What Does an NBN Plan Cost in the First Year?

NBN first-year cost is the amount a household will actually pay across the first 12 months, not the lowest promotional monthly price. It can include discounted and ongoing months, a modem or router, delivery, activation, phone extras and address-specific charges. Calculating the same 12-month period for every plan makes very different offer structures comparable.

Quick answer

Calculate NBN first-year cost as promotional monthly charges plus post-promotion monthly charges, then add mandatory setup, modem, shipping, phone and address fees. Subtract only credits the household is eligible to receive. Keep optional equipment separate and show the ongoing annual cost as well, because the cheapest first year may not remain cheapest.

Key takeaways

• Multiply each monthly price by the exact number of months it applies.
• Minimum total cost in a CIS may cover only the minimum term, not 12 months.
• Modem, mesh, shipping and activation can outweigh a small monthly difference.
• The NBN new-development charge may be passed through at eligible addresses.
• Compare ongoing yearly cost beside the first-year figure.

How to calculate NBN first-year cost

Promotions commonly reduce the price for a stated number of months before the service moves to an ongoing rate. Other offers use a bill credit, waive setup, bundle equipment or require a longer service or hardware commitment. Convert each structure into dollars over the same 12 months rather than ranking the advertised monthly labels.

The ACMA's Critical Information Summary framework is designed to expose the minimum contract, pricing and fees. However, minimum total cost follows the plan's minimum term. For a one-month plan, it is not an annual number. The consumer still needs a 12-month worksheet.

What to compare before choosing

Promotion duration and eligibility

Record the exact start, end, customer eligibility, application method and whether the discount appears automatically. A promotion can be limited to new services, selected speeds, online orders or a particular payment method.

Decision check: How many bills receive the discount, and what evidence shows this household qualifies? Record the answer for every shortlisted option using the same period and assumptions. This prevents a promotional headline, isolated rate or theoretical feature from outweighing the conditions that determine the real household result.

Mandatory versus optional hardware

Confirm whether a compatible BYO device is allowed and separate provider modem, mesh and delivery from unavoidable service costs. Hardware can improve support or Wi-Fi but should not be included in one plan and excluded from another without explanation.

Decision check: What equipment is genuinely required for this NBN technology and household coverage? Record the answer for every shortlisted option using the same period and assumptions. This prevents a promotional headline, isolated rate or theoretical feature from outweighing the conditions that determine the real household result.

Address and installation

Check whether the premises is serviceable, already has NBN equipment, needs a technician or attracts the new-development charge. An address-specific one-off charge or missing box can change both cost and connection timing.

Decision check: What fees and appointments has the provider confirmed for this exact address? Record the answer for every shortlisted option using the same period and assumptions. This prevents a promotional headline, isolated rate or theoretical feature from outweighing the conditions that determine the real household result.

Ongoing value after month 12

Calculate months 13–24 at the ongoing price and note any change in inclusions, hardware obligation or speed. A customer who does not plan to switch every year will experience the ongoing structure longer than the promotion.

Decision check: What is the annual service cost after all introductory benefits end? Record the answer for every shortlisted option using the same period and assumptions. This prevents a promotional headline, isolated rate or theoretical feature from outweighing the conditions that determine the real household result.

A simple first-year formula

Use: discounted monthly price multiplied by discounted months, plus ongoing monthly price multiplied by remaining months, plus mandatory upfront and hardware charges, minus confirmed credits. If the price changes during the year outside the advertised transition, update the worksheet and date the result.

For example, a six-month discount requires six discounted months and six ongoing months, not an average guessed from the headline. Do not insert example provider prices from an old article. Use the live checkout, CIS and promotion terms for every comparison date.

Costs that sit outside the headline

A modem can be purchased outright, repaid over time or conditionally included. Some providers charge delivery or require repayment when leaving early. Voice services can add call packs and out-of-inclusion charges. Mesh units and professional cabling improve the home network but are separate from the NBN access plan.

NBN states that a $300 new-development charge can apply to a provider order for a newly developed premises and that a provider may pass it to the customer. It is not a general connection fee for every household. Confirm the address result and how the chosen provider handles it.

• Setup or activation
• Modem, router or mesh
• Equipment delivery
• New-development charge
• Phone and call packs
• Payment or paper-bill fees where applicable

Comparing cost without ignoring performance

A lower first-year total is only useful if the plan supplies suitable speed and support. Compare typical evening download speed, upload speed, technology eligibility, included data, support channels and cancellation conditions. Use the same speed tier where possible.

Record total cost per year rather than cost per Mbps as the primary result; many households do not benefit from a faster tier they cannot use. Where plans share a price but offer different speeds, confirm that the address and home equipment can deliver the higher tier before treating it as extra value.

Which option suits which household?

The examples below are starting points, not product rankings. Address eligibility, household behaviour, equipment, support needs and current plan terms can change the answer. A sound comparison uses the same real-world scenario for every option and keeps a dated copy of the information used.

A practical comparison process

Before choosing, create a one-page comparison record for the household. Note the service address or regular locations, current usage, equipment, support requirements, desired start date and any planned changes. Give every shortlisted option the same assumptions and annual comparison period. Record conditional discounts, expiry dates, installation or activation costs, cancellation consequences and the source document date. Keep uncertainty visible instead of forcing a false exact answer. This record makes it easier to explain the decision, spot a changed condition and review whether the selected option still represents value after the first complete billing or recharge cycle. Revisit the shortlist whenever a key assumption, price, address, device or household requirement changes.

1. Choose a suitable speed tier and check address eligibility.
2. Download the exact CIS and promotion terms.
3. Calculate discounted and ongoing monthly charges separately.
4. Add mandatory setup, hardware, delivery and address charges.
5. Calculate the ongoing annual cost after promotions.
6. Save the dated worksheet and verify the first bills.

Common mistakes

• Multiplying the introductory price by 12.
• Treating CIS minimum cost as an annual figure.
• Calling conditional modem hardware free.
• Adding optional extras to only one shortlisted plan.
• Ranking cost without checking speed and address eligibility.

Where a plan, price or service feature can change, save the Critical Information Summary, energy plan document, bill estimate or provider terms with the date. Recheck eligibility at the service address immediately before applying and inspect the first complete bill or recharge cycle against what was promised.

Bottom line

NBN first-year cost turns marketing structures into one comparable number. Show both the first 12 months and ongoing 12 months, with hardware and one-off fees visible. Then compare suitable internet plans on performance, support and flexibility as well as price.

Related CompareUs resources

• compare internet plans
• check your internet speed
• what NBN speed do I need
• switch NBN providers with a BYO modem
• CompareUs internet guides

Sources and editorial method

CompareUs reviewed Australian government, regulator, network and provider material available on 28 July 2026. Competitor pages were used only to understand search intent and common consumer questions. No competitor wording, ranking or table was copied. Current prices and availability must be confirmed using address-specific results and official plan documents.

• ACMA — Critical Information Summaries — fees, inclusions, minimum contracts and consumer comparison
• NBN Co — Moving home — address equipment, appointments and new-development charge
• SpinTel — Current NBN CIS — dated provider example of monthly, minimum and upfront cost presentation