1. Einstein said, ‘Compounding is the eighth wonder of the world.’
2. You’ve been bamboozled
for too long. There is no magic bullet, secret formula, or quick fix.
3. Earning success is
hard. The process is laborious, tedious, sometimes even boring.
Becoming wealthy, influential, and world-class in your field is
slow and arduous.
4. I’ll win
because of the positive habits I’ve developed, and because of
the consistency I use in applying those habits. I’m the world’s
biggest believer in consistency. I’m living proof that it’s the
ultimate key to success, yet it’s one of the biggest pitfalls
for people struggling to achieve.
5. One of Dad’s core philosophies was, “It doesn’t matter how
smart you are or aren’t, you need to make up in hard work what
you lack in experience, skill, intelligence, or innate ability. If your
competitor is smarter, more talented, or experienced, you just
need to work three or four times as hard. You can still beat them!”
6. Small, seemingly
insignificant steps completed consistently over time will create a
radical difference. Let me give you a few detailed examples.
7. Small, Smart Choices + Consistency + Time = RADICAL DIFFERENCE
8. By the end of this book, or even before, I want you to know in
your bones that your only path to success is through a continuum
of mundane, unsexy, unexciting, and sometimes difficult daily
disciplines compounded over time.
9. You alone are responsible for what you do, don’t do, or how
you respond to what’s done to you. This empowering mindset
revolutionized my life. Luck, circumstances, or the right situation
wasn’t what mattered. If it was to be, it was up to me.
10. The (Complete) Formula for Getting Lucky:
Preparation (personal growth) +
Attitude (belief/mindset) +
Opportunity (a good thing coming your way) +
Action (doing something about it) =
11. My mentor Jim Rohn said, “The
day you graduate from childhood to adulthood is the day you
take full responsibility for your life.”
12. To help you become aware of your choices, I want you to track
every action that relates to the area of your life you want to improve.
13. Simply carry
around a small notebook, something you’ll keep in your pocket or
purse at all times, and a writing instrument. You’re going to write it
all down. Every day. Without fail. No excuses, no exceptions.
14. But tracking my progress and missteps is the
one of the reasons I’ve accumulated the success I have. The process
forces you to be conscious of your decisions.
15. This is where I’m going to become a hard-ass and
insist you track your behaviors for at least one whole week. This
book isn’t designed to entertain you; it is designed to help you
get results. To get results, you have to take some action.
16. All winners are trackers. Right now I want you to track your life
with the same intention: to bring your goals within sight.
17. Once you begin
reaping the rewards of the Compound Effect, you’ll naturally
want to introduce this practice into other areas of your life. In
other words, you’ll choose to choose tracking.
18. Psychological studies reveal that 95 percent of everything we
feel, think, do, and achieve is a result of a learned habit!
choices are only meaningful when you connect them to your
desires and dreams. The wisest and most motivating choices
are the ones aligned with that which you identify as your
purpose, your core self, and your highest values. You’ve got
to want something, and know why you want it, or you’ll end
up giving up too easily.
20. The access point to your why-power is through your core
values, which define both who you are and what you stand
for. Your core values are your internal compass, your guiding
beacon, your personal GPS.
21. Getting your core values defined and properly calibrated is one
of the most important steps in redirecting your life toward your
22. When your actions conflict with
your values, you’ll end up unhappy, frustrated, and despondent.
In fact, psychologists tell us that nothing creates more stress
than when our actions and behaviors aren’t congruent with
23. People are either motivated by something they want or
something they don’t want. Love is a powerfully motivating
force. But so is hate. Contrary to social correctness, it can be
good to hate. Hate disease, hate injustice, hate ignorance, hate
complacency, and so on. Sometimes identifying an enemy
lights your fire.
24. In one of my interviews with Brian Tracy, he put it this way:
“Top people have very clear goals. They know who they are
and they know what they want. They write it down and they
make plans for its accomplishment. Unsuccessful people carry
their goals around in their head like marbles rattling around in a
can, and we say a goal that is not in writing is merely a fantasy.
