Make Stronger Decisions by Giving Value to Your Time
Every person has an implicit hourly rate of value they create, in business and beyond. Determining that number is tough, but if you don’t have an estimate—you don’t have a framework within which to make decisions. SeatGeek founder Jack Groetzinger explains.
Let’s use a business example to illustrate hourly rate of value. Perhaps Bob, SeatGeek’s (fictional) traveling salesman, provides $150 of value for every hour that he’s working. If Bob catches the flu and is forced to spend a day hunched over a toilet rather on the road selling, then the DCF of future earnings decreases by $1,500.