Going out to restaurants is one of those things that we all do from time to time. Some of us more than others though. And a lot of personal finance blogs and gurus say that this is one of those things that we all need to cut back on. But is it really?
Sure the cost of a meal at a rrestaurant is a lot higher than if you made it yourself. But whar about the time value of money?
For instance, it takes me a really good long time to make a meal at home as I’m not so great in the kitchen. And when you consider the time value of money, it looks like dining out is a good thing for me since it frees up time for me to work on income producing projects.
But there is a catch. My income potential is only so high. That means that meals out for me are only worth it up to a certain degree. And I believe this is true for a lot of people out there.
Granted, if you just lay around watching the television all night then it is not a good return on the time saved for you to dine out at a restaurant.
Another thing to consider – what if you would not be spending the time saved on something that produces an income but on something else beneficial, such as your health. Say you do a little working out in your home gym like this site recommends with the time saved by grabbing restaurant food. Or, maybe you can spend the time working on some personal development or something like crafty items that you post up for sale on Etsy or a similar site.
So, no, dining out is not always a bad idea. And for some people and some situations, it is even a good idea when you consider the time value of money that comes into play.