Zero-based thinking is a decision-making technique taught by Brian Tracy: you imagine starting from zero and ask of each commitment, “Knowing what I now know, would I get into this again today?” If the answer is no, it becomes a candidate to stop, reduce or put off.
Last updated: 13 November 2026
Reading time: about 10 minutes
How we wrote this guide: this guide was written by Saj Ali. It draws on Brian Tracy’s _Change Your Thinking, Change Your Life_ (2003) and _Eat That Frog!_ (third edition, 2017), the history of zero-based budgeting and published research on sunk costs and the status quo bias. Every research claim links to its source.
Zero-based thinking in brief
- The question. “Knowing what I now know, would I start this again today?”
- If the answer is no. The next question is how to get out, and how fast.
- Where it comes from. Brian Tracy, adapting the logic of zero-based budgeting to personal life.
- Why it helps. It counters the sunk cost effect and our bias towards the status quo.
- Pairs well with. The ABCDE method, where it helps you find your E tasks.
Contents
- What Is Zero-Based Thinking?
- Where Zero-Based Thinking Comes From
- Where to Use It
- How to Do a Zero-Based Review: Step by Step
- A Worked Example
- Why It Works: Sunk Costs and the Status Quo
- What the Research Says: At a Glance
- When to Be Careful
- Frequently Asked Questions
- Key Takeaways
- Explore More on Self Help Supermarket
- Sources
What Is Zero-Based Thinking?
Most decisions are made on top of earlier decisions. You keep a project because you started it, a subscription because you signed up for it, or a habit because it has always been there. Zero-based thinking asks you to set all that aside for a moment and start from zero.
Brian Tracy described it in Change Your Thinking, Change Your Life: “Call a timeout in your life and work. Draw a line under all your current activities. Now, imagine that you are starting over.” Then ask: “Is there anything in my life that, knowing what I now know, I would not get into or start up again today if I had it to do over?” He called this “one of the most important questions you will ever ask and answer” (Tracy, 2003).
In Eat That Frog! he put it more briefly, as a question to ask “continually”: “If I were not doing this already, knowing what I now know, would I start doing it again today?” If not, it is “a prime candidate for abandonment or creative procrastination” (Tracy, 2017).
| Taught by | Brian Tracy, in Change Your Thinking, Change Your Life (2003), Eat That Frog! and seminars |
|---|---|
| Based on | The logic of zero-based budgeting, developed by Peter Pyhrr in the 1970s (Wikipedia) |
| Key question | Knowing what I now know, would I start this again today? |
| Time needed | 20 to 30 minutes for a full review; seconds for a single decision |
| Best for | Overcommitment, stalled projects, old habits, decisions you keep putting off |
Where Zero-Based Thinking Comes From
The name borrows from accounting. In zero-based budgeting, every expense must be justified from scratch in each new budget period, instead of starting from last year’s figures. The method was developed by Peter Pyhrr, then working at Texas Instruments. Jimmy Carter applied it to the state budget of Georgia while governor, and later introduced it to the US federal government (Wikipedia; Pyhrr, 1977).
Tracy applied the same logic to a person’s time, money and energy. Instead of asking “How can I make this work?”, he asked whether you would choose it at all if you were deciding today. He told how companies would ask him how to boost sales of a struggling product, and how he would reply with the zero-based question. When they said they would never have launched it, knowing what they now knew, his advice was: “Kill it” (Tracy, 2003).
The idea sits at the heart of what Tracy called creative procrastination: since you can’t do everything, decide deliberately what not to do. “A priority is something that you do more of and sooner, while a posteriority is something that you do less of and later, if at all” (Tracy, 2017). You can read how this connects to the rest of his system in our Brian Tracy article.
Where to Use It
Tracy applied the question to every part of life (Tracy, 2003).
Work and career
“Is there anything in your work life that you wouldn’t get into again today, knowing what you now know? Is there any business process, procedure, activity, or expense that you wouldn’t start again today if you had it to do over?” This covers projects, meetings, reports, products and even jobs.
Relationships
“Is there any relationship in your life, personal or business, that, knowing what you now know, you wouldn’t get into today?” If there is, Tracy’s next question was, “How do I get out of this relationship, and how fast?” With people, the answer is often not to end things but to change the terms: less time, clearer boundaries or a frank conversation.
Money and investments
He extended the question to “your investments, not only of money, but also of time or emotion”. Subscriptions, memberships, shares you hold out of habit and possessions you maintain but don’t use are all candidates.
