Understand Why Time is More Than Money

Anyone who works for a wage knows the concept of exchanging hours for dollars, and thus the phrase “time is money.” However, fewer appreciate that time is far more valuable than money.

A simple example

Here’s a simple example that makes the concept clear. Imagine two people, John and Jane Doe. They both decide to start saving money.

Jane saves $10,000 today and stops saving.

John waits 10 years to start saving, but then saves $10,000 every 10 years for the next 30 years.

In total, John saves $30,000 while Jane saves $10,000.

YEAR	JOHN	JANE
0	$0	$10,000
10	$10,000	$0
20	$10,000	$0
30	$10,000	$0
TOTAL	$30,000	$10,000

Assuming they both earn 7% per year on their savings, who ends up with more money?

After 30 years, John’s $30,000 of savings grows to $68,368.36.

Meanwhile, Jane’s $10,000 of savings grows to $76,122.55.

That’s right. Jane ends up with more money, despite having only saved 1/3 of what John did! There’s no trick, that’s just how the math works, and it’s a good example of how time is worth more than money.

The lesson learned

The lesson learned is that time may be the single most valuable asset we possess. Unlike money, we cannot make more time. Also, unlike money, the world is unusually equitable with time.

Regardless of who we are or where we come from, we each have but 60 minutes to an hour and 24 hours to a day. With each tick of the clock, both opportunities and our time on Earth dissolve into the ether.

It’s no wonder why the most successful people are so careful and protective of their time. Fortunately, we can all do the same. We all chose what we do, or what we don’t do with the days, months, and years we have left.

Sure, there are reasons, and more often excuses, why we cannot reach our goals. But there are no valid excuses why we can’t start making progress one step and one day at a time. Don’t know how or where to begin? Try this to start.

Whatever we do, let’s stop wasting our most valuable asset, and start moving forward today!

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HWL