One day I got into a discussion with a millennial entrepreneur friend of mine about the value of time versus the value of money.
She was going on about how money is so important in our lives and that’s why so many young professionals and entrepreneurs work themselves to the point of burnout.
I mentioned that’s really unfortunate because in the grand scheme of things time is way more important than money. Therefore if we’re spending all of our time working ourselves into the ground to chase money then we’re not really wealthy after all.
At this point, her eyebrow raised with curiosity.
“Think about it,” I said. “Time is a one-time deal. We’re not getting it back. On the other hand, if we spend money we can get it back. There’s always an opportunity to make more money, but we can’t actually ‘make’ more time. We’ve all got our set time in this world so why would we spend it burnt out and miserable to chase a buck. Why not leverage time to make more money?”
Time is more valuable than money.
That being said, we do actually need money in this world. So the task them becomes to learn how to leverage time to make more money. This is something I dive deep into in my course Make Money Your Honey. Here are a few other ways to leverage time to make more money.
Charge more than you think you are worth.
Look, I get it. Charging a lot of money for your product or service is scary. Hell, asking for a raise is scary! We think we’ll get rejected, that we’ll end up broke and that people will judge us. Here’s the deal though: since time is more valuable than money, you MUST charge accordingly.
But consider the alternative. If you undercharge yourself you are an energetic match for shitty clients and price shoppers who are a huge pain in the ass. You’ll also be working your ass off and still not making much revenue. This isn’t a very good way to leverage your time to make more money.
This starts a cycle of resentment that sounds a little something like this “Dammit I know I should be getting paid more for this. This is too much work and I’m still scraping by!” You end up accidentally resenting your clients for not paying you enough when they really have nothing to do with it. YOU’RE THE ONE WHO SETS YOUR PRICES, NOT YOUR CLIENTS.
Why do I say charge more than you think you are worth? Because we have a tendency of undervaluing ourselves so go higher than your first initial price number. The rest is just a matter of practice and confidence.
Stop doing everything by yourself.
Hiring a VA is probably one of the best things I’ve ever done. Lynn’s helped me get my entire business running on systems so that it’s actually organized. She’s also been a huge help in building and launching new endeavors. If I had to pick one of the best ways to better leverage time to make more money, hiring people is definitely on the top of the list.
Simply put, without her help, there’s no way I’d be able to keep track of all the leads, prospects and actual clients. There’s no way I’d be able to keep up with my email and I’d be too busy working “in” my business instead of “on” my business.
But let me tell you, I was really late to the outsourcing party. For so long I had the belief that hiring help was a waste of money if I could just do it all myself. Turns out I was really wrong.
What resulted was not pretty. I was stressed, burnt out and even though I was making more money than I had at a regular job I still felt undervalued and underpaid by some clients. Again, this was no fault of my clients. It was my fault for trying to do everything by myself.
You can also read this blog post about how to hire your first VA to help you out.
Keep in mind that hiring help can give you a lot of time. Time that can go to relaxing, talking to clients, building your next big thing, exercising or whatever you want! Hiring a VA proves once again that you can leverage time to make more money.
Start creating streams of passive income.
Passive income is probably one of the best ways to leverage time to make more money. It’s essentially money you don’t have to trade your time for. The work is done upfront and then the income builds over time. Some examples are below:
- Investing In the Stock Market
Learning to invest is a solid way to start creating passive income and creating financial freedom for yourself. My personal top picks right now are Betterment for managing most of my investments and then Real Estate Investment Funds (REITs) for my non-retirement investments. I’ve also experimented with Exchange Traded Funds (ETFs). They key is to learn to be patient and diversify your investments. You also can’t freak out whenever the stock market dips. This is a long term deal not a get rich quick scheme. If you want to start with something simple like investing spare change, you can do that too!
- Real Estate Investing
This is the act of buying property and then renting it out. It is by far how many people have built their wealth and it’s a solid investment strategy if done correctly. This isn’t entirely passive (not like REITs) because it requires maintenance, but it is relatively passive.
- Sell Your Own Products
You can sell your own products (courses, books, etc.) on your website. It takes a while to build the momentum but it is well worth it.For instance, I wrote and launched my Amazon best-selling book once. But you can still purchase it even though I’m not actively doing anything. Essentially, I decided to leverage time to make more money.
- Network Marketing
First, let me state that yes, there are several very shitty network marketing companies out there. Let me also state that the majority of these companies oversell their value and don’t tell people that it takes time to build this business (just like it takes time to build any other business). Let me go a step further and state that several of these companies also take advantage of people in a bad situation.
You will not become rich overnight by selling mascara, but you can build up a decent passive income revenue stream if you are with a reputable company and learn how to run it like a business. Kate Northrup, for example, has built a six-figure income with her network marketing company. I also have a few coaching clients who are consultants for a reputable company and they are doing just fine. It’s up to you to do your due diligence here. Just know that this is also not a get rich quick scheme and that you must do your research.
- Ad Revenue
Again, this takes time to build ( the common theme with passive income), but there are several ways for you to build up website traffic and make money with something like Google AdSense.
- Affiliate Sales
You can sell other people’s products and make a commission for each product you sell through your specific link. I’ve been making some affiliate income for a while and it’s something I plan on continuing to build.
Building passive income, while certainly not passive at first, is probably the ultimate way of learning to leverage your time to make more money.