You are not paid for what you know, rather for what you do with what you know. This statement hit me. Now I knew why I was not earning as much as I thought I should. I always thought that because I knew a lot, then I deserved to be paid much more. I was wrong.
Value is conferred upon something when we realise the benefits it can potentially bring to us. To produce high value, we must combine specialised knowledge with action. It is our ability to translate knowledge into solutions (through action) that makes us produce value thereby attracting monetary value when people pay us for the solutions we offer. Specialised knowledge + Action = Value.
Well, I have never been first in any class. I mean performance, not attendance. From what my parents and probably yours drilled into me, it actually sounded like the guys at the top of the class would have the opportunity and highest pay any day. However, as you have seen, that is not the case.
The people who earn the most are not always those who came top in the class, rather its those who are able to create action that produces results. Brains (specialised knowledge) don’t determine payslips or invoice figures unless they are coupled with intelligent action. Specialised knowledge + Action = Value. A doctor doesn’t get paid because he/she knows the different diseases and their cure, rather it’s in their consultation and diagnosis with a patient —> Action<— that they earn their fees. Skills mean nothing unless they are put into action.
Like me you have probably at some point examined your life and asked, “why do I know so much, yet I am paid so little”? The truth is, you need to do more with what I know. Here are some tips I have personally used to increase my worth per minute by taking Action. Here are the top 3
Volunteer for BIG tasksin your strength zone – By taking opportunities to tackle visible tasks, you are;
Showcasing your skills to your boss or client who may be compelled to work with you, for a fee, on the next assignment. The main thing is this, you MUST be good at what you do!! Don’t volunteer for the world cup finals only to fail the team.
Developing the confidence in you to do the task in another place for a fee. I started training big companies by offering my sessions for free. Before long I had the confidence to do the job and they were signing my contact to train their staff, for a handsome fee.
Which task are you going to volunteer on this week?
Ask for More – The biggest mistake most of us make is failing to ask for more. We underquote, we misprice our value. We get less. This requires a delicate balance of understanding the contexts in relation to your skills and value you bring. Paul Martinelli, President of the John Maxwell team taught me to always think of how much I want to charge for my services and then to double (x2) that figure. That was scary at first but with time, I learnt that I was often paid what I asked for. This also meant that I gave more value to the client meaning they had to call me again and refer me to other big clients. The key here is that your value MUST exceed your price. Don’t just over price because you think you should. Reflect on how much more you can ask on the next assignment
Focus on the top 20% -Apply the Pareto Principle on anything you do. Your top 2 skills, gifts or abilities will give you 80% of the ROI on time and energy invested on a task. For business people, it means spending your best time and energy to serve the top 20% as they will provide 80% of your income. This is a strategic way of increasing what you earn from what you know. My mentor calls this going where you are appreciated and not where you are tolerated. Spending time with the bottom 80% only yields 20% return on your time and energy invested. Who are your top 20% clients? What are your top 20% abilities?
You will not be paid for what you know, rather its what you do with what you know.
Have you increased what you are paid in the last three months? What have you done to increase it? If No, what will you do differently?