The amount of storage you need (which is generally measured in gigabytes [gb]... 1 gb = 1,000 megabytes [mb]) is determined by what you plan on storing. Almost all phones' storage capacity can be expanded with a microSD memory card, which is usually purchased separately, such as here, where you can find 8gb, 16gb, and 32gb MicroSD Card choices. That option to expand the phone's storage seems like it should eliminate the problem of low internal (the phone itself, not a memory card) storage, but a week or two of use will show why that is not true. The main issue is that a lot of apps can't transfer over to the card, so you'll quickly encounter that irritating message, when trying to download an app, that you need to open up the low storage wizard and create more storage (by deleting items taking up room).
So how much space do you need? Assuming you add a memory card (you should), let's talk about the options.
If you want this phone to be a means of making telephone calls and maybe a text or two a week, without any intention of raiding the Google Play Store for apps, you will be happy with the lowest storage capacity options, from 512 mb to one or two gb. Since you're storing very little, a lack of storage will pose no problems for you.
On the other end of the spectrum, if you download all the latest games, store a lot of e-books in Kindle or Google Books, keep up with newsfeeds and Nasdaq, and Facebook/Google+ your heart out, don't try anything much under 4 gb. That should be plenty to cover everything you can't move over to your memory card.
The average user, in between those two options, uses Facebook and Angry Birds, probably moved a little music from the computer (mostly to set as ringtones), and takes and saves pictures pretty frequently. If this is you, then you'll be happy with around 2-4 gb.
Now you know what to look for, but how do you look? If you are starting at square one, without any idea what phone you want, watch for the upcoming post with specific recommendations. If you know some phones you're considering, search on the word "specs" and the phone's name (Samsung Galaxy S3 [my current favorite], for example). You'll find a variety of pages giving all this information we're talking about, including an entry called "Memory." The "Memory" choices are divided into something like "Card Slot" and "Internal." "Card Slot" simply indicates how large a capacity memory card is supported. "Internal" is the part you're looking for. It will say 512 mb, 2 gb, 16gb... whatever it is -- the point is now you know what you want.
UPCOMING POST: Part 2 of "Buying Guide" series -- Camera
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