What Value Floor Calculates
Whether your time is worth more than the professional quote for the job.
Value Floor answers one question: does DIY cost more than delegating, once my hourly rate is honest?
The honest question is never "can I do it myself?" — almost always yes. The question is whether the hours cost you more than the quote. Value Floor enforces that arithmetic with your real hourly rate, not a minimum-wage mental model.
Quick answer
Value Floor answers one question: does DIY cost more than delegating, once my hourly rate is honest?
Key points
- ▸ Formula: DIY cost = (Your Hourly Rate × Hours Required) + Parts/Materials. Compare to Professional Quote.
- ▸ Your hourly rate is your productive rate — what you earn per focused hour of work, not gross salary ÷ 2,080.
- ▸ Parts/materials usually favor the pro: they get wholesale pricing and you don't. Account for real retail cost in the DIY side.
- ▸ Time horizon matters: a 4-hour task this weekend feels cheap. Four hours off your productive week is real money.
- ▸ The verdict is cost-only. Learning value, enjoyment, and control are real but outside the math.
Examples
- $125/hr × 4hrs + $60 parts vs $300 quoteDIY $560, quote $300 → DELEGATE. Saves $260 of your time, and the pro does it faster anyway.
- $50/hr × 6hrs + $200 parts vs $450 quoteDIY $500, quote $450 → narrow win for the quote. If you enjoy the task, do it; if you don't, pay.
- $200/hr × 2hrs + $50 parts vs $600 quoteDIY $450, quote $600 → DIY. High-hourly-rate people can still DIY short tasks where parts are the dominant cost.
When to use which tool
- CYAN · STABLE — Pro quote under 50% of DIY cost — delegate, reclaim the hours for rate-earning work.
- GOLD · GUARDED — Quote 50-100% of DIY — toss-up, delegate only if learning value is zero.
- MAGENTA · CRITICAL — Quote above DIY cost — DIY clearly cheaper, or renegotiate the quote.
Related
- The Value FloorIs your time worth more than the professional quote? Balance-scale verdict with DIY cost vs outsourcing.
- When to Run Value FloorFive concrete moments when the DIY-vs-delegate math actually changes behavior.
- Six Value Floor MistakesCommon errors that make DIY look cheaper than it is — and one that makes delegation look cheaper than it is.
Frequently asked questions
› What if the pro does it worse than I would?
Adjust by estimating rework cost. If you'd spend 2 hours fixing their work, add those hours to the quote side and recompute.
› Does this ignore the satisfaction of DIY?
Yes — it is cost-only. Factor satisfaction mentally. Some tasks are hobby, not labor, and the math changes when you'd do them anyway for enjoyment.
› Should retirees use a lower hourly rate? Trust & accuracy
Use the rate at which your time is genuinely substitutable. If nothing else has a claim on the hours, the rate is low; if family or health projects compete, the rate is higher than zero.
› How should I use a decision framework in real life? How-to
Use a decision framework to expose the tradeoff, not to outsource the decision. Write down the inputs, compare the output with your constraints, then ask what would change the answer. The strongest use is scenario testing: base case, conservative case, and failure case.
› Is this financial, legal, or tax advice? Trust & accuracy
No, this is not legal, financial, tax, medical, or professional advice unless the page explicitly says that use case is supported. It organizes assumptions so you can inspect them. Verify high-stakes choices with qualified people who can review facts, contracts, regulations, and downside risk.