Time vs. Money and Opportunity Cost on the Farm

“Understanding exactly what value we place on our time and how we spend our time and different tasks we’re doing with our time, is what can allow us to make the best decisions possible for us and for our farm.” 

In this episode, I wanted to share the importance of making sure you put a value on your time because like the saying, “time is money.” This might be a difficult perspective to view as a farmer or a business owner, but if you think of it as, “how much would I have to pay someone else to do this task?” then it is clearer to see the value of your time doing that task. Then you have to think about, “am I using my time in a way that is cost effective to my operation?” All of these questions are important to keeping your farm or business on track as well as making sure your time is being spent doing things or investing in things that align with your goals and values.

  At a glance:

[3:07]: Give your time a value

“If it doesn’t cost money it probably costs time.”

[12:30] Opportunity Cost

What else could we be doing with our time?

[24:00] Chicken example

Even though it didn’t make business sense, it made sense for me.

[29:30] What value do you place on your time and the tasks that you’re doing? 

Know what jobs you don’t like doing and why you don’t like them. 

  Mentioned in this Episode:

Cattleman U Podcast Episode: Candid Thoughts from a 1st Generation Farmer: Time Management, Legacy & Motherhood

 

You may also enjoy…

#24 The Financial Planning and Grace that Makes Multi Family Farms Possible with Lydia Hiesterman

#51 Looking ahead at Ag Finance with a 4th Gen Farmer and Ag Lender

#53 Ranching with an Eye on Financial Feasibility

 

About the Host of Farming on Purpose, Lexi Wright: 

I’m your host, Lexi Wright. I started the Farming on Purpose Podcast from a passion for sharing the stories of agriculture from generations past, preserving the skills and lessons learned along the way, and ensuring the best of that is passed onto those who will continue to lead the way into the future of production agriculture.

I’m so glad you’re here and I hope you’ll take a moment to join the conversation with me and other listeners on social media. 

Connect with me on Instagram @wrightatthemoment, Facebook, and TikTok.