Time value is an underrated concept. We spend so much time committing ourselves to such meaningless engagements. The problem is that most people live through the eyes of tunnel vision with a narrow focus on things that will only have a short-term impact.
How does one devalue their time? There are many examples. Excessive social outings, trying to tackle tasks that you can pay someone else to do, too much entertainment, driving, email, doing things inefficiently, and so on.
When valuing time, there are three primary things I try to weigh:
- Time Commitment
- Opportunity Cost
- Level of Satisfaction
Measuring time commitment is simple. How much time will I need to dedicate toward this task or outing? Opportunity cost is also pretty basic stuff. What am I giving up by spending my time on this certain task or outing? For example, I could spend two hours working out or I could spend those two hours reading a technical book to increase my knowledge. Measuring what is more valuable is difficult, though, which is why I include the third item. Level of satisfaction helps me determine how fulfilled the task or outing will make me feel relatively speaking. Will I be happier if I worked out or if I read the book?
The idea of valuing your time extends beyond personal life and should play an important role in business as well. In business, there are real costs and real opportunity costs that may be more measurable as opposed to personal life.
The insane thing is that all of this is straightforward and doable, but a majority of people can’t manage it. That’s why it’s an advantage to you to value your time.