Warren Buffett once revealed a surprising truth about his legendary investing career:
Out of more than 500 major investment decisions, only about a dozen truly made the difference.
In other words, a tiny fraction of his actions created the majority of his wealth and impact.
Buffett himself put it simply:
“It takes just a few winners to work wonders.”
This isn’t just an investing lesson.
It’s a blueprint for an extraordinary life.
The “Dozen Decisions” Rule
Buffett has said that over a 60-year investing career, only about 12 truly great decisions mattered—roughly one every five years.
Think about that.
Not constant brilliance.
Not perfect execution every day.
Just a handful of rare, high-impact moments—recognized, seized, and compounded over time.
Most investors focus on activity.
Buffett focused on patience, preparation, and conviction when the moment arrived.
The same pattern applies to life.
The Buffett Principle for Living
Your life will not be defined by every day, every job, or every choice.
It will be shaped by a small number of pivotal opportunities:
- A chance meeting with the right person
- A bold decision to start a business
- A move to a new city or industry
- A partnership, idea, or investment that compounds for decades
- A moment of courage when most people hesitate
A dozen moments can separate an average life from an extraordinary one.
Why Business Ownership Fits This Principle
Let’s focus on one of those decisions: the decision to start a business. I left government, became a truck driver, and eventually became a business owner by starting my own trucking company. In my first 6 months of operations I had a net profit of $100,000. And I duplicated that performance in the next 6 month period and in the one after that. So that in my 1st 18 months as a business owner, I made $300,000–more than I had made in the 5 years leading up to that point.
When you work for a company, your upside is capped.
Your path is predictable. Promotions, raises, benefits—all exist within defined boundaries.
There’s nothing wrong with that.
But the Buffett principle thrives on uncapped upside.
When you own a business:
- Your earnings are not limited by a salary band
- A single opportunity can change your trajectory
- A breakthrough product, client, or partnership can compound for decades
- You are positioned to capture those rare, high-impact moments
For a long time, business ownership can look worse on paper.
You may work more, earn less, and appear behind your peers.
But extraordinary outcomes often look ordinary—until they compound.
Luck = Preparation Meets Opportunity
Buffett didn’t just stumble into his dozen winners.
He spent decades preparing—reading, thinking, building capital, and waiting.
Luck shows up for everyone.
But only the prepared can capitalize.
You might get 12 real opportunities in your lifetime.
If you’re unprepared, you miss them.
If you’re prepared, they redefine your future.
Stay Open to Serendipity
Extraordinary lives are often built on:
- A random conversation
- A problem that turns into a business
- A crisis that becomes a pivot point
- A curiosity that turns into expertise
The key is not predicting these moments.
The key is being open, positioned, and willing to act.
Each “level up” compounds on the last.
Over time, those compounding moments create an extraordinary life—built on one once-every-five-years opportunity at a time.Your extraordinary life is likely hidden in just a few pivotal moments.
The question is: Will you be ready when they arrive?