Investing time to save money
Here Covey uses the common analogy of a woodcutter who is sawing for several days straight and becomes less and less productive over time. The process of cutting dulls the blade. So the solution is to periodically sharpen the saw.
In this information-rich, time-poor age, it becomes increasingly difficult to stop and think about what we are doing — a fact often seized upon by purveyors of goods and services. Subscriptions are renewed or we default to known, more expensive products and services, merely because we lack the time to do anything else.
As a result we often spend more money than we need. A study released last year suggested the average individual wastes over £50/week in this way — but this figure could be even bigger if practices such as mis-selling are taken into account.
Stopping and thinking can go a long way to reducing costs, and therefore increasing the value that can be generated. Consider: if every time you conduct a currency transaction you save 2%, that’s £20 in the £1000. With interest rates as they are, there could be no better way to see a return on your investments.
For the sake of twenty minutes of your time, the accumulative gain of reading up or speaking to one of our advisers quickly mounts. It’s the financial equivalent of sharpening the saw.
Of course we are all busy, but it is worth remembering that it is in the interests of the big institutions to keep things looking that way.