Time Banking: A Community-Based Economic Model

Time banking is a community-based economic model that allows people to exchange time and skills rather than money. This model was first introduced in 1980 by Edgar Cahn, an American lawyer and social activist.

In a time bank, members earn time credits by providing services to others, which can then be redeemed for services they need. For example, a member might earn time credits by helping a neighbor with yard work, and then use those credits to get help with household repairs.

The time bank model is based on the idea that everyone has something valuable to offer, regardless of their income or social status. By focusing on time and skills rather than money, time banks can help build stronger, more resilient communities.

Time banks can be organized around specific themes, such as environmental sustainability or youth development, or they can be more general, focusing on community building and social connection.

Time banking is a system where individuals exchange time and skills rather than money. It's based on the idea that everyone has something valuable to offer, regardless of their financial situation.

Members of a time bank earn and spend time credits, which represent one hour of their time. This system allows people to access services and skills they need without paying cash.

Time banking is not a bartering system, where people exchange goods or services directly. Instead, it's a way to trade time and skills in a more equitable and inclusive way.

Timebanking is a system where people exchange services without using money, instead using units of time as currency. This system is known as a complementary monetary system.

The unit of currency used in timebanking is called a time credit, which is valued at an hour's worth of any person's labor. In the US and the UK, this unit is known as a time credit, while in the past it was known as a time dollar.

Timebanking can be used to provide incentives and rewards for work that is usually done on a volunteer basis, such as mentoring children or caring for the elderly. By earning time credits, individuals can receive services they might otherwise pay for.

There are now 26 countries with active TimeBanks, with over 526 TimeBanks active in the US and the UK combined.

Timebanks are a global phenomenon, with over 500 established in the US and 300 in the UK, and a presence in 34 countries worldwide.

They've been used in a variety of settings, including public housing complexes, where they've delivered health care, job training, and social services.

In a traditional timebank, one hour of one person's time is equal to one hour of another's, making it a truly equal exchange.

Time credits, the fundamental unit of exchange in a timebank, are earned by providing services and spent receiving services, and can be saved indefinitely.

However, since the value of a time credit is fixed at one hour, it resists inflation and doesn't earn interest, making it a unique and intentional alternative to traditional currency.

Timebanks also encourage the donation of excess time credits to a community pool, which is then spent on community events or for those in need.

The Bank is the heart of timebanking, where members earn and spend time credits. A timebank can be as simple as a pad of paper, but most use computer databases for record keeping.

Time credits are the fundamental unit of exchange in a timebank, equal to one hour of a person's labor. The value of a time credit is fixed at one hour, making it resistant to inflation.

Members earn time credits for providing services to other members, such as child care, language lessons, or home repair. Time credits can be saved indefinitely, but it's encouraged to spend them or donate excess credits to a community pool.

Some timebanks employ a paid coordinator to keep track of transactions and match requests with those who can provide services. Others select a member or group of members to handle these tasks.

Here are some examples of services offered by timebank members:

The services offered by a timebank depend on the mission and goals of the community. Some timebanks focus on strengthening the community as a whole, while others prioritize social service and helping underprivileged groups.

Time banking has its share of criticisms and challenges. One of the main concerns is that the time credit system can lead to market distortions, as Frank Fisher of MIT predicted in the 1980s.

Some people struggle to understand the difference between time banking and traditional volunteering, making it hard to communicate the benefits of time banking. Dr. Gill Seyfang's study of the Gorbals TimeBank found that this can be a significant obstacle.

A lack of skills in certain areas can also make it difficult for time banks to meet everyone's needs. This is a non-theoretical problem that has been observed in real-world time banks.

Time banks with high overhead costs can be unsustainable in the long term, especially if they rely on a staff to keep the organization running. This can be a significant challenge for smaller organizations.

Criticisms of timebanking have been raised by experts and researchers. Frank Fisher of MIT predicted in the 1980s that time credits would lead to market distortions similar to those that crippled Russia's economy.

Some people struggle to understand what makes timebanking different from traditional volunteering. Dr. Gill Seyfang's study of the Gorbals TimeBank found that communicating the unique aspects of timebanking can be a challenge.

