Comments on: Opportunity Cost: the Freelancer’s Aid for Better Decision Making http://freelanceswitch.com/productivity/opportunity-cost/ Freelance Advice and Freelance Jobs - FreelanceSwitch Wed, 20 Aug 2008 10:31:43 +0000 http://wordpress.org/?v=2.5 By: April’s Best: This Month in Web Design | Vandelay Website Design http://freelanceswitch.com/productivity/opportunity-cost/#comment-21440 April’s Best: This Month in Web Design | Vandelay Website Design Sun, 27 Apr 2008 19:16:33 +0000 http://freelanceswitch.com/?p=759#comment-21440 [...] Opportunity Cost: The Freelancer’s Aid for Better Decision Making at Freelance Switch. [...] […] Opportunity Cost: The Freelancer’s Aid for Better Decision Making at Freelance Switch. […]

]]> By: Sunday Brunch Buffet | Entrepreneur's Breakfast: Marketing Over Easy http://freelanceswitch.com/productivity/opportunity-cost/#comment-20138 Sunday Brunch Buffet | Entrepreneur's Breakfast: Marketing Over Easy Sun, 13 Apr 2008 15:52:38 +0000 http://freelanceswitch.com/?p=759#comment-20138 [...] Snell spins opportunity cost around the freelance way of living and working over at Freelance [...] […] Snell spins opportunity cost around the freelance way of living and working over at Freelance […]

]]> By: Elaine Appleton Grant http://freelanceswitch.com/productivity/opportunity-cost/#comment-20134 Elaine Appleton Grant Sun, 13 Apr 2008 13:34:32 +0000 http://freelanceswitch.com/?p=759#comment-20134 A good point and one worth being deliberate about. I'd like to add one piece of advice when thinking about the opportunity cost of taking one project over another, or even in deciding between spending time researching potential new articles (I'm a magazine writer) over taking a project offered today. If your only goal is to maximize income, the easy route is often to take the project offered today. However, if you have a long-term goal to focus on one particular niche, develop expertise in an area that excites you, or develop a platform for future books or speaking opportunities, it's worth turning down projects that don't further those goals, despite the opportunity to make short-term money. To use an analogy, the opportunity cost of going to college versus taking a job out of high school can be furthered, although I don't know the math: sure, your opportunity cost in the example above is $60,000. But the real opportunity cost of skipping college is probably hundreds of thousands of dollars down the road, as the lack of degree limits your earning power. The same can be said for choosing short-term freelance projects (the "bird in the hand") over working toward long-term goals. A good point and one worth being deliberate about. I’d like to add one piece of advice when thinking about the opportunity cost of taking one project over another, or even in deciding between spending time researching potential new articles (I’m a magazine writer) over taking a project offered today. If your only goal is to maximize income, the easy route is often to take the project offered today. However, if you have a long-term goal to focus on one particular niche, develop expertise in an area that excites you, or develop a platform for future books or speaking opportunities, it’s worth turning down projects that don’t further those goals, despite the opportunity to make short-term money. To use an analogy, the opportunity cost of going to college versus taking a job out of high school can be furthered, although I don’t know the math: sure, your opportunity cost in the example above is $60,000. But the real opportunity cost of skipping college is probably hundreds of thousands of dollars down the road, as the lack of degree limits your earning power. The same can be said for choosing short-term freelance projects (the “bird in the hand”) over working toward long-term goals.

]]> By: Mark Abucayon http://freelanceswitch.com/productivity/opportunity-cost/#comment-20130 Mark Abucayon Sun, 13 Apr 2008 02:00:53 +0000 http://freelanceswitch.com/?p=759#comment-20130 That was nice article I appreciate reading it, thanks for the information. That was nice article I appreciate reading it, thanks for the information.

