Step two:
The next thing that you need to do is to determine how many hours a week you are willing to work. If you are running a home business this is probably one of the most important things because it will determine how many hours you are open and what set hours you will work, the same thing almost holds true for a small business, but the difference is with a small business you can hire employees once you get things up and running.

Step three:
Once you have determined how much money you need to make each year and how many hours a week you are going to want to work you can figure out how much money you make per hour. This is really simple you take how much you need to make each week and then divide it by how much time you spend working each week, this will give you how much money you are making each hour.

Step four:
But something that you need to keep in mind is that not all of the time you spend at work is going to be money making time spent. What this means is you are still going to have to take care of certain things that don't contribute to your bottom line, most of the time these are administrative tasks that need to get done, but it can also include other stuff as well.

Step five:
Now that you now about the tasks that are not going to make you any money you need to think about what you are going to do, which you basically have two choices. Your first choice is that you can work more hours each week so that you can make up those hours spent not making any money or you can work smarter, which means making better decisions when it comes to working.

Step six:
Most people tend to choose the work smarter option rather than the work longer option. Some things that you can do to work smarter are not run errands on business time, not stopping what you are doing every few minutes to check email or attend to other things, etc. Basically you just need to think about the money you are losing by not focusing on your work if you make those types of decisions.

Step seven:
But something that you need to keep in mind is that even though you have this hourly rate figured out that doesn't always mean you are going to earn a set amount each week. What this means is that one week you can earn less but the next week you can earn more even though you are still working the same amount of hours. And the reason for this is that you are running your own business instead of being paid by somebody else.

Step eight:
But every once in awhile, at least once a month you should check your revenue generated against your expenditure of time to see how you are doing and if your time is still being valued around the same.