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0.1% Better Theory
This isn’t a new idea but is something I frequently mull over. It is based on compounding numbers which is most often used in finance when describing an investment earning a return over time. I am not the first person to do this but I like to take these concepts and translate them to a system for personal growth. consistently doing small things that add up substantially over time. Compounding.
The idea on face value is to strive to be 0.1% better everyday.
Now this concept is more of a mental framework than a measurable equation but the numbers still work nonetheless.
The idea is to do at least one small thing every single day to improve yourself, your business or your life. This could be as small as 30 minutes of exercise, 15 minutes of reading, or simply making your bed in the morning to get you in the right frame of mind. The focus is on small, positive habits done over long periods of time.
This is not a get rich quick or lose 50 lbs in a month scheme, it is a framework for a lifetime of positive habits and positive feedback loops.
The Results of 0.1% Improvement
Today you are a whole of “1”
You consistently do you positive habits and improve by the not readily noticeable amount of 0.1% daily
After the first month that makes you 3% better
Probably not noticeable by you or those around you BUT the compounding machine is in place.
Math for 1 Month of 0.1% Improvement:
Future You = 1(1+(Rate of Improvement/365)^(365 * Number of Days of Improvement)
Future You = 1(1+(0.001/365))^(365 * 30)
Future You = 1.0000027397^10,950
Future You In One Month= 1.03
Moving On
After the first year you are now 1.44 the person you were this time last year.
This is when the results begin to be felt by you and those around you. You are becoming a force.
The effects of compounding are now working in your favor as you are now earning returns on your “1.44” worth as opposed to your initial “1”. You are now 44% more capable, smart or confident than you were a year ago. And the best part is the compounding machine is still working in your favor. The only caveat is you now need to work harder to ensure 0.1% growth daily. It takes a whole lot more for Jeff Bezos to improve 0.1% than it does for an average college student.
Onto year 2
You are now 2.07 times more than you once were. This means you have the potential to be earning 2x more, creating 2x more impact, or simply being 2x more confident in your own skin.
5 years you’re 6.2 times better
10 years 38.4 times better
Again, this is a mental model but I really feel that the logic of the mindset stands and being able to visualize growth with numbers is something I find extremely valuable. At this point it is probably more feasible to scale down to a focus on 0.05% or 0.01% daily improvement if you still need this mental model at that point. Eventually you will get into numbers that support the creation of enormous value. You are now generating in one day what previously would have taken you 38 days. Then it simply becomes infeasible to make the daily increase, this is when you focus on delegation and productivity of a team. First make yourself insanely valuable then you build a team that is both increasing their individual values as well as increasing yours while reaching a common goal of generating the largest net effect.
The overarching point is those extra hours spent on mindless, often un-enjoyable activities are the difference between being extraordinary in 10 years or being just another “1”
If you're a more visual learner I made a video explaining these concepts and show the math in action on this video: https://www.youtube.com/watch?v=LwEMQ0ZgToQ
I also have many other personal/business challenge videos through that link as well!
This isn’t a new idea but is something I frequently mull over. It is based on compounding numbers which is most often used in finance when describing an investment earning a return over time. I am not the first person to do this but I like to take these concepts and translate them to a system for personal growth. consistently doing small things that add up substantially over time. Compounding.
The idea on face value is to strive to be 0.1% better everyday.
Now this concept is more of a mental framework than a measurable equation but the numbers still work nonetheless.
The idea is to do at least one small thing every single day to improve yourself, your business or your life. This could be as small as 30 minutes of exercise, 15 minutes of reading, or simply making your bed in the morning to get you in the right frame of mind. The focus is on small, positive habits done over long periods of time.
This is not a get rich quick or lose 50 lbs in a month scheme, it is a framework for a lifetime of positive habits and positive feedback loops.
The Results of 0.1% Improvement
Today you are a whole of “1”
You consistently do you positive habits and improve by the not readily noticeable amount of 0.1% daily
After the first month that makes you 3% better
Probably not noticeable by you or those around you BUT the compounding machine is in place.
Math for 1 Month of 0.1% Improvement:
Future You = 1(1+(Rate of Improvement/365)^(365 * Number of Days of Improvement)
Future You = 1(1+(0.001/365))^(365 * 30)
Future You = 1.0000027397^10,950
Future You In One Month= 1.03
Moving On
After the first year you are now 1.44 the person you were this time last year.
This is when the results begin to be felt by you and those around you. You are becoming a force.
The effects of compounding are now working in your favor as you are now earning returns on your “1.44” worth as opposed to your initial “1”. You are now 44% more capable, smart or confident than you were a year ago. And the best part is the compounding machine is still working in your favor. The only caveat is you now need to work harder to ensure 0.1% growth daily. It takes a whole lot more for Jeff Bezos to improve 0.1% than it does for an average college student.
Onto year 2
You are now 2.07 times more than you once were. This means you have the potential to be earning 2x more, creating 2x more impact, or simply being 2x more confident in your own skin.
5 years you’re 6.2 times better
10 years 38.4 times better
Again, this is a mental model but I really feel that the logic of the mindset stands and being able to visualize growth with numbers is something I find extremely valuable. At this point it is probably more feasible to scale down to a focus on 0.05% or 0.01% daily improvement if you still need this mental model at that point. Eventually you will get into numbers that support the creation of enormous value. You are now generating in one day what previously would have taken you 38 days. Then it simply becomes infeasible to make the daily increase, this is when you focus on delegation and productivity of a team. First make yourself insanely valuable then you build a team that is both increasing their individual values as well as increasing yours while reaching a common goal of generating the largest net effect.
The overarching point is those extra hours spent on mindless, often un-enjoyable activities are the difference between being extraordinary in 10 years or being just another “1”
If you're a more visual learner I made a video explaining these concepts and show the math in action on this video: https://www.youtube.com/watch?v=LwEMQ0ZgToQ
I also have many other personal/business challenge videos through that link as well!