Patience and time are my warriors, my champions. By the way, check out more Leo Tolstoy’s quotes in Twitter @TolstoySays and find humanistic wisdom and daily insights. – Benjamin Franklin. Probably, the most famous quote about time by Benjamin Franklin, a person known by his productivity and various talents. Time is a teacher and a healer. The old phrase says that “Time heals everything,” and while that often feels hollow to people in the middle of a painful experience, they often find that it eventually becomes true. Sometimes the only way to get a new, healthier perspective on a situation is to give it time. Aug 01, 2016 We use the phrase ‘time is money’ to refer to the fact that, if we manage our time well, we can also increase our earnings. This phrase also refers to a correlation between time and money that exists in many different walks of life. 5 Reasons Why ‘Time is Money’. Our working hours are when we earn our wages.

Is Time Is Money A Real Phrase Poem
Time Is Money Benjamin Franklin
Is Time Is Money A Real Phrase Examples
Time Is Money Examples

The phrase 'remember that time is money' is famously attributed to Benjamin Franklin. As a statesman, scientist, and philosopher, Franklin coined (or used) many quotable maxims that are known and used in everyday conversation to this day. This particular metaphor has remained an important lesson in the world of finance and business.

Benjamin Franklin on the $100 bill

First Use of “Time Is Money'

The idea that time is money did not originate with Franklin, in fact, the concept had been around since the ancient Greek philosophers. And Franklin was probably not the first person to ever say this phrase. However, Franklin's almanac and other writings popularized many of his quotable lines and ensured he was remembered for them.

This Franklin quote appeared in a short essay titled 'Advice to a Young Tradesman.' Here is the beginning of the letter, including where the famous quote can be found:

Advice to a Young Tradesman, Written by an Old One

To my Friend A. B.

As you have desired it of me, I write the following hints, which have been of service to me, and may, if observed, be so to you. Remember that time is money. He that can earn ten shillings a day by his labour, and goes abroad, or sits idle one half of that day, tho' he spends but sixpence during his diversion or idleness, ought not to reckon that the only expense; he has really spent or rather thrown away five shillings besides.

Understanding the Quote

Since the quote 'time is money' is listed as the first hint by Franklin, he most likely finds this concept to be of utmost importance for any business person or entrepreneur.

He goes on to explain how people who are otherwise capable of making money not only lose money by not working, but will also lose money because they will spend it during their non-working time. Thus, wasting time wastes money in two ways:

By not earning (a form of opportunity cost)
By spending

Good business people, who want to stay in business, do not squander opportunities and money. They understand that time is money.

A Fiscally Responsible Man

Is Time Is Money A Real Phrase Poem

Benjamin Franklin was known for being very wise in the area of economics. In fact, he was Dean of the Colonial Business School. Whether he was publishing articles in newspapers, writing almanacs, or drafting his autobiography, Franklin gave some of the best business advice. At the core of his principles was discipline.

Early to bed and early to rise makes a man healthy, wealthy, and wise.

He also said, in reference to where a wayward life can lead you:

There’s more old drunkards than old doctors.

Franklin’s 1737 almanac contained a column titled, “Hints for Those That Would Be Rich.” He was a master at balancing the books and never wasting even the slightest penny. “Advice to a Young Tradesman” was not only aimed at time management but also frugality.

Time Is Money Benjamin Franklin

If early to bed and early to rise makes a man wise, then there are more opportunities to leverage time as money. It’s clear Franklin had no doubt that hard work and discipline are the driving forces behind fiscal stability.

A Wise Man

“Time is money” is just one of the many wise quotes for which Benjamin Franklin is known. Besides contributing to the country as a patriot during his lifetime and as a scientist, he also left us with many memorable maxims to help guide us. For more wisdom from this author, statesman, and scientist, enjoy reading through these Benjamin Franklin Quotes. There’s a great line about why you should love your enemies and even one about a love of wine!

M.Ed. English Education

Time Value of Money (TVM), also known as present discounted value, refers to the notion that money available now is worth more than the same amount in the future, because of its ability to grow.

The term is similar to the concept of ‘time is money’, in the sense of the money itself, rather than one’s own time that is invested. As long as money can earn interest (which it can), it is worth more the sooner you get it.

Is Time Is Money A Real Phrase Examples

We all know that if we deposit money in a savings account, it will earn interest. That is why we prefer receiving money now than the same amount at a future date.

Time Value of Money is important in financial management. TVM can be used to compare different investment options and to solve problems involving mortgages, leases, loans, savings and annuities.

If you wait one year to get your money, you are losing out on the opportunity to have that money in the bank now earning interest.

Example of Time Value of Money

Time Is Money Examples

Imagine you lent a friend $1,000 and he paid you back today. You immediately deposit that money into an account that earns 7% annually. It will be worth $1,070 in exactly one year’s time.

If, on the other hand, you received the $1,000 in one year’s time, it would only be worth $934.58 ($1,000 ÷ 1.07), assuming a 7% annual interest rate.

If you asked people whether they would prefer to receive $1,000 now or that amount in one year’s time, they would probably all say they wanted it now, for several reasons:

They want to be sure they get the money. Waiting a year increases the risk of not getting the money.
They may want to go out shopping or go on vacation soon, and that money would be useful.
If they invested that money today in a deposit account, the $1,000 would be worth more in one year’s time. They are aware of the Time Value of Money.

A key concept of TVM is that a series of equally, evenly-spaced instalment payments or a single lump sum, or receipts of future pledged payments can be converted to an equivalent value now.

One may also determine the whole thing the other way round, the value to which one single sum or a series of future payments will have appreciated at a future date.