September is synonymous with a new iPhone release — an exciting time for Apple fanatics but for others, an uncomfortable reminder that upgrading your phone can cost some serious cash.
If iPhones are your phone of choice, upgrading is going to be an expensive task. But there are a few tricks that can help you shave some cash off the cost of your new phone.
Tip #1: Save hundreds off the cost of a new iPhone by buying last year’s model
When Apple releases its new iPhone range in September each year, it also stops making and selling the previous year’s range, usually with the exception of the base model. So it may be one of the best (or worst?) kept secrets that some retailers start to cut the prices of those discontinued devices — but you have to time it right and get in quick!
Once Apple announces the new iPhone range, keep your eyes peeled for sales and discounts from a range of retailers, including Telstra, Optus and Vodafone.
At the time of writing, we’re seeing clearance discounts of $100 to $200 off a range of iPhone 16 devices, from retailers including JB Hi-Fi and Officeworks. While this might not seem like a big discount compared to the overall cost, it’s still the difference between paying $1,997 full price or $1,799 (at JB Hi-Fi) for a 256GB iPhone 16 Pro.
Another thing to keep in mind: throughout the year after an iPhone’s release, retailers may start dropping the price of the devices without an official sale. So that ‘full price’ you would pay without a discount, may still be slightly cheaper than the recommended retail price (RRP) of the phone at launch.
In the case of the iPhone 16 Pro (256GB), its launch RRP was $1,999. Currently, the full price at JB Hi-Fi and The Good Guys is a couple of dollars cheaper at $1,997. Some devices may see bigger price drops than this, so it’s worth keeping your eyes peeled and compare these prices to the launch RRP.
Are there any downsides to buying an older iPhone?
While scoring discounts on an iPhone is a rare and beautiful thing if you’re a dedicated iOS user, you may need to make some compromises. Ultimately, once these iPhones are discontinued, you’re relying on whatever stock the retailers have left.
There’s no guarantee that you’ll be able to get the device that you want for a discount — this means compromising on storage size, model and colour. If you had your heart set on a Pro Max model in a particular colour and storage size, maybe you have to settle for the smaller Pro phone.
However, if you time it right just after the latest iPhone model’s release, there might still be enough supply of your preferred device — or close to.
Won’t that set me back with upgrades?
That’s the other problem — buying the previous year’s model means that your new phone will become outdated quicker than the newest model. But the good news is, Apple keeps iPhones up to date with software updates for at least five years. Currently, the iPhone 11, which was released in 2019, is the oldest iPhone able to access the latest iOS update. This means the iPhone 16 series could still be compatible with updates over the next five or so years.
Tip #2: Older devices can be even cheaper
If you don’t mind an even older device, picking up a new ‘old’ iPhone is another way you can save on a new phone.
After the release of a new iPhone series, Apple tends to keep the previous year’s base model in circulation. Previously it had even continued to sell the base model of iPhones released a couple of years prior, however this seems to have changed since the introduction of the more budget-focused iPhone 16e.
If you can find older iPhones, an iPhone 15 or even iPhone 14 can sell for anywhere from $300 to $400 less than the release price. However, stocks of these older devices are even harder to come by, and you’ll typically need to settle for a base model rather than a Pro or larger sized device.
Tip #3: Go refurbished
This may seem like an obvious one, but a second-hand iPhone can be another way to cut the costs of your device. While the phone won’t exactly be new, if you choose a device from the previous year’s iPhone range, it will only have a year or so of usage from its previous owner. And while these devices won’t be as cheap as the iPhones that are a couple of years older, you can still shave some cash off the cost.
Buying a phone from a certified refurbished retailer also means that the phone has been professionally restored and may have had some replacements to improve the device, such as a new battery or new screen. Refurbishers will also list the condition of the device, which can include any cosmetic issues like scratches and scuffs.
Tip #4: Trade-in your old phone
Rather than leaving your old device buried in your desk drawer, trading in an old phone can help cut the costs of your new phone by way of trade-in credit.
While Optus, Telstra and Vodafone all offer a device trade-in program (which can either get you credit on your new device, or credit in the form of a gift card), Apple also offers an option to trade-in your old iPhone for credit on your new phone.
Keep in mind that the newer devices and bigger storage sizes have the largest trade-in value, while the condition of your traded-in phone will also impact how much credit you’ll get.
If you were trading in an iPhone 16 Pro in good condition, Apple’s estimated trade-in is up to $1,005. This could essentially half the $1,999 RRP price of a new 256GB iPhone 17 Pro. However, if you were upgrading from an iPhone 14, you’d only be able to get a maximum of $445 credit.
What about iPhones from the telcos?
Picking up discounts on iPhones from the telcos — where you buy your device on a plan — may be a little trickier than scoring a discount on the outright price from a retailer. Often telcos will offer discounts on the plan fees, instead of the device itself.
However, you can still find old or discontinued devices available at a cheaper price than the launch RRP from the telcos. For example, Telstra and Optus both list the 128GB iPhone 15 for around $250 less than its launch price, while Vodafone offers the 256GB iPhone 15 Pro for around $150 less than its launch RRP.
The downside is that stocks of these devices will be very limited and you may not find the device in the colour or storage size you want. The telcos also haven’t dropped the price of the iPhone 16 series yet, at the time of writing. So, you may need to wait a while before these prices drop, but stocks may disappear quickly.
Ultimately it’s a bit of a waiting game for prices to drop and then compromising on what device you buy — and hoping that there is stock available when you’re ready to buy.
Should I wait around for an iPhone sale?
Cutting costs of an expensive purchase like an iPhone is always going to be a good thing — even if it’s a saving a small percentage off the overall price. However, if your current phone is old and no longer receiving security updates, it puts your device at risk of security exploits and other bugs, so upgrading sooner rather than later is recommended.
However, if your phone isn’t out of date, you don’t have any issues using your old device, you have enough storage to keep you going for a while longer and you’re not picky about which phone you get, there’s no harm in waiting for an iPhone discount if it helps to cut the costs.
Keep in mind that discounts are often applied to the full outright price of the phone — unless one of the telcos is offering iPhones on sale — so you’ll still need to fork out that big cost upfront.
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