How Much Should a Business Phone System Actually Cost?

It’s one of the most common questions we get, and one of the hardest to get a straight answer to elsewhere: what should a business phone system actually cost? Old-school phone vendors tend to bury the real number in hardware contracts and maintenance fees. Here’s a real breakdown.
How Business Phone Systems Are Actually Priced
There are two fundamentally different pricing models still in use:
- Legacy on-premise systems — a large upfront hardware cost (the phone system box itself, physical desk phones, wiring), plus an ongoing maintenance contract and per-line charges from a phone company
- Cloud-based VoIP — a per-user, per-month subscription that includes the phone system itself, with little or no hardware investment required
We manage VoIP through Intermedia, priced per user per month, which is the model most growing businesses end up preferring once they see both options side by side.
What’s Usually Included at Each Price Tier
Cloud VoIP pricing typically scales with features, not just call volume:
- Basic tiers usually include calling, voicemail, and a mobile app
- Mid tiers add auto-attendants, voicemail-to-email transcription, and call routing rules
- Higher tiers add call recording, analytics and reporting, and video conferencing built into the same platform
Most small and midsize businesses land in the mid tier — enough features to run a professional phone system without paying for call center-scale reporting they don’t need yet.
Hidden Costs to Watch For With Old Phone Systems
The sticker price on a legacy phone system is rarely the real cost. Watch for:
- Maintenance contracts that renew automatically and increase year over year
- Hardware replacement when a desk phone or the system itself fails
- Per-incident service fees for a technician to come out and make a change
- Long-distance and per-minute charges that cloud systems typically don’t have
What Cloud VoIP Actually Costs Businesses Day to Day
Beyond the monthly per-user fee, the real savings with cloud VoIP show up operationally: no major hardware investment upfront, no truck-roll fee every time you need to add a line for a new hire, and pricing that scales predictably as your team grows or shrinks. Moving offices doesn’t require rewiring a phone system either — it just works from the new address.
Getting a Real Number for Your Business
The honest answer to “how much will this cost us” depends on how many users need lines, which features actually matter to your team, and whether you’re porting existing numbers. Rather than guess, answer a few quick questions here and we’ll get you real pricing built around your business, not a generic range.
FAQs
Is cloud VoIP cheaper than a traditional phone system?
Usually, yes, once you account for hardware, maintenance contracts, and per-incident service fees that come with legacy systems. Cloud VoIP consolidates most of that into one predictable monthly cost.
Do we need to buy new phones to switch to VoIP?
Not necessarily. Many employees can use a mobile or desktop app instead of a physical phone, and where desk phones are still wanted, the hardware cost is far lower than a full legacy phone system.
Does pricing go up as we add more employees?
It scales predictably — you’re generally paying per user, so adding someone means adding a license, not renegotiating a contract or buying new equipment.
Are there any per-minute or long-distance charges?
With most cloud VoIP plans, no. Calling within the plan is included, which is a real difference from older phone systems that charge per minute for certain calls.
How do we get an actual price instead of a range?
Answer a few quick questions about your business and we’ll follow up with real pricing based on your team size and the features you actually need.