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The Bank of Time: 5 Secrets of the Time-Wealthy

By: SmallBizClub

 

The Bank of Time

Time is the great equalizer. We all have 168 hours in a week. So why is it that, while most just struggle to keep up with the pace of life, a select group of people seem to have an abundance of time? Sound familiar?

There exists an elite 1% when it comes to time. These time-billionaires have red-carpet access to a reserve of hours, minutes and days that others desperately wish they had. I call this reserve The Bank of Time.

Average humans continually make withdrawals from the Bank of Time, and as a result, find themselves in time debt. Alternatively, the time-wealthy make consistent, calculated deposits into the Bank of Time. These time-preneurs get the Bank to pay them a steady flow of compounded time-dividends.

I’ve experienced this contrast firsthand. I was one of the most time-starved, disorganized people in the world, often late, and chronically busy. By using my five Laws of the Bank of Time, I’ve helped myself and others find an abundance of hours.

Law #1: Use a Time Budget

A fiscal budget keeps spending in check because it requires a person to account for all expenditures against an available pool of income. A time budget is similar in that you account for all your appointments against an available pool of time. In simpler terms, your time budget is your Calendar.

This may sound overly simplistic, yet I’ve found a shockingly large percentage of people fail to use a calendar consistently. Often this occurs because they don’t want to confront the harsh reality of their limitation of time. They spend time on a “credit card,” hoping that somehow they’ll be able to pay for those commitments …later.

Law #2: Underspend Time

Rather than trying to cram 65 minutes into a 60-minute hour, allow some breathing room instead. Buffer time—carefully scheduled and protected open space in your calendar—is actually your friend. You live in a world that will interrupt you. It is inevitable. So prepare for the interruption by “saving some time for a rainy day,” so to speak.

Law #3: Maximize the Value of Your Time

Consider this. You meet two people. Both Person A and Person B make $200K per year. Seems equal? But what if you learn that Person A works an 80-hour week while Person B works just a 30-hour week? Your perspective shifts quickly, doesn’t it?

Related Article: The Entrepreneurial Time Machine

While most of us wish to free ourselves from the tyranny of an hourly wage, we risk losing sight of the most important metric in becoming time wealthy: the net, realized dollar-per-hour value of our time. The time-wealthy avoid doing low-value work, not because it is beneath them, but because doing such work damages their ability to have free time. Entrepreneurs and small business owners are particularly prone to the trap of doing easily replaceable low-value work such as bookkeeping, janitorial, and admin tasks. Instead, they would earn freedom through focusing on higher value tasks such as visionary work, big-ticket sales, and strategy.

Law #4: Invest in Time Assets

Wise money investors make calculated investments in assets. Time tycoons can do the same, by investing in the best quality tools, technology, and a streamlined workspace.

Consider having a slower, outdated computer. If an upgrade resulted in just a 2% increase in performance, the net gain is just over one extra workweek every year. Isn’t dropping a few hundred dollars to upgrade your output a savvy investment?

Law #5: Earn Compound Dividends

Advanced practitioners of time wealth multiply their efforts by enlisting the help of others. They wisely hire, train, and delegate to employees, contractors, and virtual assistants.

When the world is clamoring for your attention and you feel starved for time, how should you prioritize? Here is the system I share with my coaching clients:

  1. Is there anything repetitive I can delegate so others will multiply my effort?
  2. Am I holding up any process? Never be the bottleneck.
  3. Can I create something that will work for me while I am sleeping?
  4. What will make the money per hour?

These questions put the priority not just on doing work, but doing the work that works for you, freeing up bundles of precious hours. Not all investments need to be with people. Some creations, such as an online article like this, can work for you driving traffic and opportunities your way even while you sleep.

If you feel starved for time, begin with just the first law. Create a budget, and stick to it. Then, as you experience the benefits of living in balance, make small deposits by taking on the other four laws.

Dave Crenshaw HeadshotAuthor: Dave Crenshaw works 30 hours per week or less, plays video games, and has plenty of time to spend with his wife and three children. He is also the master of helping business owners triumph over chaos. He has appeared in Time magazine, FastCompany, USA Today, and the BBC News. His first book, The Myth of Multitasking: How ‘Doing It All’ Gets Nothing Done, has been published in six languages and is a time management bestseller. As an author, speaker, and business coach, Dave has transformed thousands of businesses worldwide. To get free access to Dave’s online Time Management Fundamentals course on Lynda.com, please visit: http://davecrenshaw.com/freetime

Twitter: @DaveCrenshaw

LinkedIn: linkedin.com/in/davecrenshaw

Published: November 24, 2015
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