20% of Employees Take Home 80% of the Salary

“In any series of elements to be controlled, a selected small fraction, in terms of numbers of elements, always accounts for a large fraction in terms of effect.” Vilfredo Pareto

The 80/20 rule is one of the most helpful concepts for life, earning and time management. Also known as the Pareto Principle, this rule suggests that 20 percent of your activities will account for 80 percent of your results. And in every organization, only 20% of the people working in it perform the 20% activities that create 80% income. The remaining 80% only produce 20% of the income.

Consequently, the 20% who create 80% of the income also goes home with 80% of the income, while the other 80% go home with the 20% of the income. This being the case, you should change what you do if you want to change what you are earning. If you do what 80% of the people are doing, you will join them to share 20% of the wages.

If you want to join the 20%, you will need to find out what they do. The focus all their effort on doing the few activities that produce the greatest results. The do what I call the few maximum wage activities rather than the many minimum wage activities. As Stephen C. Hogan puts it, ”You can't have a million-dollar dream with a minimum-wage work ethic.”

It is not about how hard you work but how smart. What are the essentials that determine the results in the place you work? Delegate all other tasks that are minimum wage producing and focus on what will bring the most value to your employer.

Even if everyone starts at the same level earning the same income, in no time some people will do what is important while others will do what is obligatory. What is important to produce the best results while what is obligatory, produces normal results that are expected. There the gap begins to widen in what they earn.

What you focus on doing is more important than who you are working for or how much you are earning. Most people will disagree with this. If what you do determines the result you produce and what you earn, then it shows that anywhere you are, if you can do what will produce the greatest results, you will earn the greatest income.

CEOs who are paid millions of dollars in compensation are no different humans from cleaners who work in the same company and are paid by the hour. The difference is the activities they engage in and how important it is to the owners of the business and its bottom line. If the cleaner can perform in such a way as to produce billions of dollars for the company, won’t he be paid millions of dollars in compensation? He will be.

How to be Part of the 20%

Find Out The Key Activities That Produce Value

To be part of the 20% who share 80% of the income, find out what activities produce the greatest value for your employer. It’s easy to find out. Just get to know what is important to your employer. You don’t have to assume what it is.

You either need to observe your employer or ask her to know what is really important to her and not just what is expected of you. Most times what is expected of you may not be what is important to her. It is your responsibility to find out what it is the activities that produce the most important value for your employer.

Highest-Value Use You Put Your Time To

The people who share 80% of the wages spend their time working and doing so productively. They don’t waste their time as the 80% do on chit chats and things that are not relevant to the results they want to produce for their employer.

They ensure that what they are doing is what they love doing which make use of their creativity. 20% of the things done in an organization produce the highest values. So the spent their time on things that produce high-value instead of produce low-values. That's why they earn a high income.

Give It All It Takes

Once they have found out the things they need to do, they allocate 80% of their time to those 20% activities that will produce 80% of the income in the organization.

These activities consume their thoughts and take up their mind. They are totally concentrated on performing the tasks because the destiny of their employer depends on it. They understand that they are not in the workplace to have their needs met but to meet the needs of their employer.

But as they help their employer with her needs, their needs also get met. You will only make significant progress in your income if you give your whole self to the highest value-creating activities.

Dimeji is the President/CEO of 1st Millionaire Maker Nig LTd, www.1stmillionairemaker.com.