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4 Ways Net Profit Margin Equals Happiness in Life The equation for net profit margin in business can serve as an analogy for how to achieve happiness and satisfaction in life.

By Najma Khorrami Edited by Ryan Droste

Opinions expressed by Entrepreneur contributors are their own.

When it comes to business, most would understand what is meant by net profit margin — the percentage of total sales that is actual money you gain in your pocket. In other words, what percentage of sales is left after subtracting your cost of goods sold, operating expenses and taxes.

In life, I argue one's net profit margin equals the abundance of happiness one feels, both regularly and with varying intensity. Total sales equal the abundance of pure joy and happiness that can be redeemed around you. Cost of goods sold equals the effort one puts in, day in and day out. Operating expenses equal long-term effort and vision for one's life. And taxes equal one's obligations, such as making dinner, cleaning, doing laundry, putting effort into relationships and other consistently required duties.

Some would argue net profit margin, literally speaking, equals happiness in life after equating more money with actual happiness felt. I would argue, on the other hand, that net profit margin equals happiness in life after inputting life variables — and seeing if, when, and how the scale tips in your favor. What does this mean?

You don't necessarily need to be making money to actually feel happy. If you have an ability to redeem joy and happiness around you — and your efforts, vision and obligations are aligned in your favor — then you'll feel happiness consistently, regularly and oftentimes blissfully.

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