Saturday, August 7, 2010

Three times faster, but cost ten times more

Recently, I had taken a cab home from my office as I was not feeling well after work. The time taken travelling by cab from my office to my house is about 20 minutes. The cab fare that I pay is about $18.00 including the peak hour’s charges. As for normal day, I will be using bus and MRT. The total time taken travelling by bus and MRT is about 60 minutes and cost me about $1.80.

As you can see that it is really cost me ten times more travelling by cab just to be three time faster. I need to spend $16.20 more just to save 40 minutes of my journey time.

Amount of money spend to save time = $16.20/40min = $0.405 per min = $24.30 per hour.

In my opinion it is very expensive to take a cab especially when your hourly worth is less than $24.30. As for me, I will take cab only when it is necessary. This will allow me to save a lot of money in the long run.

2 comments:

Eric See said...

Health and wellbeing is above all.
Must learn to Earn $$, Eave $$, Make $$ and learn to spent $$ to reward ueself.

Back2Nature said...

Since it is going back home, then the time worth should be that of being at home but not in terms of work hour in office. However, I agree with Eric that wellbeing is of high priority too. So, time worth at home should be higher than time worth at work, in non monetary terms.

Have you started your journey towards financial freedom?