How do people afford the new iPhone each year?

Since a new iPhone usually comes out once a year and most carrier plans are for two years how can so many afford the new one? I feel like with the price of the iPhone off contract being so high it shouldn't be hard to say you can't afford it but somehow there are still so many that do… Do they know some trick to get a cheaper iPhone or what?

Many of them can't but they buy them anyway. That's why credit card debt is so high in this country.

Well I was on contract for 2 years and I got new iPhone. They just pay for both or pay the old one off with selling the old iphone

People usually buy a new iPhone when they've finished their plans. For example, a person buys an iPhone 13months before a new one is released. They get a one year plan, so the plan ends right before the new one comes out. Or, they get a two year plan and upgrade their iPhone right before the new one after that comes out.