Should I Buy It? Calculator
Formula
Hours = Item Price ÷ Hourly Wage
This calculator shows the real cost of any purchase in terms of your time. When you see a $100 item and earn $25/hour, it costs you 4 hours of work. This perspective helps you decide if something is truly worth it.
Frequently Asked Questions
Should I use pre-tax or after-tax hourly wage?
Use your after-tax (take-home) hourly rate for a more accurate picture. Your actual purchasing power is what you take home, not your gross wage.
How does this help with spending decisions?
If a $200 pair of shoes costs 10 hours of your work, ask yourself: 'Would I work 10 hours specifically to buy these shoes?' If yes, buy them. If not, skip.
What about salaried workers?
Divide your annual salary by 2,080 (40 hrs × 52 weeks) to get your hourly rate. For $60K salary: $60,000 ÷ 2,080 = $28.85/hour.