A lack of certain skills in a community can make it difficult to guarantee that everyone's needs will be met through timebanking. This is a concern that has been raised by experts.

Organizational sustainability is another area of concern for timebanking. While some member-run TimeBanks exist with relatively low overhead costs, others may struggle to stay afloat without a long-term source of funding.

The following issues have been identified as problems with timebanking:

Covid-19 brought a new sense of urgency to time banking, allowing individuals to stay safe while feeling connected.

Many states were in lockdown, and time bank members responded by offering virtual tutoring for children and adults, providing peer counseling support and emotional guidance, and delivering groceries for vulnerable neighbors.

Members of the Pennsylvania-based Neighbor to Neighbor time bank mobilized to produce thousands of cloth masks, which were delivered to soup kitchen staff, programs providing medical transportation, and unhoused populations.

The masks were made possible by a network of caring community members who came together for a common goal, with no concern for where the time was coming from or who it was going to.

Time banking software, email, and phone were used to facilitate the asking and receiving of services, allowing the community to meet a pressing need.

Time banking has taken a global leap with the launch of the first global Timebank by TimeRepublik in 2013. This innovation has eliminated geographical limitations of previous timebanks.

The Community Exchange System (CES) is a global network that connects communities using alternative exchange systems, many of which use timebanks.

Timebanks can now trade with each other and with mutual credit exchanges, wherever they are in the world.

In the 21st century, timebanking has evolved to address social problems and rebuild community. According to Edgar S. Cahn, timebanking had its roots in a time when "money for social programs [had] dried up" and no dominant approach to social service in the U.S. was coming up with creative ways to solve the problem.

The concept of timebanking is based on an asset-based approach, which focuses on the contributions towards their communities that everyone can make. This approach is in contrast to a deficit-based approach, where organizations view the people they are trying to help only in terms of their needs.

Timebanking is founded upon five principles, known as TimeBanking's Core Values, which include everyone being an asset, some work being beyond a monetary price, reciprocity in helping, community being necessary, and a respect for all human beings.

These values are at the heart of timebanking's mission to rebuild community and strengthen families. Ideally, timebanking builds community, as seen in a timebank in the Gorbals neighbourhood of Glasgow, where members refer to it as a return to simpler times when the community was there for its individuals.

In 2017, Nimses offered a concept of a time-based currency called Nim, where 1 nim = 1 minute of life. This concept was first adopted in Eastern Europe and is based on the idea of universal basic income.

Timebanks have been established in 34 countries, with a significant presence in many parts of the world.

In the United States, there are at least 500 timebanks established in 40 states, making it a popular alternative exchange system.

A fresh viewpoint: History of American Banking

The Community Exchange System (CES) is a global network of communities using alternative exchange systems, many of which use timebanks, allowing them to trade with each other wherever they are.

Timebanks in Japan, South Korea, New Zealand, and Taiwan are also notable examples of this system's global reach.

TimeBanks have been used in a variety of settings, including public housing complexes, where they deliver health care, job training, and social services.

In Senegal, TimeBanks have been used to foster women's rights initiatives, demonstrating the system's potential for social change.

TimeRepublik, a pioneer in global timebanking, has been promoting Time Banking within local governments, municipalities, universities, and large companies since 2015.

Their efforts have paid off, as TimeRepublik won the first prize at the BAI Global Innovation Awards in the Innovation and Human Capital category in 2017.

Weaving community is a beautiful thing, and time banking is a powerful way to do it. It's about building relationships and connections with people in your community, and it's not just about giving and receiving time.

In a time bank, people come together to exchange skills and services, creating a network of support and trust. For example, a time bank in New York had 90% of its participants say they gained new friendships, and 71% reported contacting their new friends at least once a week.

Time banking can be especially helpful for people who are isolated or struggling to access resources. In one time bank, 42% of participants reported seeing their friends two or more times a week, which is a big deal for people who might otherwise be alone.

The benefits of time banking are numerous, but one of the most important is that it can help people stay in their homes and live independently for longer. On average, time bank participants can live independently for three years longer than those who are isolated.

Here are some ways time banking can weave community:

Time banking is not just about giving and receiving time; it's about building relationships and connections with people in your community. By participating in a time bank, you can become a good "neighbor" and find good "neighbors" in return.

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