How Much Labor Does an Item Cost?
Ever thought about how many hours you have to work in order spend money?
This is one of my favorite ways to control my spending. It’s also a great lesson for your kids to learn!
Think about how much you earn an hour, and – if you are salaried – just calculate your average hourly rate. Now, before you spend money, think about how many hours, or days or weeks of work will it take just to make that purchase! Especially for any big purchases like a house or car!
By looking at the time cost vs. the dollar cost, we can gain a new perspective. Use it to help you prioritize what you purchase. Spending cash is an important decision, but much more important is the way we spend time.
For more encouragement and help with your finances, download the free Money Map at crown.org/money