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Check your AT&T bill: It might be more expensive than before (Update: Sprint, too)
July 23, 2025
Update, August 16, 2025 (3:55PM EST):According toThe Wall Street Journal, Sprint also quietly increased its administrative fee.
In the past few months, users onRedditreported that the fee increased from $1.99 to $2.50 per month on their bills. The change happened as early as March of this year and seems to only affect postpaid customers.
Because Sprint has 30 million postpaid customers, the increased administrative fee could lead to an additional $200 million in annual revenue. That might become a moot point, however, if Sprint’s merger with T-Mobile goes through without a hitch.
Sprint’sadministrative feesupposedly covers property taxes, payments to local telephone companies, and other legal expenses.
Original article, June 29, 2025 (9:42AM EST):WithAT&T’sacquisitionof Time Warner now complete, AT&T is back in the headlines over an “administrative fee” increase that could see the carrier bring in a significant amount of money.
Reached for comment, AT&T confirmed the administrative fee increase. “This is a standard administrative fee across the wireless industry, which helps cover costs we incur for items like cell site maintenance and interconnection between carriers,” said an AT&T spokesperson.
The reasoning does not make much sense, however, when you consider that the administrative fee only went from 61 cents per month in 2013 to around 76 cents per month in March 2018. AT&T thenreportedlybumped the fee by 50 cents to $1.26 in April, and again by another 73 cents to $1.99 today.
The real reason behind the administrative fee increase might have to do with AT&T’s $85 billion Time Warner acquisition that the carrier fought for since October 2016. According to BTIG Research analyst Walter Piecyk, AT&T took on $60 billion of net debt when a judge approved the acquisition.
Combined with the $108 billion in stock, cash, and assumed debt that AT&Treportedlyspent to acquire Time Warner, and you have a carrier that might be under pressure to find a new source of revenue. In addition to an extra $800 million in revenue, the administrative fee increase could be enough to finance $10 billion in debt.
However you want to slice this, this is a slimy move from a company that was recently called out overalleged unethical sales tactics. AT&T also tacked on an extra $5 per month for single-lineUnlimited & Morecustomers compared to the existing Unlimited Choice Enhanced plan.
Earlier in June, AT&T performed itsyearly price hikefor grandfathered unlimited plans.
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