4 ways net profit margin equals happiness in life

June 3, 2021

5 minutes to read

Opinions expressed by Contractor the contributors are theirs.


When it comes to business, most would understand what is meant by net profit margin – the percentage of total sales that is the actual money you earn in your pocket. In other words, that percentage of sales is left after by subtracting the cost of goods sold, operating expenses and taxes.

In life, I maintain that the net profit margin equals the abundance of happiness that one feels, both regularly and with varying intensity. Total sales equals the abundance of pure joy and happiness that can be redeemed around you. The cost of goods sold equals the effort we put in, day in and day out. Operating expenses equal long-term effort and outlook on life. And taxes are equal to obligations, like cooking dinner, cleaning, doing laundry, straining relationships, and other tasks that are always required.

Some would say that the net profit margin, literally speaking, equates to happiness in life after equating more money with the actual happiness experienced. I would say, on the other hand, that the net profit margin equates to happiness in life after you grasp the variables of life – and see if, when and how the scales tip in your favor. What does it mean?

You don’t necessarily have to be making money to feel truly happy. If you have the ability to redeem the joy and happiness around you – and your efforts, vision, and obligations are aligned in your favor – then you will experience happiness consistently, steadily, and often blissfully.

Related: How to Create Multiple Streams of Happiness in Your Life

Here are four ways to capitalize on happiness via the above business analogy.

1. Recognize the abundance of joy and happiness around you

Often there is something to enjoy around us if we only focus our attention for a brief moment. In this pause, we can capture happiness through appreciation. To appreciate every little thing around us, we have to focus our attention repeatedly, but the end result is more joy and happiness (which can be analogous to an endless amount of total sales!). For example, try this: the next time you eat a meal, think about your appreciation for a hand and its fingers and their ability to allow you to eat with a spoon or fork. Or try this: the next time you’re in the shower, think about your appreciation for the clean, warm (or, for some, cold!) Water you wash with. Pausing and focusing on what we can be grateful for brings happy moments that, as they add up, bring abundant joy and happiness to life.

2. Find a way to work smart, but hard, and in your favor.

If the cost of goods sold is equal to the effort put in day by day, then one would logically want to minimize that effort. That’s what I mean by working smart. At the same time, a better quality of the products sold should be comparable to a greater effort. Therefore, working hard to achieve high quality is also a must. The bottom line is, your daily efforts should work in your favor. Whether it’s creating a product, service, brand, or even none of the above (maybe you’re a stay-at-home parent) – this variable could mean securing the value of a future brand as large as Microsoft, or it could mean securing value in the future well-being and happiness of your children.

Related: Are the Citizens of Which Country Considered the Happiest in the World?

3. Use effort and long-term vision to your advantage

When the operating expenses are really high, it means that you haven’t quite defined your vision for your life yet, and your long-term efforts seem to be much more important than those of others around you. Why? There are many possible variables that could answer this question. For example, with self-reflection and experience, many young adults grow into their futures. It may take time to align your operating costs and capitalize on happiness. Once you are ready, use your vision to reduce your “operating expenses” by setting and achieving mini and macro goals. For example, once you realize that you want to be a race car driver and that you want a happy and fulfilled life, you will work towards the small goals necessary to achieve your larger goal.

4. Remember that bonds are a part of life.

Taxes or “obligations” in life are for almost everyone. Your dinner, housework, laundry, relationships, car maintenance, groceries, toothbrushing, and other obligations can’t be missing from the equation. They may not directly capitalize on the happiness you feel, but they are part of the equation. For example, if you don’t brush your teeth, you will experience loss of teeth or dentures, which will make eating less enjoyable. If you don’t keep your car in good repair, you won’t be able to go out beyond your neighborhood on your own, which will likely make other obligations difficult to meet. The point is that taxes or obligations are an important part of life and play an important role in the overall equation of happiness and life satisfaction.

The most important part of the equation, which you can always tip in your favor, is to recognize the abundance of joy and happiness around you. Reached out of gratitude or appreciation, your “total sales” can always increase! Remember this, along with the other variables in life, and your net profit margin will always be positive and equal to happiness in life.

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