Our Hourly Rate

A friend of mine a few days ago spoke to me about my hourly rate-- he said... Rajneesh -- " It doesnt matter how much you earn -- but what your hourly rate is".

That got me thinking about writing a post on this.

Why is it important? Its important because it talks about what our worth actually is and helps us balance our lives. Life is not all about working -- but working enough to be able to spend some quality time with families.

So how do we calculate our hourly rate.

Hourly Rate = (Income earned/ No of hours spent for getting the Income)

as an example if there are two people A and B

                                                   A                                             B
Income  per week                    5000                                        4000
Time spent per day                     60                                           48
Hourly Rate                               83.3                                         83.3


So with 25% Higher salary--- our Hourly rates for both A and B remain the same.

In the time that we save-- ie B--- one can spend quality time with family, take care of health, further a hobby, do some charity work... anything which furthers one's goals.

In the above example... even if both A and B were earning the same...


                                                   A                                        B

Income per week                      5000                                 5000
Time spent per day                      60                                     48
Hourly Rate                             83.3                                  104


there is a HUGE difference in their Hourly Rates. Person B is definately doing a lot better.


Its a great concept to understand and utilize well.... the foundation of why people focus on developing Passive Income


.a good corollary to the adage of "working smart vs working hard"


Whats your Hourly Rate?