Why being paid by the hour is a scam 0

Time = Money? Think again.

Time = Money?
Think again.

For many of us, how we think about work is by the hour, or the faction of an hour. It isn’t as addictive as drugs, but its close, especially for highly paid workers.

Getting paid by per hour creates a perverse incentive to focus on the amount of time spent on the job instead of the job itself.

In a wide range of jobs and income levels, people who are paid hourly work longer and were aware that every hour they fail to work was lost compensation.

This means a vacation or a day off meant loss of money. Hourly pay impairs our ability to enjoy leisure time. Enjoying time with your friends, watching a movie becomes more costly as you add the hours on top of the cost of enjoyment. This way, activities become less pleasurable. We come to realise that time is money. Yet when time is money, hourly pay can become a trap.

Hourly pay means that no matter how much or how little effort you put in for that hour, you get paid the same. It has a cap, a limit regardless of the amount of work you do. Yet, companies aren’t paid the same way. They actually get paid by the amount of work you do. Yes. The amount if work you do. That’s how they make profits. Common sense tells you that being paid by per hour is a psychological trap set by money hackers who get paid by the amount of work other people do and gives them the minimum per hour. Even if there are commissions and tips, it will never be as good as what you can do if you charge the customers direct for the work you do. The flaw lies in companies need to make a profit. It makes its profit from you because you don’t like the risk of charging customers direct for the work you do. That’s why being a young money hacker needs guts on top of being intelligent.

Just imagine if we take one of the hacks and compare it to the hourly pay structure. If you could write an shook and sell it for $5 online using an automated ecommerce software. If you know how the whole process works and can automate everything, your website will sell the book for you. It can complete the whole process of giving the sales pitch to the collection of payment and the production of receipt automatically. Essentially, you $5 for doing nothing. Yes, It might require intelligence and a lot of hard work to set that system up. But the moment the system is up, you can earn money simply by doing nothing. No, time is not money. Time is more important than money.

If you asked a 60 year old CEO whether would be pay 1 million to turn back time and enjoy 1 extra year of his youth, he would most probably say yes. We know that one hour of youth is definitely more precious than one hour of being an elderly. Yet, the large corporations turned it the other way round in terms of pay structure. Wouldn’t it make more sense if you enjoy more now and work harder at a later age? Working one hour at the age of 60 might earn you $500. Working one hour at the age of 18 might only earn you $10. Hey, you are exchanging 50 hours of youth to save 1 hour of your time at 60 years old! Is that worth the time? The answer is so obvious, and yet most of the teens out there fail to see this common trap set by large corporations out there.

If you are planning to get a part time job that gets you paid by hour, re consider not only the financial impacts of doing that job, but the psychological distress that comes along with it too. Remember, you must commit to a set number of hours per week when you put your signature down on the contract. Essentially, you exchange your youth for something that you can obtain without doing anything much.

Ask yourself,
Is it really worth exchanging your youth for money?