The Law Of Compensation

Many people have trouble asking for money for their services. They are either too eager to work for much less than they are worth, or they are even willing to work for free.

Then there are others who have an inflated self-worth and demand more for their services than the value they actually deliver.

Some people are always looking to get something for nothing or hoping to find a “get rich quick” scheme, and we all know that there is no such thing.

Others are keen to pay the asking price, because they are embarrassed to “haggle”, even though it might be the local custom in certain countries.

All of these are examples of behaviours that are out of balance.

The Law of Compensation, one of the 12 Universal Laws, states that we are compensated in direct proportion to our deeds. In alchemy, the First Law of Equivalent Exchange states that Humankind cannot gain anything without first giving something in return. To obtain, something of equal value must be lost.

If you love your work and do what you are passionate about, this will be evident in the goods or services you provide. You should not be afraid to ask a price that reflects what your goods or services are worth. Clients and customers will be happy to pay!

I coach many entrepreneurs who are starting up their own businesses and one of the most common questions is “How much should I charge for my services?” Goods are easier to price than services, because you can actually calculate the cost to produce them and add a margin on top of that. You must also consider your strategy, i.e. to grow your business, break into a new market, gain market share, increase profitability, etc. There are numerous pricing models for various industries that can help you in this process.

But how do you put a value on the services that you provide? In many cases, you are putting a price on your time. And price often communicates value to the client, so your price will indicate whether you are positioning yourself at the discount or luxury end of the market for your service. In particular, for a service, your reputation is also a key factor. The better your reputation in the market, the more you will be able to charge.

However, of equal importance to your external reputation, are your internal beliefs regarding your self-worth. What happens if you truly believe that you have the innate wisdom to deliver the highest quality service to your clients at all times? If you are passionate about your work and you put your mind, body and spirit into it 110%, you will be able to charge accordingly for your services.

You don’t have to be afraid of getting it wrong. If you are not delivering value equal to what you are charging, your business will not flourish. In this case, you will need to lower your prices or step up your contribution in order to restore the balance.

Many of us believe that it is altruistic to provide services for free, but this creates an awkward imbalance. The recipient might not gain the full benefit from your service or take it as seriously as he or she might if they were paying for it. The service provider may feel resentful at having to work for nothing. In either case, the relationship is strained with neither side reaping the full benefit of a balanced transaction.

What we give and what we receive will always be congruent. You should feel no shame about being wealthy or earning a lot of money, because you will be providing something to the market of equal value.

The secret then to attracting wealth, is to give! And rather than asking how you can make X amount of $’s or £’s, the better question is, “How can I create X amount of value for other people?”

Mary Beth Hazeldine is the founder of Financial Charisma Ltd.
Website: http://www.financial-charisma.com
©2011

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