I’ve heard over and over again that time is money. It is usually stated when people are conveying that you shouldn’t waste your time or their time.
I used to believe this statement that time is money. I’ve said it before, numerous times. However, I no longer believe that is the case.
Now I believe time is time. Money is money.
The reason that many of us believe and repeat the phrase “time is money” is due to the job structure. As an employee, it’s likely you either have a salary or hourly pay. Both are based on time and experience.
If you have a salary, then your income is based on your experience and a 40 hour workweek. Well likely a 40+ hour workweek.
If you have an hourly position, then for every hour of work you receive a certain number of dollars. It’s easier to see how this is based on time and why someone would equate time with money.
Even entrepreneurs may do this because they are used to the structure. If you’re an entrepreneur, we often still apply this idea of time is money to our income and revenue. For example, many service providers will have hourly rates.
However, I’ve come to realize that the structure and belief are flawed.
As an entrepreneur, I learned about passive income and not trading dollars for hours. The aim of passive income is to move away from the structure of “time is money.” In order to set up passive income streams, you have to actively consider how to not trade your time for money.
Actively designing ways to create passive income shifted my mindset and I realized that I didn’t want to become “so much of it expert” that my time was priced at a premium. I want to become a successful entrepreneur and enjoy complete time freedom or flexibility.
It’s a subtle shift but an important one.
Ask yourself, “do you want to make a lot of money or do you want to make a lot of money in a way that creates time freedom, and flexibility?”
How much does an hour of your time need to be worth before you’re satisfied or happy? The answer to this may surprise you and will likely change as your life changes.
Distance yourself from the old saying time is money. Sticking with that structure will keep you broke and not enjoying life. There are only 24 hours in the day. If you stuck with the same structure of trading in an hour for a set number of dollars, would you be able to achieve your financial success or wealth goal and still have time for things you love and enjoy that are not related to work?
You can’t trade your time for dollars and build wealth.
Aim to acquire enough money or wealth to achieve your level of desired time freedom. Notice I said acquire not just earn enough money.
An hour doing something you hate feels different and is valued differently than an hour doing something you love.
To be able to spend more time doing things that you love or with people you love, you need a level of income that allows you to survive and thrive that is not mostly based on the number of hours you work.
The goal is to acquire enough money or income for time freedom or flexibility. What dollar amount do you need per month to make that happen? Your budget has the answer.
Explore the different ways to build wealth. Pick and pursue wealth-building vehicles that are of most interest to you.
For more help with your wealth-building journey, check out Wealth Is Simple to Elevate Financial Fitness Telesummit Package.
I chose entrepreneurship (which allows for numerous ways to create multiple income streams) and investing. Entrepreneurship isn’t for everyone. There are other methods to build wealth. You can also look into things like real estate and investing.
If you’re working on or interested in starting a business, check out podcast episode 53 POM053: How to Pick a Business Idea and my free ebook Starting a Business Checklist Guide
Aim to spend more time doing things that are important to you that bring you joy. Time is time. Money is money.
Determine the best way for you to stop trading one for the other. This will allow you to be able to spend more time on things that you love.