And everybody has fantasies, but those fantasies are like bullets
with no powder in the cartridge. People go through life shooting
blanks without written goals—and that’s the starting point.”
25. Okay, now it’s your turn. Get out your little notebook and write
out your top three goals. Now make a list of the bad habits that might
be sabotaging your progress in each area. Write down every one. I suggest that you take some time today to make a list of your
most important goals.
26. One thing Jim Rohn taught me is: “If you want to have more,
you have to become more. Success is not something you pursue. What
you pursue will elude you; it can be like trying to chase butterflies.
Success is something you attract by the person you become.”
27. Habits and behaviors never lie. If there’s a discrepancy between
what you say and what you do, I’m going to believe what you do
every time. If you tell me you want to be healthy, but you’ve got
Doritos dust on your fingers, I’m believing the Doritos. If you say
self-improvement is a priority, but you spend more time with your
Xbox than at the library, I’m believing the Xbox. If you say you’re
a dedicated professional, but you show up late and unprepared,
your behavior rats you out every time.
28.Next, add to that list all the habits you need to adopt that,
practiced and compounded over time, will result in you
gloriously achieving your goals.
29. Triggers - Look at your list of bad habits. For each one you’ve written
down, identify what triggers it. Figure out what I call “The Big
4’s”—the “who,” the “what,” the “where,” and the “when”
underlying each bad behavior.
30. For example:
• Are you more likely to drink too much when you’re with
• Is there a particular time of day when you just have to have
• What emotions tend to provoke your worst habits—stress,
fatigue, anger, nervousness, boredom?
• When do you experience those emotions? Who are you
with, where are you, or what are you doing?
31. Clean House - Get to scrubbin’. And I mean this literally and figuratively. If you
want to stop drinking alcohol, remove every drop of it from your
house (and your vacation house, if you have one). Get rid of the
glasses, any fancy utensils or doo-dads you use when you drink,
and those decorative olives, too.
32. Look again at your list of bad habits. How can you alter
them so that they’re not as harmful? Can you replace them
with healthier habits or drop-kick them altogether? As in,
33. For some of your
long-standing and deep-rooted habits, it may be more effective
to take small steps to ease into unwinding them. You may have
spent decades repeating, cementing, and fortifying those habits,
so it can be wise to give yourself some time to unravel them, one
step at a time.
34. Not everyone is wired the same way. Some researchers have
found that it can be paradoxically easier for people to make
lifestyle changes if they change a great many bad habits at once.
35. According to research, it takes three hundred instances of
positive reinforcement to turn a new habit into an unconscious
practice—that’s almost a year of daily practice!
36. The key is staying aware. If you really want to maintain a
good habit, make sure you pay attention to it at least once a day,
and you’re far more likely to succeed.
37. Any new habit has to work inside your life and lifestyle. If you join
a gym that’s thirty miles away, you won’t go. If you’re a night owl
but the gym closes at 6 p.m., it won’t work for you. Your gym must
be close and convenient, and fit into your schedule.
38. Instead of thinking what you can remove from your life, think instead of what you can add. The good will displace the bad.
40. Want to cement that new habit? Get Big Brother to watch
you. It’s never been easier with all the social media available. Tell your family. Tell your friends. Tell Facebook and Twitter.
Get the word out that there’s a new sheriff in town, and you’re
41. To up your chances
of success, get a success buddy, someone who’ll keep you
accountable as you cement your new habit while you return the favor. I, for example, have what I call a “Peak-Performance
42. There’s nothing like a friendly contest to whet your
competitive spirit and immerse yourself in a new habit with
43. All work and no play make Jack a dull boy, and it’s a recipe for
backsliding. There should be a time to celebrate, to enjoy some of
the fruits of your victories along the way. You can’t go through this
thing sacrificing yourself with no benefit.
44. For bigger milestones, book a massage
or have dinner at your favorite restaurant. And promise yourself a
nice big pot of gold when you reach the end of the rainbow.
