How much are you worth?

image:pennmutual.com
culled from:mashable.com

"I can't afford it."

How many times have you said this, to sales people, family members or to yourself? Yes, there are things we truly can't afford. At more than $200,000, a Bentley Continental GT convertible is out of my price range. Nor am I in the market for a $60 million house on Miami Beach. Then again, I don't need either of those things.

But there are two things I can and must invest in -- me and my business.

I realized shortly after I quit my day job as CEO of the local chamber of commerce that in order to build my business, I would have to look beyond my hometown if I wanted to succeed. After considerable research, I decided that I needed to make several strategic investments in my business -- social media training and a comprehensive inbound marketing component.

Could I afford it? My bank balance screeched, "Absolutely not!" I would have to dip into my retirement savings, which was the last thing I wanted to do. But I knew these investments were important to my success.

They turned out to be wise choices. Since meshing my social media training with my robust all-in-one marketing program, I have built a solid, online presence. Website visits have jumped 388%, my email list has skyrocketed and my blogs have been seen by thousands of people.

Am I where I want to be? Not yet! But I am a lot closer than I was two years ago -- and that's because I decided to make two crucial investments that I initially told myself I couldn't afford.

What investments do you need to make? Let’s break it down.
What is the value of a wage earner?

First, let’s look at where you are today and the value you bring to your employers. What are other people in your area, with the same experience and education, earning every year? Check out such websites as salary.com, which can help you find that number for either the job you have or the one you want.

Still having trouble computing? Here’s an eye-opening infographic on how much stay-at-home moms are worth.

I think all the numbers are abysmally low. A housekeeper for $10 an hour? In the Florida Keys, the price starts at $25 an hour and goes up. And most CEOs make considerably more than $54 a hour -- ranging between $193 to $516 an hour.
What is the value of a business owner?

If you're in business for yourself, the commonly used calculation to determine your worth is to multiply your desired hourly rate by three:

    First third – Your compensation. Determine how much you want to make, then add another 30%, because women tend to under-value themselves.
    Second third – Business overhead like taxes, rent and equipment
    Last third – Investments to grow your business through marketing, public relations, events, training and so on.

Cost of investment vs. return

As a wage earner, you have done the research, you know what you’re worth in the marketplace and you may have discovered that you could make more money to if you got more training or formal education. Is it worth the investment? Do the math: If the training costs X, how much would you have to earn to make the investment worthwhile? Over what period of time?

As a business owner, the same holds true: Look at the investment you’re thinking of making and determine how many additional customers you would need or how much more in sales per customer in order to make it pay off. See how it applies to customer retention or ways in which you can refocus your human capital. Look at it from a 30,000-foot perspective.

As a human being, what do you need to do or learn in order to feel stronger, more self-sufficient, more self-confident, more "worthy" in your own eyes and in the eyes of others? Because regardless of where you are in your life, if you don't value yourself, no one else will either.

You will never get more of what you want, because you don't think you deserve it. If you're not confident in your abilities and skills, you won’t be able to negotiate a higher salary. There is no way you'll get a better job. People will continue to push you around, getting you to do what they want you to do, as opposed to what is good and right for yourself.

So before you automatically say "I can't afford it," look at what you’re spending. Are there expenses you can cut back on, or additional sources of money that you can tap to make the necessary investment in you?

You are worth it. And you owe it to yourself – and the world – to become the highest and best version of yourself you can possibly be.

What investment would you like to make in yourself? Please share your comments below