Thinking about the cost of a new phone system?
When discussing the cost of phone systems, wiring and installation, and purchasing the actual phones, several factors must be considered. These include the system itself (cabinet), programming, configuration testing, optional accessories, potential cost savings, gains from increased employee productivity, and costs to maintain quality and ensure reliability. Thankfully, there is a great way to estimate it! Read on…
Ultimately, how much you pay for a phone system will depend on which system you choose and the number of employees you have. Phone system costs are often best estimated as the total cost per employee or user. Call the manufacturer and ask to locate a professional who is certified by the manufacturer. This ensures your purchase is protected by warranty. Also, your installer will know the system. As the technology continues to become more complex, the last thing you want is for your installer to use your site as his on-the-job training. This can happen while you miss phone calls and business!
Average Phone System Costs
Again, keep in mind that there are average phone costs. How much you will end up paying for a phone system is dependent upon the size of your office and the features you require. Just like all other electronics purchases, a well-known brand name does not necessarily equate to a reliable product. When your business relies on its phones, do not risk it with someone without a proven reputation you can personally verify. In working with a company such as Phonewire, total costs can be significantly reduced. This is possible by trade-in promotional offers or special manufacturer equipment bundles. If your business has more than 50 employees, the cost of these phone systems may be less per employee. This is due to the benefits of a volume purchase.
1. Pure-IP phone systems with enhanced Unified Communications features start at around $300-$600 for each phone. However, there is additional equipment, such as a server, switches, or gateways. Software licenses are also needed to make all those phones work. You will generally pay an average of $800 to $1200 per employee in total. This depends on the technology needed and required installation labor for your exact desired solution and integration with existing IT systems. These systems promise many features, but usually, those features are locked initially. To unlock them, software license keys are required. Make sure you discuss exactly what functionality you can use immediately. Also, find out what features you must pay for later to “turn on”. At this cutting-edge level, an annual maintenance agreement is usually proposed. This ensures that all of the software used is kept up to date and bug-free.
2. Most of the more-traditional KSU phone systems with optional Voice-over-IP capabilities can cost anywhere from $250 to $500 per employee. These systems include capabilities such as SIP trunking and integration with mobile or home office “teleworkers”. Any specific features or integrations needed by your business play a major role in the pricing. For this type of system, features usually must be added as add-on options or licensed feature upgrades.
3. KSU-less systems — that is, phone systems which do not require a controller box — usually are the least expensive type. These connect all the phones together. Systems like our AT&T SynJ wireless phone system involve paying for only setup, installation, and the telephones themselves. Telephones for this type of system usually range from $100 to $200 per phone, depending on the quantity bought at once.
Don’t Forget About Installation
The cost of installation is often included in the overall cost of a phone system. In some cases, installation fees can be just as costly. Phone systems, VoIP, and Unified Communications Systems are very complex. They require professional expert installation, so paying installation fees will be necessary. Look for a company with a reputation in telecommunications who will provide a flat-fee installation bid. Be suspicious if they are a young IT company trying to “expand” into telecommunications or quote you a per-hour installation rate. Most businesses that primarily provide IT services and install phone systems on-the-side may be learning the technology as-they-go. Don’t risk your financial success by allowing them to use your business as their “guinea pig” due to a lack of telecom knowledge.
Wiring costs are usually your second-greatest expense. If you are building new construction, putting in more wiring before the framed walls are enclosed will always be less expensive. This is better than trying to add wiring later. Additionally, you may be required to pay extra if your existing wiring is not compatible with your new phone system.
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