Enter your current hourly rate your are paid by your employer and the total number of hours worked outside of normal work into the unpaid work calculator. The calculator will display the total equivalent value of the work you perform outside of your normal job.
Unpaid Work Formula
The following equation can be used to calculate your equivalent value of unpaid work performed outside your job.
UW = UH * W
- Where UW is your unpaid work value
- UH is your total unpaid hours worked
- W is your normal wage rate $/hr
Unpaid work is a term used to describe any non-leisure activities performed outside of your normal job. In short, people need to work many hours outside of work to live normal lives. This includes things like cleaning, cooking, and taking care of kids.
The point of calculating how much time you spend doing other work is to determine whether it makes sense to outsource some of it. For example, if you can work an extra 4 hours a week at your current job, and are able to reduce your work at home by 4 hours by outsourcing it for half your pay rate, then you actually have a net gain of 2 hours of wages through what you had been doing.
It also helps identify areas of your life where you are spending to much time. For example, if you spend 2 hours a day cooking, but can reduce that to 4 hours in one day of meal prep for the week, you can many hours you could either enjoy or earn money for.