How Much are You Worth?

So many workers think they are underpaid its cliché. These workers truly believe they are worth more, but how do they know?

How much are you worth?

And how do you know? 

Most employees don’t have any idea what they cost; they only know what they are paid. And most employees have no concept of just what value they add. Not knowing how expensive they are or just what they contribute makes determining worth nearly impossible.

Any worker, to stay employed, must add more value than he or she costs. That seems simple enough but for some achieving a positive "employee net worth" is a pretty high bar. Some workers drain resources from their organizations; they cost more than they add value. I bet you can identify some who exist uncomfortably in this space where you work.

But as you are not one of those, let’s get back to the question: How much are you worth? 

People often forget the fundamental purpose of business (and government and not-for-profits as well). The reason for an organization, any organization’s being – profit making or otherwise – is to add value. The purpose of business is to add value by satisfying desires, fulfilling wants and needs, and solving problems. That’s it. That is why businesses exist – to add value. Business owners and workers get paid to add value; satisfy desires, fulfill wants and needs, and solve problems. How well they do this – add value – is what determines their worth. How well you add value determines your worth.

So two elements come into play when considering worth relative to pay: 

1. What You Cost.

2. What Value You Add.

Do you know how much you cost? 

Cost is more than just salary. Costs include your complete benefits package; your work environment, space, tools and supplies; your training and supervision, and so on. If you’ve never calculated what you cost, do it now; the dollar figure you determine may surprise you.

Next consider your contributions; what value you add.

In simple terms, the value of any “thing” is determined by what someone will pay for it. Labor – time, energy and effort – is one of those “things”. What we have to offer is only worth what someone will pay – what a client, customer or employer will pay.

Many hope and wish and dream, even conspire and scheme for more pay without regard to the value they offer. Prosperous people approach pay differently; they concentrate on increasing the value they offer. By delivering more value; satisfying more desires, fulfilling more wants and needs, solving more problems; they make themselves more valuable – they prove their worth – and ultimately increase their pay.

Those who are worth the most, add the most value. They satisfy more desires, fulfill more wants and needs, and solve more problems.

To increase what you are paid strive every day to add more value to people’s lives. You may not get paid what you’re worth by your current employer but if you are willing to go where opportunity beckons the market will reward your efforts.

What are you worth?

You are worth what people will pay. 

Don’t waste time, energy and effort condemning the market for paying what it does. Focus on adding more value – satisfying desires, fulfilling wants and needs and solving problems. Do this and you make yourself more valuable. 

You have unique skills and talents to offer. Your challenge is figuring out how to share your gifts in ways which add the most value to other people’s lives. 

Give the greatest gifts you have to offer – add value – and life will pay you what you are worth.

Scott F. Paradis, author of “MONEY, the New Science of Making It” helps people live more abundantly by mastering the fundamentals of success. Scott@c-achieve.com