With the Christmas season upon us and budgets gearing up for gifting time, smartphones are on people’s minds. No doubt about it, the iPhone 4s is going to be one of the hottest gifts of the season – well, anything Apple will be hot, but especially the 4s. Every member of our extended family wants a new iPhone, but the budget doesn’t seem to agree with those wishes. So, we carefully weigh our options.

Apple is offering deep discounts on previous iPhone models, which is great news for folks who have wanted the much-coveted phones but just couldn’t handle the price tag. How do you know which one is right for your family’s (and your budget’s) needs? Let’s talk through the pros and cons of each choice.

Reasons to stick with the iPhone 4 (or buy one if you haven’t already):

• If you don’t yet have an iPhone, get the 4 now. It’s cheaper than ever and still one of the most incredible phones available on the market today.

• This may be painfully obvious, but if your provider has not yet given you the green light for a discounted phone upgrade, don’t shell out hundreds more for a 4s. Wait for the 5 – you will be glad you did.
• Though the iPhone 4 has been out for over a year now, it’s still an incredible phone and performs incredibly well – the 4s is no doubt the best phone on the market, but unless you need a whole bunch more speed, a better camera and Siri, you will be ok waiting for the 5.
• Use the extra months of waiting to set aside the money you’ll need for the 5 – your budget will thank you.
• The bottom line is this: if the current performance of your iPhone 4 accomplishes everything you need it to, exercise a little patience and wait for the 5.

Things to keep in mind if you’re sticking with the 4:

• This goes without saying, but it gets a bit older every month.
• If you like re-selling your gadgets in order to afford the newer ones, the value of the iPhone 4 is drastically decreasing as the 4s continues to gain popularity.

Reasons to get the iPhone 4s:

• If you’ve been holding on to a 3Gs, you won’t believe the upgrade in performance – the 4s is a huge step up and chances are you are due for an upgrade.
• Siri – if you are on-the-go constantly and rarely have time type out an email or even a text, you should consider Siri. This incredible software save people time and truly is like a personal assistant helping you make the most of your time and keeping you productive and on task.
• If you, or someone who uses your phone often, likes gaming on the iOS platform, the performance of the new A5 chip is unbeatable. With new games and apps coming out all the time that work well with the faster speeds, if you’re an app-aholic it’s worth considering an upgrade.
• Improved antenna performance. If you use your mobile phone for business calls, the better antenna helps lessen your chances of a dropped call.
• The 4s comes equipped with both a GMS and CDMA chip which means the phone works around the globe. Great for international business travel!
• And last, but not least, is the incredible camera and video capabilities of the 4s. Apple paid close attention to the camera development and it’s incredibly advanced and performs incredibly well. If you have small children, the quality photos and videos the phone takes will be treasured. My iPhone goes with me everywhere and is almost always nearby when I want to capture a moment of my kids on film.

Things to keep in mind if you’re getting the 4s:

• Remember the upgrade time frames for each carrier. Most carriers set a minimum of 1 year before users can upgrade their phones at the discounted rate. If you want an iPhone 5 when it comes out (which is rumored to be out sometime next year), you may have to pay full price if you get the 4s now.
• Remember, Apple provides a complimentary 1 year warranty on all it’s products and their customer service (especially in-store) is second to none. If anything ever goes wrong with your iPhone or even if you drop your phone, it’s always worth a try to take the broken device into the store to see a family room specialist about the issue. Apple employees are exceptionally gracious and understanding – Apple Care is also something you will want to purchase to ensure this incredible service beyond the 1 year warranty.

If you’re desperate for an upgrade (or just know it would make your spouses Christmas a success), consider cancelling your contract (the fee is usually around $200) and signing on with a new provider where you will receive the discounted pricing with a contract. This is much cheaper than buying the phone without the contract deal.

Hannah is an educator, mom to three wonderful children ages 3 and younger and proud wife of an Operation Iraqi Freedom Veteran. She is the founder of MyAppinions.com and TheAppNanny.com.