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Happy New Year! Many thanks for your interest and support in 2023. I don't take your attention for granted and want to optimize our time together. If you have a moment, please drop me a line to share what you like, ideas for essay topics to explore, or any suggestions to improve this newsletter.

Every two weeks, I share my writing about investing, career transitions, parenting, and other topics that engage me. I'm just trying to figure stuff out.

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Review Review

Every year, in early December, the pressure builds. Time seems to accelerate into the holidays as work demands yield to gatherings with friends and family.

If you're like me, you probably built a chunky list of to-do's for that "quiet" week between Christmas and New Year's. In theory, that time should be ideal for filing and shredding, yet that dusty pile of papers in my old-school inbox sits untouched.

After grinding for 51 weeks, we shouldn't be surprised if we slow down. Beneath the surface, our brain is performing a healthy form of self-sabotage. Subconsciously, we know the (insert your non-important and non-urgent task) doesn't have to get done. So, it probably doesn't get done.

For the most part, that's ok. If papers sit in my inbox for a few more months or years, it won't matter.

The problem is that more valuable activities, like annual reviews planned for that week, also get pushed out. This makes sense. An Annual Review seems like a great idea, and it is, but it can feel overwhelming when you're trying to relax.

If you haven't done an Annual Review, I suggest you try it. This exercise can be precious, and not for the reasons you think.

Sure, you'll generate some inspirational goals. And you'll also build confidence by adding clarity and intention to how you spend your time and energy.

Don't worry. This isn't something that has to be done by December 31st. I rarely finish before January. And that's ok.

Unlike what you read online, the Annual Review doesn't have to be complicated. Here's a snapshot of how my process has evolved over time.

The Early Days

Back in the 90s, my year-end reflection process reflected the self-awareness of my mid-20s self. I think it took 37 seconds.

I remember hopping into a cab to a New Year's Eve party. About halfway to my friend's apartment, I launched into my usual annual planning exercise. The motivation here was less introspection and more preparation for superficial party chatter.

Within seconds, I had my resolutions: exercise and read more consistently. Honestly, that was it. This was no masterclass in self-improvement.

Fortunately, everyone had a similar list demonstrating as little thought as mine. Over too many drinks and too much food, everyone at the party felt great about their plan for the year. Smiles all around. At that point, a world of possibility awaited, at least until the morning.

I remember waking up late, still tired and saddled with a throbbing headache. What a terrible way to kick off a new year. I didn't exercise or read. Feeling awful, I nibbled on some grease and salt to establish a base, then spent most of the day on the couch.

Sound familiar?

That pathetic attempt at annual planning was doomed from the start. Fortunately, I've grown older and wiser. Or, at least, less stupid.

Overthinking It

Over the decades, my increasingly sophisticated Annual Review process leveraged clever new tools, like Notion and Things, to track progress on my SMART goals. For some years, I engineered complex systems I thought might deliver bold breakthroughs. The results fell short of expectations.

The more complicated my approach became, the more I focused on the Annual Review process and missed the opportunity for self-exploration.

I skated along the surface, checked boxes, and made little progress. I'd built a Rube Goldberg Machine for annual reviews.

I'd missed an important point. The true purpose of the exercise is as much learning about ourselves as setting ambitious goals that might change in three months.

A Healthy Balance

Five years ago, I started using a simple process that works well for me. In an earlier draft of this essay, I included a detailed description of my process but then chose to delete it. The best process is your process, not mine. Besides, the internet is overflowing with that content this time of year.

I'll gladly email the detailed framework to anyone, though I don't expect these requests to overwhelm my large staff.

The basic structure is:

• Look Back: Reflect on what worked and what could have been better
• Look Ahead: Choose 2-3 high-leverage goals for the year
• Plan: Identify habits, systems, and projects to support each goal and schedule quarterly check-ins to track progress

The underlying value lies in making space for reflection and intentional planning, not posting bold goals on social media or producing a lengthy document. Keep it simple and find what works for you.

A few Tips

Whatever approach you choose, these tips may help along the way:

• Don't Rush: Schedule the time on your calendar. You can get through this in a few hours, but don't take shortcuts. Allow yourself to sit with any discomfort. That's usually a signal you're close to something meaningful.
• Accountability: It can help to share your review with a friend, partner, or coach you trust. A supportive partner can challenge you and help you find more clarity through conversations. My "mastermind" group, the Think Tank, has done an "Annual Review review" for the past few years. We've had even more success when we've hired a coach to moderate the sessions. The group's feedback always improves the planning.
• Not Too Late: There's no year-end expiration date on this process. Sure, it's January 2nd, but you could start today.
• Stay Flexible: Don't worry about the format. Despite using the framework above as a guide, my process varies yearly. And as I mentioned above, your goals may change during the year.

Stick With It

An unexpected benefit is you'll find the insights compound over time. Now, in my fifth year, I can review past years to spot consistent themes, progress, and areas where I've struggled.

For example, I failed to hit a similar goal twice in the past few years. Interestingly, I relied on nearly identical strategies. Observations like these prompt new questions and offer opportunities for deeper insights.

Conclusion

Hopefully, this helps you get started with an Annual Review or build upon your existing process. Remember, the best framework is one you'll consistently use.

For what it's worth, I'm still looking to exercise and read more consistently. But these days, I operate with a more intentional perspective and a process that works for me.

Other Stuff

#405 – Jeff Bezos: Amazon and Blue Origin Like most Lex Fridman podcasts, it's a long one. But that's the point. Bezos rarely provides this type of access. Most of the conversation deals with Blue Origin and space, which is fascinating, inspiring, and optimistic. For example, Bezos says, "I would love to see a trillion humans living in the solar system. If we had a trillion humans, we would have, at any given time, 1,000 Mozarts and 1,000 Einsteins." He knows he won't live to see it. Yet, he's dedicated his life to building the "heavy lifting infrastructure" to support future efforts in the same way the internet and postal service enabled Amazon.

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​Link to the podcast (2 hrs 11 mins)

Real Estate & AI: Ten Predictions Dror's take on the intersection of these topics is worth a read. While Dror expects office demand to remain under pressure, it's interesting that he sees AI also increasing the value of in-person interactions. In a bonus prediction, Dror describes his vision of the "The Nonlinear Economy":

Since real estate is a capital-intensive, physical asset that doesn't naturally lend itself to flexibility, Dror rightly highlights that successful innovators in this economy must find ways to overcome that challenge to thrive.

​Read the article (11 mins)

Redefining the Retirement Income Goal This article summarizes the author's research paper that finds retirement spending is more flexible than previously thought. This matters because traditional financial planning tools, which assume spending is relatively predictable and increases annually with inflation, need to incorporate spending flexibility into their tools and outcomes metrics. Incorporating spending flexibility can have significant implications for retirement-related decisions.

​Read the article (4 mins)

And a Farewell Photo...