Time Really Is Money

Most people understand that time has value. Maybe that’s why we often use the expression, spendingtime. When we understand the value of our time, we tend to change the way we spend money. So we’ll help you figure out what your time is worth. God values our time. Psalm 90:12 reads, Teach us to number our days that we may get a heart of wisdom. And James 4:14 admonishes us to make the best use of our time today. It reads, You do not know what tomorrow will bring. What is your life? For you are a mist that appears for a little time and then vanishes. To figure what your time is worth you need to see what you really earn per hour, take the total or gross amount you put down on your last tax return. Now subtract anything you paid in taxes plus the income tax you paid. That will leave you your net earnings. Here’s an example let’s say you earned a total of $52,000 and you paid $10,000 in Social Security, Medicare and income taxes leaving you with $42,000. Next, you divide that $42,000 by 52 weeks, you get roughly $800. That’s what you need each week. If you work 40 hours a week, divide 800 by that number 40 and you get $20 an hour. That’s your real hourly wage. It’s important to understand what your time is worth in dollars dollars that you spend then we see how long you have to work to buy something. When you know what things really cost. You’ll be far less likely to give in to impulse spending. Some economists are now calling this value-based spending. As your time becomes more important to you you’ll free up money that you can spend in areas that have more value. That means paying down debt, building an emergency fund, saving for your next car, investing for retirement or the kids’ college, any number of things. As you understand your value-based spending you might want to overhaul your budget and when you do that you’ll find yourself with more money. You’ll cut back in some categories and re-allocate money to others that’ll help you in the long term and this will include giving more generously. It will also help to memorize and meditate on Proverbs 21:20, Precious treasure and oil are in a wise man's dwelling, but a foolish man devours it. On this program, Rob also answers listener questions: ● When setting up an I Bonds which account should I use, checking account or saving account? ● I have a $100,000 life insurance policy with a long term rider, this policy has a cash value of $17,000 cash value. Should I take this $17,000 and put it somewhere else where it can grow? ● My Inheritance is currently sitting in my bank and not gaining any interest, can I place it somewhere it can grow while keeping it liquid to use in the next 2 yr? ● What does the Bible say about student loan forgiveness? ● I have an annuity at my bank, should I transfer it into a ROTH or traditional IRA? Resources mentioned National Christian Foundation Christian Credit Counselors Find a CKA Christian Healthcare Ministries Remember, you can call in to ask your questions most days at (800) 525-7000 or email them to [email protected]. Also, visit our website at MoneyWise.org where you can connect with a MoneyWise Coach, join the MoneyWise Community, and even download the free MoneyWise app. To support this ministry financially, visit: https://www.oneplace.com/donate/1085/29