Time, Time, Time
See what’s become of me
While I looked around for my possibilities…
I was so hard to please
That’s one of my favorite Simon and Garfunkel songs (or The Bangles, if you must).
Time is something we usually trade for money, but we can never buy back.
But then… what is your time really worth?
What Your Time is Worth
When I was a kid, I collected, played, and sold cards—Magic: The Gathering, sports cards, even Pokemon cards for a time. Anytime I talked about what they were worth, my dad would put it this way:
Something is worth what someone else is willing to pay for it.
But what our time is worth is not your hourly rate.
Well, unless you’re a magic unicorn who bills 100% of their work time and gets paid for it (and if so, then taste the rainbow, motherf…).
For most people, what your time is actually worth is way less than your hourly rate.
How to Figure it Out
I would be remiss if I didn’t include this amazing article by James Clear.
That being said, if you don’t want to read it fully, here’s the gist according to ChatGPT:
- Track the total amount of time invested in earning money, not just the hours physically at work but also commuting, work-related tasks, and time spent on side hustles. Tools like RescueTime can help.
- Track how much money you earn during that time, including paychecks, side hustles, and freelancing.
- Calculate your time’s worth by dividing total money earned by total time invested.
Back to Reality
The easiest way to figure it out? Take your salary and divide it by 2000 hours. A normal person works roughly 2000 hours a year (40 hours/week x 50 weeks). For many lawyers, 2500 hours may be a more accurate number.
Examples:
- $100,000/year ÷ 2000 hours = $50/hour (or $40/hour for 2500 hours)
- $200,000/year ÷ 1000-1250 work hours = $100/hour
For me, my time is worth a bit more than $200/hour—not that I make that much, but I don’t work that much. (Unless I count reading… then it would be lower.)
What to Delegate
If you have more work and can get paid for it (even at the same rate) or want more free time, it comes down to asking:
- What do you hate doing?
- What are you bad at?
- What would someone else do for less than your rate?
Anything on any of these lists is fair game to offload.
Examples:
- I hate e-filing, so I hired a law student for $10/hour.
- I’m terrible at listening to clients complain, so my reviews highlight how awesome Lianet and Andria are.
- My lawn guy cuts my lawn for $25/hour. My housekeepers get $20/hour. Worth every penny.
How to Prioritize
Glad you asked. Two routes depend on whether you care more about time or money.
Track Your Time
Take two weeks and write down what you do every 15 minutes. Your calendar works perfectly for this.
Time First
If time is more important:
- Add up the hours spent on each task.
- Rate each task 1-10 for ease of delegation (1 = tough, 10 = could delegate tomorrow).
- Multiply hours x ease of delegation. Move the highest scores off your plate first.
Example:
- 10 contracts x 30 minutes = 5 hours. Automate in CRM? Ease = 10 → 5 x 10 = 50 → do first.
- 2 hours/month reviewing financials, CPA needed → Ease = 5 → 0.5 x 5 = 2.5 → next.
- 15 hours/week email, lots of complexity → Ease = 2 → 15 x 2 = 30 → after CRM + SOPs.
Money First
If money is more important (or you’re short on funds):
- Take your hourly rate ÷ 4.
- Find help at that rate or less (VA, meal delivery, software).
- Work to increase your hourly rate to afford better help.
Benefits:
- Accomplish more per hour
- Make flat fees more profitable
- Add value and raise rates
Applying This to Your Firm
Two weeks ago we talked about the 7 jobs in a business:
- Business Strategy (Vision/Research)
- Sales
- Marketing
- Customer Service
- Actual Work (Delivery/Fulfillment)
- Management (People, Processes, Projects)
- Support (Finances/IT/Legal—not your role as a lawyer)
Go through these, decide what can be delegated, and prioritize using the methods above.
- Enjoy it? Keep it.
- Best at it? Stay on it.
- Cost-prohibitive? Delegate fractionally if possible.
Next Steps
Ask yourself:
What’s the next thing you want off your plate?
How can I help you get there?
Until next week, have a great weekend!