If you’ve been in business for any length of time, you know your time is valuable. But exactly how valuable is it? Put it this way: If someone asked you to assign a dollar value to your time, could you? How do you determine that number?
Most small business owners set a rate for their time that is way too low for their product or service. But at MindShift.money, we look at what your time is worth in a different light. You’re offering something of great value in exchange for sustaining your business, paying your bills and ultimately working toward your Financial Freedom. So you should get paid appropriately.
Seeing your worth through this lens is essential for many reasons. You can confidently take a pass on an opportunity or client that truly isn’t worth your time (or is a flat out waste of time). And you know how to effectively price your services so you’re getting paid what you’re worth.
Calculating The Value Of Your Time
The first step to calculating what your time is worth is downloading the “Value Your Time Calculator” tool in Cash Flow Cure Module 5. This one-page spreadsheet is filled with several questions and corresponding columns where you can plug in numbers. (Hint: For the best values, first figure out how much you need to personally earn each month in order to cover fixed costs while saving toward your Freedom).
Now you’re ready to calculate what you’re worth! Let’s use hypothetical couple John and Mary who are starting a business. We’ll plug in their respective values to demonstrate how they figure out what their time is worth.
What Your Time Is Worth
Dr. Tony is the co-founder of MindShift.money and the best-selling author of three books on personal and business finances. Having achieved Financial Freedom at 27, Dr. Tony believes that through Financially Fit Bootcamp and Cash Flow Cure everyone can get there. He has made it his life’s mission to help others live a life where their money works for them—not the other way around.