Skip to main content

My Million Dollar Smartphone

When Steve Jobs introduced the iPhone in 2007, I knew the world had changed.  This product was immediately one of the most capable smartphones in the world and a status symbol that everybody wanted.  I had some savings in the bank, and decided to put it to good use.  But I didn’t buy an iPhone.  Instead, I bought a small amount of stock in the company.

To this day I have never owned an iPhone.  While many of my friends do, I have never been able to justify the expense. Earlier today I went to the Verizon webpage to see what it would cost me to buy one.  I selected the cheapest current iPhone and clicked “express checkout.”  Without any insurance plan or additional services, the monthly bill came to $92.08 a month.

For over a year now I have been with a company called Republic Wireless.  (No, they are not paying me to write this!)  I paid less than a hundred dollars for a Moto E smartphone, and am on their $10 a month plan with unlimited talk and text.  On two occasions have I paid a few bucks more for temporary data because I was traveling. However, I am on Wi-Fi most of the time, and rarely need mobile data. 

This saves me $80 a month, and that can really add up.  If an 18 year old opted for the more frugal phone, and faithfully invested that money in a no-load index fund that averages 10% a year, he would be able to retire from that money alone.  By the time he reached the full retirement age of 67, the account would have grown to over $1.1 million.

I’ll be honest, when I see people using the new iPhone, I’m a little jealous.  It’s a great phone, and is probably worth the $649 you’ll pay for the cheapest model. But then I remind myself that it is not worth as much as my Moto E.  My entry-level smartphone is worth over a million bucks!


  1. An expensive phone and plan can be justified if they are a tool that enables one to do their job more productively than the cheaper phone and plan. But that is not the case in most situations. Another important consideration is that using the latest technology says something about the person. Our technology is now part of our fashion. Sometimes the extra money spent improving one's brand (such as buying a new wardrobe or using a new technology) *may* reap greater opportunities and income in the future. Every person's situation is different. It is important to recognize that someone's frugality sends a message to others. Whether it is right or not, people seem to look at the well-dressed guy who drives a nice car and uses the newest technology as being more successful than a more modest person. Perhaps a hesitancy to use newer technology portrays a person as risk-averse and traditional causing them to miss out on opportunities that require creativity and risk (e.g., a start-up company). What does the phone you use, the car you drive, and the clothes you wear say about you? Whether we like it or not, everything we do communicates our brand.

    1. There are certainly some exceptions to this, as you noted. I am not an expert on personal branding. However, I tend to place more emphasis on how a person presents themselves than on what kind of technology they use. It is important that a person is confident, friendly, has good hygiene, and is reasonably in shape. However, your phone does say something about you. According to a Daily Mail article published July 31, 2013, iPhone users rate themselves most attractive, BlackBerry users earn the most, and Android users are the most creative.

  2. I appreciate you sharing this. I see it more as an economics lesson than forgoing fashion or style. Every financial decision we make has an opportunity cost : Do I want this new iPhone @ $98/month ? Or do I have a greater desire to invest the $88/month towards my financial future. Actually, we make dozens of financial decisions daily. This example helps give pause, and allows the reader to consider the future benefits of utilizing today's dollars!

  3. This comment has been removed by a blog administrator.

  4. This comment has been removed by a blog administrator.

  5. This comment has been removed by a blog administrator.

  6. This comment has been removed by a blog administrator.

  7. This comment has been removed by a blog administrator.

  8. This comment has been removed by a blog administrator.

  9. This comment has been removed by a blog administrator.

  10. This comment has been removed by a blog administrator.

  11. This comment has been removed by a blog administrator.

  12. This comment has been removed by a blog administrator.

  13. This comment has been removed by a blog administrator.

  14. This comment has been removed by a blog administrator.


Post a Comment

Popular posts from this blog

Is Christmas a Pagan Holiday?

