VoIP vs Landline Cost Comparison (2026): Real Numbers from US Providers

Per-line monthly cost: landline vs VoIP

Landline pricing varies wildly by carrier and region. The figures below reflect typical 2026 US business rates.

• Traditional landline: $50-$100/month base, plus $0.05-$0.15/min for long distance.
• PRI line (23 channels): $400-$800/month — works out to $17-$35 per channel before fees.
• Hosted VoIP: $20-$35 per user per month with unlimited US calling.

The fees nobody quotes you upfront

Both technologies carry regulatory fees, but landlines stack more of them.

• Landline: FCC subscriber line charge (~$6.50/line), state taxes, 911 fees, USF surcharge.
• VoIP: Federal Universal Service Fund (around 4%), state taxes, 911 fees, regulatory recovery (~13%).
• Net effect: landlines add 25-35% in fees, VoIP adds 18-25%.

5-year total cost of ownership for a 10-line office

Using mid-range pricing and a typical fee load:

• Landline: $75/month × 10 lines × 60 months × 1.30 fees = $58,500.
• VoIP: $28/month × 10 seats × 60 months × 1.22 fees = $20,500.
• 5-year savings: roughly $38,000 — and that's before counting saved long-distance charges.

When a landline is actually still the right call

A few scenarios still favor copper: alarm panels, elevator phones, fax-only lines on legacy machines, and locations with no broadband. For everything else, VoIP wins on both cost and capability.