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Telephone costs compared to company-issued telephones: pros and cons

When employees must use a phone to work, most employers opt for one of two options: phone calls or phones issued by the company. Each option can have its advantages and disadvantages, but the right choice depends on the type of industry in which you work, your budget for managing phone use by employees and others extenuating circumstances.

Learn more about these phone options for employees to determine which one is best for your workplace.

How each option works

With a telephone allowance, employees use their own phone but get a refund to cover their bill at the end of each month. In most cases, employees are responsible for choosing and purchasing their phone and their data plan. They continue to use their personal number for business purposes and the employer simply pays all or part of the phone bill to offset that use of the work.

With phones issued by the company, employers have more control. They choose which phone and which data plan the employee will have. The phone is usually used only for work, so the employee has a unique work number that is not shared with personal contacts. In addition, some employers use call tracking features that allow them to monitor the analysis of calls on the lanes and to listen and record employees' conversations.

Security Concerns

Security should be one of the most important factors in the decision to give an employee a telephone allowance or phone issued by the company. If your business does not deal with sensitive materials or customer information, this will probably not be a problem. But for many companies, leaving professional equipment on personal devices like smartphones puts the business at risk.

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When personal and work phones are not separated, the work equipment is more likely to be compromised. Someone else that the employee may have access to the phone outside working hours or the phone could be hacked. There is also a risk with the phones issued by the company, but as the company will have more control over the phones that it distributes to employees, it is easier to retain the security features needed to protect the phones. working documents stored on these devices.

Affordability of the company's telephone package

While safety is certainly a concern, most businesses are just as concerned about financial results when it comes to managing cell phone use by employees. If you are looking to make the right choice for your business budget, you will probably find that a carrier's cell phone plans like T-Mobile can easily accommodate phones issued by the company at an affordable price.

For example, T-Mobile offers affordable monthly rates for plans that include unlimited conversations, text, and data. Other benefits, such as international texting and data, on-board texting, and free mobile hotspot data make these plans especially convenient for employees traveling or working outside the office. Although there is also the initial cost of buying employee phones to consider, many employers end up saving money in the long run through lower monthly bills. at all levels.

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Tips for Successful Implementation

If you choose to use phone allocations for your employees, be sure to set the parameters right off the bat. Specify that even if you help cover the costs, employees are responsible for their phones in case of damage. You will also want to detail the professional standards that your employees are likely to use on their phones, such as professional voicemail greeting messages.

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Because of the complications associated with phone calls, more and more businesses are choosing to use the phones issued by their company at their work place. To make sure this effort is successful, however, come up with a clear process to monitor phone usage and keep the material up-to-date. Explain whether employees are allowed to use their company's phones for personal calls, and detail the expectations of when employees should be available to answer business calls, text messages and emails.


Finding the right fit for your business will require research, but results can include improved productivity, customer satisfaction, and savings for your bottom line. Use this information to decide if your employees should receive a company-issued phone or a monthly telephone allowance.