(A.K.A. How Munger Outsmarted All of Us)
Charlie Munger didn’t believe in magic tricks.
He believed in thinking better.
Not faster. Not harder.
Better.
He once said: “The best thing a human being can do is to help another human being know more.”
Which is exactly what he did—quietly collecting mental models like tools in a shed.
While the rest of the world was chasing motivation and morning routines, Munger was building a framework for decision-making so sharp, it cut straight through the noise.
No productivity hacks. No Instagram quotes. Just timeless thinking tools.
Because when your brain works well, everything else gets easier.
Most people never take the time to learn how to think.They just react. Decide. Hope for the best.
But not you. Today, you’re about to sharpen your brain with 3 of Charlie’s favorite tools:
-
The 80/20 Rule: so you can stop wasting your life on things that don’t move the needle
-
The Sunk Cost Fallacy: so you don’t let your past trap your future
-
Parkinson’s Law: so you stop turning every task into a time-sucking black hole
Each of these can change how you work, decide, and live. Use them right, and you’ll start seeing the world the way Munger did—Clearer. Smarter. And with a lot less nonsense.
Let’s build your mental toolbox.
1. The 80/20 Rule
Stop doing 80% of the crap that doesn’t matter.
80% of your results come from 20% of your efforts.
You’ve heard this before. But are you actually living it?
Look at your calendar.
Look at your to-do list.
Now be brutally honest: What’s actually moving the needle?
Most of what you’re doing isn’t productive—it’s just “productive-looking.
”Busy is not the same as effective.
🧠 Use it like this:
-
Spend 80% of your energy on the 20% of work that brings the biggest results
-
Cut clients, tasks, or habits that drain your time but bring little return
-
Focus on one key thing each day that makes everything else easier—or irrelevant
📌 Pro tip: The 80/20 Rule doesn’t just apply to work.80% of your stress probably comes from 20% of your choices. Start trimming.
2. The Sunk Cost Fallacy
Just because you bought the ticket doesn’t mean you need to sit through the whole awful movie.
You invested time, money, energy into something.
And now it’s not working. But you keep going because… “I’ve come this far.”
That's not commitment.
That’s fear wearing productivity’s clothes.
The truth? If it’s not serving you anymore, it’s costing you.
🧠 Use it like this:
-
Ask: “Knowing what I know now, would I start this again?”
-
If the answer’s no, walk away.
-
Ignore the guilt—sunk costs are already gone. Your future isn’t.
📌 Real talk: Most people waste years chasing something they should’ve quit months ago. Don’t let your past trap your potential.
3. Parkinson’s Law
Give yourself all day, and it’ll take all day.
Work expands to fill the time you give it.
This is why you always finish that report 15 minutes before it’s due—regardless of when you started.
Want to work faster and smarter? Shrink your timelines.
🧠 Use it like this:
-
Set artificial deadlines for yourself
-
Use timers (Pomodoros, 90-min sprints, etc.)
-
Give your brain constraints—it thrives on them
📌 Reminder: You don’t need more time. You need tighter containers and fewer distractions.
The Bigger Picture
Charlie Munger didn’t just use mental models—he built a system of thinking that pulled from psychology, physics, biology, economics, and history.
He understood that no single field holds all the answers.
Which is why he collected models like a survivalist hoarding canned goods.
Munger’s mindset:
“To the man with only a hammer, every problem looks like a nail.”
Your job? Don’t be the hammer guy.
Build a toolbox—and learn when to use what.
Add These to Your Toolbox
If you want to keep upgrading your brain, start here:
-
🧠 Poor Charlie’s Almanack – Charlie in his own words (plus Buffett’s fanboying)
-
🧠 Super Thinking – A brilliant compilation of mental models
-
🧠 Thinking in Bets – Great for decision-making under uncertainty
-
🧠 The Great Mental Models by Shane Parrish – Tactical and visual
-
🧠 How to Avoid Stupid Decisions – Not a real book yet, but maybe you’ll write it after this
Final Thought
Mental models won’t make you a genius.
But they’ll make sure you stop making the same dumb decisions over and over.
That’s progress.
Charlie Munger didn’t rely on speed, charisma, or talent.
He relied on better thinking.
You can do the same.
And if you’re reading this, you’ve already started.
🧠 Use the models.
🔧 Build the toolbox.
🚫 Avoid the dumb stuff.
It’s not magic. It’s strategy.
Until next time,
Benoit