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Outsourcing Your Life Isn’t Always Worth It
Posted By Ron On November 1, 2010 @ 8:00 AM In Life,Saving Money | Comments Disabled
Like it or not, and despite the proclamations of self-professed “experts”, YOU are the cheapest labor you can hire. Whether the task is mowing your lawn, changing the oil in your car, painting your house, designing a website, or many other projects, if you’re relatively competent, I believe you should do it yourself.
 I can hear the wailing and gnashing of teeth already. The argument for outsourcing your life usually takes the following tack: “I make $60,000/yr which translates to $30/hour so anything that costs less than that should be outsourced.” Hogwash.
That $60,000 is pre-tax dollars but you can’t spend pre-tax dollars. In reality, after federal, FICA, Medicare, state, and sometimes even local taxes, you’re likely to bring in about $40,000. Divide that by 40 hours over 52 weeks and you’re actually making a little more than $19/hr while you’re at work. Are you earning anything the other 70+ hours you’re awake during the week? Not unless you make extra money  on the side, but even then, you’re probably not working more than an additional 20 hours per week.
Include every hour you’re awake and that number dwindles to about $6.99/hour. Include the time you’re asleep and you’re looking at only $4.57/hour. Even someone who makes that “magical” $250,000 per year averages only $43.71/hour awake and $28.62/hour in total. When I ran these calculations for myself, it made the services I was paying for look really expensive.