real carrier plan (read: I'm on prepaid now) and I would rather buy outright over being locked into a 2-year payment plan.
 
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Wide opeN

macrumors 68000
Original poster
Aug 27, 2010
1,763
1,035
Georgia
Honestly, I only upgraded from my iPhone 7 for band 71 on T-Mobile and Face ID as I hate the home button.

Everything after that is just icing. My OP has renewed my strength. I don't mind the pricing as much anymore; however, I do like being in control.

I'll continue to indulge from afar ?
 
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nickdalzell1

macrumors 68030
Dec 8, 2019
2,787
1,669
Doesn't Face ID require a swipe up though? I don't think I'd like having a nasty swipe mark on my screen after I unlock my phone.
 
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