You can't put a price on being able to contact your children and know that they’re safe. But paying for a huge phone bill so they can watch TikTok videos is not ideal either. So how do you find a balance when picking a phone plan for your kids?
Tips for picking the right mobile phone plan for kids
A cheap prepaid plan is a great option for several reasons - the first is that it offers unlimited calls and texts. That way, if your kids ever need to contact you, they can, no matter how much data they’ve used.
Another perk is that once they reach their data cap, that’s it for data unless you decide to top up their account. This is a handy way to work out how much data you think is fair. Teens and tweens are probably going to use more data for things like streaming music, playing games and watching videos, than younger primary school-aged children, for instance.
Prepaid plans for kids, tweens, and teens
When it comes to choosing a prepaid plan for your child, even the cheapest plans in Australia now come with a pretty reasonable amount of data. We're now seeing cheap prepaid plans with over 20GB, which is more than the average Australian uses each month.
Check out popular prepaid plans under $25 below:
If you're spotting some unfamiliar providers, these are called Mobile Virtual Network Operators (MVNOs). These providers ‘lease’ their network usage from the big three providers - Optus, Telstra and Vodafone - rather than owning their own network. You can check out how Telstra, Optus and Vodafone coverage compare here.
Are family phone plans worth it for kids?
If everyone in your family is on an individual mobile plan, you can bundle them by switching to a family mobile plan. Having the whole family on one bill is a popular option for families with kids, as you can share data allowances, keep track of bills more easily, and you might even snag some savings out of it.
At face value, it might seem easier to go for a family plan. However, family plans can sometimes work out to be more expensive than several individual plans, especially if you have several heavy data users in your family (I’m looking at you, teenagers).
Of the 28 providers in our database, four offer family mobile plans: Vodafone, Optus, ALDI Mobile, and Telstra. They don’t all work the same way, either.
With Vodafone, the more plans you add, the greater your bundling discount. The first plan you add is undiscounted, while the second yields a $5 saving, with each plan after that discounted by $15 per month. You can add up to 10 postpaid services to your family plan.You can also share data among family members by signing up to multiple Vodafone postpaid plans on the same account. If you’re the account holder, you can control the data pool, so if a certain family member is flying through data faster than you’d like, you can stop them from accessing the shared data.
Optus is set to discontinue their family and kids plans, and as such, there are no discounts for bundling several services. However, Optus still does offer the ability for users on the same postpaid bill to pool their data.
With Telstra, you can bundle up to 20 Upfront plans, which function like postpaid plans, but you pay your bill at the start of the billing cycle, not at the end.
ALDI Mobile offers multiple SIMs with shared inclusions for a single cost. Instead of bundling several services together, you’ll get a single family plan, each with different inclusions.
While family plans might seem like a great idea, it may be more trouble than it’s worth, especially if you’re looking at it from a cost-saving perspective. However, if you like the idea of tracking your kid’s data usage and consolidating your bill, it could make sense for your household.
Is a PAYG phone plan good for kids?
PAYG phone plans can be an excellent option for kids. Standard prepaid plans charge an upfront fee for a certain amount of data, with almost all plans offering unlimited calls and texts. With PAYG phone plans, you’ll pay upfront for a certain amount of credit. Every time you use data, text, or call, it’ll come out of your credit. Once you’re out, you’ll need to buy more.
Currently, the only telcos that offer PAYG phone plans are Amaysim, Telstra, and ALDI Mobile.
While PAYG phone plans are often worse value than their prepaid counterparts, they can be a solid option for kids that mostly use their phones for infrequent texts or calls to family members. A PAYG phone plan is perfect if you plan on giving your child a dumb phone.
It’s never too early to learn the importance of money and budgeting. So why not swap out pocket money for a prepaid plan instead? Kids learn the value of money and bills, and have a tangible product of their hard-earned money in their hands - and because plans are prepaid, there won’t be any nasty surprises leaving them - or you - out of pocket.
Picking a phone plan for kids FAQs
How old must my child be to sign a phone contract?
According to Youth Law in Australia, a child must be 18 before they can legally sign a contract. So, chances are if you organise a device for your child, the phone will be in your name. That means large bills and missed payments are legally your responsibility: so be careful if you decide on a postpaid plan. Also, be aware of what charges may be involved if they exceed their monthly cap.
What can drive up phone costs?
Be wary of premium SMS services, such as voting for TV shows or entering competitions. They’re charged at a much higher rate than standard texts and are usually not covered by plan inclusions.
For other advice on how to avoid excessive monthly charges, check out our guide to preventing bill shock.
Hannah Geremia
Digital Content Editor
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