Time is money

Have you ever tried to calculate how much you earn per minute? This exercise can be quite eye-opening. For your benefit, I’m going to demonstrate how you can do this. Try out this exercise, but don’t feel discouraged by the outcome. What’s important is the process and the awareness it brings to your financial situation.

Consider a hypothetical individual named Timothy who earns a net salary of UGX 2 million per month. In addition, Timothy has rental properties that generate UGX 1 million and a small business that brings in UGX 500,000. He also has a small unit trust earning him UGX 150,000 per month. Altogether, Timothy’s total monthly income is UGX 3.65 million.

Assuming Timothy works 5 days a week, translating to 20 days each month, he earns UGX 912,500 per week and UGX 182,500 per day.

A typical working day for him lasts 8 hours, which means Timothy earns UGX 22,800 per hour, or UGX 380.2 per minute. For international comparison, this amount equates to approximately USD 0.104 per minute.

Thus, Timothy earns USD 0.104 or UGX 380.2 per minute for all his efforts. This is the monetary value of Timothy’s economic contribution globally. Understanding your earnings per minute has several implications. First, it motivates you to stop wasting time, reinforcing the adage that time is indeed money. Each minute Timothy wastes costs him UGX 380. Additionally, knowing your rate per minute helps you make better decisions regarding your time. If you’re offered a gig paying below your rate, declining it would prevent an economic loss.

Your rate becomes a benchmark upon which you gauge potential economic ventures. This means you should not take on a business or project that pays lower than your hourly rate. Your rate is also something you can compare with the people you admire, and it can inspire you to become more productive.

In conclusion, understanding your earnings per minute is not just about quantifying your financial worth; it’s about maximizing the value of every second. It compels you to evaluate your time investments critically and encourages a mindset geared towards financial efficiency and growth. Remember, every minute counts in the grand scheme of your financial health and ambitions.