45. The key to becoming world-class in your endeavors is to build
your performance around world-class routines. It can be diffi cult,
even futile, to predict or control what will show up in the middle
of your workday. But you can almost always control how your day
starts and ends. Essentially, have a morning and evening routine.
46. Everyone is affected by three kinds
of influences: input (what you feed your mind), associations
(the people with whom you spend time), and environment
47. Birds of a feather flock together. The people with whom you
habitually associate are called your “reference group.” According
to research by social psychologist Dr. David McClelland of
Harvard, your “reference group” determines as much as 95
percent of your success or failure in life.
48. The people
with whom we spend our time determine what conversations
dominate our attention, and to which attitudes and opinions we
are regularly exposed. Eventually, we start to eat what they eat,
talk like they talk, read what they read, think like they think,
watch what they watch, treat people how they treat them, even
dress like they dress.
49. Jim Rohn taught that we become the
combined average of the fi ve people we hang around the most.
50. If you haven’t already, jot down the names of those five people you
hang around the most. Also write down their main characteristics,
both positive and negative. It doesn’t matter who they are. It could
be your spouse, your brother, your neighbor, or your assistant. Now,
average them out. What’s their average health, and bank balance?
What’s their average relationship like? As you look at your results,
ask yourself, “Is this list okay for me? Is this where I want to go?”
51. Now that you’ve started to carefully consider with whom you
spend your time, let’s go a little deeper. As Jim Rohn taught me, it’s
powerful to evaluate and shift your associations into three categories:
dissociations, limited associations, and expanded associations.
52. Association Evaluation Sheet : The Compound Effect - Worksheets | Darren Hardy (envisionsuccessinc.com)
53. What’s exciting about that is, no matter
where you are in your life—maybe busy at home with small
children or caretaking aging parents, working long hours with
people with whom you have little in common, or living out in
the country far from the nearest offi ce building—you, too, can
have almost any mentor you want, if he or she has gathered
their best thoughts, stories, and ideas into books, CDs, DVDs,
and podcasts. You have an unlimited bounty from which to
draw. Take advantage of it.
54. You’re never too good for a mentor.
have always found it interesting that the most successful people,
the truly top performers, are the ones willing to hire and pay for
the best coaches and trainers there are. It pays to invest in your
56. “The first thing you want to remember
with a mentor is that it doesn’t need to take a lot of their time.
The best advice I’ve ever gotten is in short clips, having lunch
or breakfast with somebody, just telling them what I’m working
on and asking their advice and all. You will be amazed how
successful businesspeople are willing to be mentors to people
when it’s not taking a lot of time.”
57. Remember the adage: “Never ask advice
of someone with whom you wouldn’t want to trade places.”
58. Additionally, when you’re creating an environment to support
your goals, remember that you get in life what you tolerate. This is true in every area of your life—particularly within your
relationships with family, friends, and colleagues. What you
have decided to tolerate is also reflected in the situations and
circumstances of your life right now.
59. Put another way, you will get
in life what you accept and expect you are worthy of.
60. If you tolerate disrespect, you will be disrespected. If you
tolerate people being late and making you wait, people will
show up late for you. If you tolerate being underpaid and
overworked, that will continue for you. If you tolerate your body
being overweight, tired, and perpetually sick, it will be.
61. “Don’t wish it were easier; wish you were better.”
62. When you hit the wall in your disciplines, routines, rhythms,
and consistency, realize that’s when you are separating yourself
from your old self, scaling that wall, and finding your new
powerful, triumphant, and victorious self.
63. Take the magic penny we talked about in Chapter 1, the
one that doubles in value each day, showing you the result of
small compounded actions. If you just doubled that penny one
extra time per week during those same thirty-one days, the
compounded penny would result in $171 million instead of $10
million. Again, just extra effort in four days and the result was
many times greater. That is how the math of doing just a little bit
more than expected works.
64. If you have a cause or ideal worthy of attention, do what
it takes, even the unexpected, to make your case heard. Add a
little audacity to your repertoire.