An Easier Life With The Hour Factor

As a bankruptcy attorney in San Antonio, I’ve heard the saying “time is money” many times. And while that is a saying that everyone understands, I believe that your money is time. Let me explain…

Whether you are on salary or paid an hourly wage, every dollar you earn represents a slice of your life. If you earn $10/hour after taxes, $1 represents six minutes of your life.

If you’ve been through tough financial times (like many of my bankruptcy clients), I want you to start asking yourself the following question before you buy something:

How many hours will I have to work to pay for this item?

The association between how much your time is worth and how many hours or days you will need to pay for the item is called the “Hour Factor.” Figuring out your “Hour Factor” is critical in getting spending under control.

My objective is to help you develop a new mindset around your spending, so that you will start buying things that are only worth spending your hard earned money.

For instance, imagine that you are considering buying a $100 gadget. To determine the item’s Hour Factor, start by asking: How much is my time worth?

An electrician apprentice may make $12 per hour. A minimum-wage worker who does not pay taxes might make $7.25. Next ask:

How many hours will this item cost me? 

The gadget will cost the electrician about eight hours; the minimum-wage worker will pay fourteen hours for the same gadget.  Is the latest gadget worth fourteen hours of work? If you cannot afford your car payment, is it worth even one hour?  Only you can answer this question.

As a bankruptcy attorney in San Antonio, my job is to teach you to think differently about your

finances… if I do this, I will have succeeded in my job.  Remember, filing bankruptcy is not the end, it’s the beginning to a new chapter of your life.