Do you know how much is your time worth? Do you know that you can turn time value into potential profits? Wisdom people always said “Time is Money” to teach young generation the importance of time value.

time-is-money

In 2002, a British university professor has proved that time actually is money by calculating a mathematical formula. The formula is : V =(W((100-t)/100))/C, where V is the value of an hour, W is a person’s hourly wage, t is the tax rate and C is the local cost of living. That also means that while you are brushing your teeth for 3 minutes, you spend around 45 cents (hidden cost of lost time)

Therefore, you can imagine how valuable your time in performing any task. It measures whether you are making a correct decision in spending time or money. By this way, you can save your time and money (time = money) when you are about to perform a task. Sometimes, you can hire people or pay for the service to save your time to do more important task because time is money.

Time is Money also can be applied in investing. Just imagine if you invest in mutual fund for example, you will get more profits if you can wait for at least 3 years because of increasing of fund units(units split) and interim interest effects.

How Much Is Your Time Worth?
Find out how much is your time worth through Online Time Value Calculator. You just need to fill in some information and press Calculate button. In a few seconds, you will get the results which summarize about weekly lesuire time, hours you must work to buy one hour of leisure time, average number of hours worked each week and your net pay per hour. Although it might not accurately depict the real situation of your time management but it still give you a clear overview to know about your time value.

know-the-value-of-your-time-calculator

time-value-result

 *Click to view enlarge image 

What To Do Now?
Eveyone has same 24 hours a day, 7 days a week, 52 weeks a year. By knowing your time value, you should prioritize your task by performing the most important tasks to earn/save more money (time). Of course, you still need to spend time for sleeping, playing, eating, reading and socializing with your friends and family to achieve a balance life.

Conclusion
Time is the most precious resource to human because time creates money and time is money. Do you agree? Please share your thoughts by leaving your comments.

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