Doing NPV calculations on time investments seems wrong. Should you spend $5000 now for 7 years of $1000/y cash flow, given a discount rate of 5%? Yep, $5786 NPV. Should you spend 100 idle hours on it? That’s $57.86/h discounted future income. But feels wrong to think that way.
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Also, you should model a scenario that you’ll kill a project *even* if it succeeds because you get bored, a better opp comes along etc. Best not to average this into 1 scenario. Q to ask is what would someone have to pay you to *quit* a long-term project at any point? Kill cost.
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A robust time investment is one that would have a very high kill cost under success. This is why if an activity doubles as leisure (so leisure opp cost is zero), it’s very hard to kill.
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