Frequently Asked Questions
What is the main idea of Your Money or Your Life?
The book by Vicki Robin and Joe Dominguez, first published in 1992 and revised in 2018, argues that money is something you trade your life energy for. By tracking spending and comparing it with the hours of life it costs, readers can align spending with their values and work toward financial independence.
How do you calculate your real hourly wage?
Add up all the time your job really takes, including commuting and other work-related hours, and subtract job-related costs such as commuting, work clothes and meals from your pay. Dividing what is left by the total hours gives your real hourly wage, which is usually lower than your nominal rate and makes the true cost of purchases clearer.
How many steps are in Your Money or Your Life?
The book lays out nine steps, as its subtitle states, covering everything from reviewing your past earnings and tracking every dollar to valuing your life energy and building toward financial independence. Readers can work through them gradually rather than all at once.
Is Your Money or Your Life related to the FIRE movement?
Yes. The book is widely seen as one of the key influences on the financial independence, retire early (FIRE) community, and the 2018 revised edition includes a foreword by the blogger Mr. Money Mustache. Its focus on mindful spending and avoiding lifestyle inflation remains central to FIRE thinking.
About the author
Contributing Writer, Wealthtender
Karen Banes is a freelance writer specializing in entrepreneurship, parenting and lifestyle. She writes articles, website content, ebooks and the occasional award winning short story. Her work has appeared in a range of publications both online and off, including The Washington Post, Life Info Magazine, Transitions Abroad, Brave New Traveler, Natural Parenting Group, and Copia Magazine.
Karen provides copy editing and proofreading services, as well as content creation services, at her website KarenBanes.com.