👉 Do you know your hourly rate? What is one hour of your time worth?
We are making trade-offs every single minute in our day, without thinking deeply about the value that we are creating or wasting. Everyone wants to be wealthy, but no one is assigning the right value to the most important variable – time. A quick back-of-the-envelope way of approximating this:
👉 Divide your annual salary by 2000. (i.e. assuming you work for 8 hours a day, 250 days a year, total hours = 2000).
So if your annual salary is 100K$, your hourly rate is 50$. If you knew your hourly rate is 50$, would you spend 30 minutes comparing websites to save 5$? The mindset shifts from pinching pennies to maximising the value of your time, and aiming for an even higher hourly-value.
For reference, the hourly rate for a million$ annual income is 500$. Imagine if you thought and behaved and planned as if every hour of your time was worth 500$. What would you do differently? You would focus, create leverage and seek more learning.
p.s. Some things can’t be tagged with a monetary value, like spending time with family or taking care of your health; those ‘big rocks’ should be prioritised and calendarised before this hourly-rate based thinking is applied.