I came across the 80/20 rule about 4 years ago when I was trying to master time management and how to become more organised. I felt that time was running through my hands and could not get a hold of it, while it was slipping away. So what we should do when we feel overwhelmed? Stop focusing on the problem and try to find a solution right?!

This rule is also known as the Pareto Principle which states that 80% of outcomes results from 20% of all causes for any given event.

For example, if 80% of the company's revenue comes from just 20% of their's customers than the next strategy would be focusing on that 20% mainly.

It is such a simple concept that can be understood by all of us and incredibly powerful if used correctly. It opens the new door of possibilities and also understanding what needs to be done to achieve your core goals and targets. Slowly I found out that the 80/20 rule applies to many life events of mine (finance, work, personal life...).

As an example, February was a great month with fantastic results for me. I have accomplished 250% of my KPI's with literally 20% of my work time!!! How I did it? Assuming that I work daily for only 8 hours, my phone average daily stats is only 90 minutes. That means 20% of my work time that I am on the phone generated the whole income and commission. The rest of the day is just admin stuff which does not affect my pay.

The second example would be my clothes. I don't know about you guys, but even though my wardrobe is quite big in general. However, I honestly use my favourite 20% of it for 80% of my time going out!!! And I believe you are in the same position too;)

HOW YOU CAN USE IT?

We have simplified the rule to a more understanding spectrum that is applicable to our daily life. It is not an absolute rule but something you should have in mind definitely as guidance.

So how can you apply Pareto's principle to gain more time in your life and benefit from that knowledge?

First of all, you need to identify your best assets/tasks and use them efficiently to create maximum value. If you are using a to-do list, 2 out of 10 tasks will be in general more important that 8 other tasks put together.

However many of us are afraid of the challenge to do the opposite. Focusing mainly on 80% of tasks that are less important and only taking 20% of the outcome. Haven't we all asked ourselves on many occasions where my time did go? It seemed busy, but nothing has been accomplished. There you have an answer to it now.

This graph should make it clear now where your focus should be. And this rule can apply not only to time management. It will also clarify which tasks you should focus on first.

Usually, I prepare my day plan the day before. It acts as my memory bin where I can put everything on paper and not stress about it what I have forgotten. I usually use "Microsoft To Do" which is super simple, but I am sure there are plenty out there that would work for you!

After gathering 5-12 tasks for the next day I categorize them into most important and the rest. No need to do anything fancy. As you guessed, the most important ones fall under the vital tasks that will take 20% of your time but will bear 80% of the outcome. Try it for a couple of days/weeks/months and thank me later!

Once the habit is mastered, you can make different variations (more complex ones) by dividing the tasks into 3-5 different categories, putting those tasks in the time frame and many more. The least important tasks you will try usually to outsource if possible. We will discuss that in details for sure if you would like to explore in-depth time management techniques.

SUMMARY

80/20 Rule is a concept that will help you gain control of your life in my humble opinion. 80% of the outcomes will come from 20% of the input. Understanding which task will help you move towards your actual goals will help you manage your time, be more efficient and find your day more satisfactory.

Since I have applied the 80/20 Rule I realized how many tasks I am doing on a daily or weekly basis can be easily outsourced. The rarest resource that we all have is time. Hence you see nowadays tools and machines that help us either speed up the tasks or save time.

Being aware of which tasks devour your day and doesn't significantly help you get closer to the goal will open your eyes and encourage your brain to find a solution. After implementing this rule into your life, I assure you that you will see your life differently. Whether you apply this rule to your business, daily life, money management it should all work well.

Let us all know how it worked for you down below!