$10,000 Hour Framework

A framework for valuing and prioritizing your time at an extremely high rate ($10,000/hour) to make better decisions about what tasks to take on. Based on Dharmesh Shah's (HubSpot CTO) approach.

Core Philosophy

• Value your time at an extremely high rate ($10,000/hour) to force ruthless prioritization
• Use this framework to decide what tasks to delegate, ignore, or handle personally
• Focus on high-leverage activities that create disproportionate value

Decision Making Framework

• If a task costs less than your hourly rate to delegate, don't do it personally
• Even small tasks like chasing refunds become economically irrational
• Consider both direct and indirect costs (mental energy, follow-up time)
• Example: Won't chase a $2,000 plane ticket refund because the time cost exceeds the benefit

Delegation Philosophy

• Don't delegate tasks just to avoid work - must be economically rational
• Consider the full cost of delegation including:
  • Time spent explaining the task
  • Follow-up and management overhead
  • Quality control and corrections
• Only delegate if the all-in cost is less than your hourly rate

Investment Application

• Applied to angel investing decisions:
  • Makes investment decisions within 24 hours
  • Rarely meets founders in person
  • 80-90% of investments made without founder interaction
  • Values speed over extensive due diligence
• Rationale: Time spent on due diligence often exceeds potential return

Key Principles

• Time is the most valuable non-renewable resource
• Focus on highest leverage activities
• Avoid getting caught up in low-value tasks
• Be willing to let small losses go to preserve time
• Consider opportunity cost in all decisions

Implementation Tips

• Set a high hourly rate for yourself to force better decisions
• Create clear criteria for what tasks meet your threshold
• Build systems to handle lower-value tasks
• Be comfortable saying no to time-consuming requests
• Focus on scale and leverage over small optimizations