Time versus money

I’ve heard the saying “time is money” many times, but I was thinking about it today and, although I understand the point, I think the statement is false – at least in some respects.

We often use time and money the same way, but if we stopped to think about it, and used them differently, it could make a huge difference in our financial lives.

I’ve found an easy way (at least in my mind! LOL) to relate this to the different medical expense accounts I have access to, through my job – the HSA and the FSA.

The FSA is use it or lose it. If I don’t use all the money in it by the end of the year, it’s gone. Kind of like time. We have a certain amount of time each day and, no matter how we use it, it’s gone when the day is over. You can’t save it, roll it over or build on it.

We always think we’ll have more time, but in many cases, it ends abruptly and we’re not prepared. For a lot of people, it’s the same with money. This is the essence of living paycheck to paycheck. You spend what you have, and hopefully make it stretch, long enough to make it to the next paycheck. There’s nothing left to roll over, save or build on. We always think we’ll get more – the next paycheck – but in many cases, the paycheck ends abruptly and we’re not prepared.

The HSA, on the other hand, allows us to put money aside for future medical expenses not covered by insurance. We have the option of using it right away, but it will sit and wait for us as long as we like! Don’t use it this year, and it will roll over to the next and the next and the next! We can add more and even invest it for more growth! Eventually, we can use that money for whatever we choose! The HSA has many options – it’s a great building block!

I’m much more fond of the building blocks than the timed expense account. When I use my money as building blocks to a solid life, today and in the future, I’m much happier and less stressed than that feeling of living on the edge that comes with the paycheck to paycheck cycle!

My budget has helped me in countless ways, to create building blocks with my money. I’ve cracked the paycheck cycle, but now I’m working on breaking it beyond repair!

Who’s with me?