Christians are often surprised to learn that December 25th was associated with sun worship, the Mithras cult, and the emperor cults of the Roman Empire long before it was ever thought of as Jesus’ birthday. Christmas day comes from ancient pagan religions, and would have known to the early Christians as Sol Invictus (Latin for the Invincible Sun).
Even before Roman times, the Greeks honored Helios (the Greek sun god) on December 25th.The Coin of Rhodes bears this god's image, and several Seleucid and Ptolemaic rulers associated themselves with this god.In Rome, emperor cults became the chief religion of the land.Some emperors were not content to wait until the senate deified them after death, and associated themselves with gods while they were still alive.Nero, Constantine, and Julian the Apostate all chose the sun god and continued to give priority to the pagan feast held on the day we now call Christmas.

The Philocalian Calendar shows that some time before A.D. 336 Christians be…

A More Sure Word

As a young follower of Christ I struggled to understand the relation between reason and faith.  One particularly troublesome passage was the first chapter of 2 Peter.  In this passage, Peter writes about his experience with James and John where they witnessed the transfiguration of Jesus.   Then in verse 19, he writes, “We have also a more sure word of prophecy…”
This passage seemed to teach that a Christian should trust the Bible even more than physical evidence. According to that view, Peter was essentially saying that on the one hand you have empirical proof, and on the other hand you have the Bible.  And of course, the Bible is “more sure” than even his eyewitness experience. That would mean Peter was supporting a fideistic type of faith.  However, that would violate both reason and other scriptural passages.
Recently I realized that I had completely misunderstood what Peter is saying. He is not saying that the word of prophecy was more sure than his eyewitness encounter.  He is a…

Things I Don’t Spend Money On

Many people know they should be saving for a rainy day or retirement, but can’t because they have no money left over at the end of the month.  If they only earned a few hundred dollars more each month, they would be able to put some aside.  The sad truth is, most people’s lifestyle is almost exactly equal to (or greater than) their income.  Living below one’s means seems too hard or old fashioned. 
Our family went down to one income years ago when we had our first child.  Since that time, we have made budgeting and stewardship a priority.  Even with a household income well below the median income in the United States, we are able to give, save, and enjoy plenty of great memories together as a family.  One element to this equation is what we don’t spend money on.  Here are a few examples of items that cost us $0 each month. Cable or Satellite TV.  Living without television may sound strange, but it certainly has some benefits.  For most of human history, families figured out how to get b…

The Best Books I've Read

I love getting a good book recommendation, and am often asked for reading suggestions.  After looking over my reading log from the past few years, I picked a few of my favorite titles to share with you. 

Feel free to comment and pass this list along.  I would love to know what books you have enjoyed or are hoping to read.
Apologetics Mere Christianity by C. S. Lewis. While Lewis was certainly more sacramental than I am, this book is an essential read because it forms the foundation for so many contemporary works. The New Testament Documents by F. F. Bruce.Although somewhat short and outdated, this easy book provides evidence for the basic reliability of the biblical texts. From God to Us Revised and Expandedby Geisler and Nix.My favorite overview of texts, translations, and manuscript reliability. On Guardby Craig. A great thinker presents the powerful “kalam argument” for God’s existence.  Seeking Allah, Finding Jesus by Qureshi.A moving autobiographical account of conversation.  Tactic…

Historical Evidence of Jesus

Is it possible that the most famous man in history never actually existed? That is precisely the claim made by some academics today, including Richard Carrier, Robert Price, and Raphael Lataster. There is a lot at stake in this debate.If Jesus never actually existed, then the main claims of Christianity cannot be true.These authors build their case by dismissing the historical accuracy of the Gospels and minimizing the significance of collaborating evidence.

However, many people who reject Christianity remain convinced that Jesus did exist.In fact, some former atheists like Dr. Michael Bird cite the evidence for the historical Jesus as a key reason for their conversion to Christianity. Here are three solid historical arguments for the existence of Jesus.
First, the Christian community viewed the literal life, death, burial and resurrection of Jesus as central to their belief from a very early date.For example, Paul seems to quote an early Christian creed in 1 Corinthians 15.This passage…