What is a unit of your working time worth—now and in the future? Author Jane Barratt shows you how this financial hack can profoundly impact your spending and saving.
- Ahh, work.…It takes up the bulk of the days of our adult lives.…If you're fortunate enough to love what you do, great.…If not, well, it's money, right?…Wrong.…Instead of thinking about how much money appears…as the result of your labor, think of your work…as units of your time that you've traded for money.…And this is the same whether you love your work or not.…Do you know how much you're making on an hourly basis?…It's pretty simple math.…Look at your monthly take-home pay;…that's your after-tax total and divide it…by the approximate number of hours that you work in a month.…
An hour can be a long time.…Think of an interminable meeting, or about how you feel…after lifting heavy packages at the end of a long day,…or dealing with crabby customers all day long.…These hour-long units of time can provide…an extremely-useful life hack.…The next time you're contemplating buying something,…let's say a new suitcase for a hundred dollars.…Don't think of it in the abstract:…Is it worth a hundred dollars?…Or the comparative: It's cheaper than the competitor's.…
- Recognize the strategy used to combat inflation while still working.
- Determine whether investing in a company or working for a company is more profitable.
- Summarize the concept of Dollar-Cost Averaging.
- Identify the simplest, easiest investment opportunity available for young workers just starting to invest for retirement.
- Explain what “diversifying” means by using an example.
- Determine whether incurring debt can have a financial advantage.