(ARA) - With gas prices near record levels, and no end to the higher prices in sight, a lot of people are starting to feel the pinch. But, before you give up that morning cup of coffee and stop spending money on things you enjoy, take a long, hard look at your household expenses.

You can't do without food, water and electricity, but one expense you can cut back on dramatically is your phone bill. No, you don't have to go incommunicado. Make the switch over to a VoIP-hosted service that uses the Internet, rather than conventional phone lines to make the connection and cut your monthly phone bill in half.

Voice over Internet Protocol, VoIP for short, works by compressing voice signals into data packets that can be efficiently transmitted over data networks and then converted back into voices at the other end. All you need to get started is a high speed Internet connection and a small adapter provided by Packet8 that converts audio signals into a data stream.

"If you're spending more than $20 a month on basic phone service, you're being ripped off. You can save over 50 percent on your phone bill by dropping your landline and switching over to VoIP," says Huw Rees of Packet 8, one of the industry's leading VoIP and video communication service providers.

Packet8 offers two residential Internet phone service plans. For $19.99 per month, Freedom Unlimited offers unlimited calling in the United States and Canada. >nbsp;For those who make a lot of international calls, Freedom Unlimited Global, which is just $49.99 per month, is the way to go. The service offers unlimited calling in the United States, Canada and 40 other popular countries around the world. And for countries outside of the plan, Packet8 offers some of the lowest international rates available - lower than calling cards and no extra digits to dial!

"When we say $19.99 or $49.99, that includes numerous call features traditional phone companies charge extra for," says Rees. In addition to the low cost and ease of use, other advantages include great sound quality and the ability to take your phone service and your phone number with you.

When you sign up for service and pay for the first month, you'll get an adapter with a built in router for free. The service comes with a 30 day money back guarantee. To get started on the road to savings, log on to www.packet8.net.

Copyright 2006, ARA Content