]]> By: Chris http://freelanceswitch.com/productivity/opportunity-cost/#comment-20127 Chris Sat, 12 Apr 2008 22:11:44 +0000 http://freelanceswitch.com/?p=759#comment-20127 This is alright advice, a great reminder, but I'm pretty sure you learn this in your basic high school business course. However, it's a very useful tip. This is alright advice, a great reminder, but I’m pretty sure you learn this in your basic high school business course. However, it’s a very useful tip.

]]> By: Opportunity Cost: the Freelancer’s Aid for Better Decision Making http://freelanceswitch.com/productivity/opportunity-cost/#comment-20097 Opportunity Cost: the Freelancer’s Aid for Better Decision Making Fri, 11 Apr 2008 20:04:49 +0000 http://freelanceswitch.com/?p=759#comment-20097 [...] Source [...] […] Source […]

]]> By: Toni http://freelanceswitch.com/productivity/opportunity-cost/#comment-20064 Toni Fri, 11 Apr 2008 11:04:32 +0000 http://freelanceswitch.com/?p=759#comment-20064 Great article. I appreciate the fact that you also mentioned the opportunity cost of spending time with family and sleep. Sometimes it's easy to forget these things when struggling to build business, but sometimes a mental recharge is just what that business needs! Great article. I appreciate the fact that you also mentioned the opportunity cost of spending time with family and sleep. Sometimes it’s easy to forget these things when struggling to build business, but sometimes a mental recharge is just what that business needs!

]]> By: Ian http://freelanceswitch.com/productivity/opportunity-cost/#comment-20051 Ian Fri, 11 Apr 2008 06:09:34 +0000 http://freelanceswitch.com/?p=759#comment-20051 Interesting article but it doesn't help me much. I've been quite indecisive lately or maybe it's just the decisions I have to make. For example, which online financial tracking service do I use? There about 15 and after quite some time looking at the merits of each one, you can eventually narrow it down to about 5, but they tend to do the same and the only way to know which is best is to commit yourself to a full trial of the service which takes up time. Interesting article but it doesn’t help me much. I’ve been quite indecisive lately or maybe it’s just the decisions I have to make. For example, which online financial tracking service do I use? There about 15 and after quite some time looking at the merits of each one, you can eventually narrow it down to about 5, but they tend to do the same and the only way to know which is best is to commit yourself to a full trial of the service which takes up time.

]]> By: liz http://freelanceswitch.com/productivity/opportunity-cost/#comment-20045 liz Fri, 11 Apr 2008 03:26:06 +0000 http://freelanceswitch.com/?p=759#comment-20045 i know this advice means well... but i am such a natural worrier, i seem myself not taking any work worried I'm passing up something else! yikes. I plan a lot but with the unforseen, i just have to make myself not look back, or id never move forward. i know this advice means well… but i am such a natural worrier, i seem myself not taking any work worried I’m passing up something else! yikes. I plan a lot but with the unforseen, i just have to make myself not look back, or id never move forward.

]]> By: Damien http://freelanceswitch.com/productivity/opportunity-cost/#comment-20039 Damien Fri, 11 Apr 2008 01:42:50 +0000 http://freelanceswitch.com/?p=759#comment-20039 Amen! I learned about this shortly before graduating from high school in my economics class—I have to say it was one of the most profound lessons I'd ever learnt. Many people fail to realize what taking on that one gig from the client they hate costs them much, much more than the enjoyment they could have had. With that same time, you could have put some hours into a pet project, expanded your skill set, or found a new, better client. As a freelancer, you're a business, and if you don't think like an euntrapaneul, you'll never get past being 'just' another one man shop. Amen! I learned about this shortly before graduating from high school in my economics class—I have to say it was one of the most profound lessons I’d ever learnt.

Many people fail to realize what taking on that one gig from the client they hate costs them much, much more than the enjoyment they could have had. With that same time, you could have put some hours into a pet project, expanded your skill set, or found a new, better client. As a freelancer, you’re a business, and if you don’t think like an euntrapaneul, you’ll never get past being ‘just’ another one man shop.

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