People often throw around the phrase, “time is money,” referencing the fact that time is something that is of value – an item that you will never get back once it is spent.  There are only so many hours in the day and if you are not careful, you will find yourself wasting time on meaningless activities.  You have to learn how to be selective on how and when your time will be allocated.

One of the first steps to guarding your time is understanding its value.  When thinking about the value of your time, it should not be some abstract number.  Dan Kennedy created a formula that will give you an actual dollar amount of what your time is worth per hour.

Here is his formula:

Base income target (the amount you plan to take out of your business this year) ÷ work hours in a year (220 days x 3 = 1,760) = what your time is worth/hour

The calculation takes into consideration that you will only have three productive hours in a day. While that might seem outrageous, it is probably closer to reality than you would care to admit. In fact, studies that track executives’ time have continuously come up with this same number.

After calculating the dollar value of your time, you will probably be a little more careful on how you spend it.

Find out where the smart Northern Virginia business owners are gathering, by visiting Glazer-Kennedy-Virginia.com.