Habits and commitments
Committees you joined years ago, routines that no longer serve you, and goals you set for an older version of your life can all be reviewed the same way. For the daily version, see our ABCDE method guide: zero-based thinking is the quickest way to find your E tasks.
How to Do a Zero-Based Review: Step by Step
- Set aside 30 minutes somewhere quiet, with paper.
- List your current commitments in one area: projects, regular meetings, subscriptions, roles, habits or relationships.
- Ask the question for each item: “Knowing what I now know, would I start this today?” Answer yes, no or unsure.
- For every “no”, ask the follow-up: how do I get out, and how fast? Options include stopping, finishing quickly, handing it over, renegotiating or reducing it.
- For every “unsure”, set a test. Decide what would make it a yes and check again in a month.
- Pick one item to act on this week. Make the call, send the email or cancel the subscription.
- Notice the cost of staying. Write down the time, money or energy each “no” is taking. This makes it easier to act.
- Repeat every few months, and whenever your situation changes.
Tip: if you hear yourself say “but I’ve already put so much into it”, that is the sunk cost effect talking. The past investment is gone whatever you decide. The question is only about the future.
A Worked Example
Ravi does a zero-based review of his weekly commitments.
| Commitment | Would I start it today? | Action |
|---|---|---|
| Weekly cross-team meeting he has attended for three years | No: decisions are now made elsewhere | Asks to receive the notes instead |
| Side project building an app with a friend | Unsure | Sets a goal: a working test version in six weeks, or they stop |
| Gym membership he hasn’t used for four months | No | Cancels it and joins a cheaper climbing wall a friend uses |
| Evening language class | Yes | Keeps it and protects the time |
| Volunteering on a committee | No, but it ends in March | Finishes the term and declines to stand again |
He frees about four hours a week and a monthly fee, and for the first time the side project has a clear decision point.
Why It Works: Sunk Costs and the Status Quo
Zero-based thinking is a practical response to two well-studied biases.
The sunk cost effect
In a classic set of studies, Hal Arkes and Catherine Blumer showed that people continue an endeavour once they have invested money, effort or time in it, even when doing so no longer makes sense (Arkes & Blumer, 1985). In one field experiment, theatre-goers who had paid full price for season tickets attended more plays early in the season than those who had been given discounts at random. The money was already spent in both cases, but the larger past cost changed behaviour.
Asking “Would I start this today?” removes past investment from the question, which is exactly what the sunk cost effect makes hard.
The status quo bias
William Samuelson and Richard Zeckhauser found, in decision experiments and in real choices about health plans and retirement funds, that people disproportionately stick with the current option, even when alternatives would serve them better (Samuelson & Zeckhauser, 1988). Imagining you are starting from zero makes the current situation just one option among several, rather than the default.
What the Research Says: At a Glance
Zero-based thinking hasn’t been tested as a named technique. Its rationale rests on robust findings about decision-making.
| Idea | What research found | Verdict |
|---|---|---|
| Past investment distorts decisions | People continue after investing money, effort or time, even when it no longer pays (Arkes & Blumer, 1985) | Strong support |
| We favour whatever we already have | People disproportionately choose the status quo option (Samuelson & Zeckhauser, 1988) | Strong support |
| Starting budgets from zero can cut waste | Zero-based budgeting can remove redundant spending, but takes time and effort (Wikipedia) | Mixed (organisational) |
| Stopping low-value activities frees time | Time management is moderately related to performance and wellbeing (Aeon, Faber & Panaccio, 2021) | Moderate support |
| Letting go of unattainable goals | Implementation intentions also helped people disengage from failing courses of action (Gollwitzer & Sheeran, 2006) | Supported |
When to Be Careful
- Not every “no” means quit now. Some commitments, such as contracts, caring responsibilities or promises to others, need to be ended carefully, or finished first.
- Hindsight is not foresight. “Knowing what I now know” can make every past decision look bad. Ask whether you would choose it today, not whether it was a mistake then.
- Some things take time to pay off. Learning a skill, building a business or a relationship can look poor in the early months. Check whether you are judging too soon.
- Talk it through. For big decisions, such as a job or relationship, share your thinking with someone you trust before acting.
Frequently Asked Questions
What is zero-based thinking?
It is a technique for reviewing your commitments by imagining you are starting from zero and asking, “Knowing what I now know, would I get into this again today?” If the answer is no, you look for the best way to stop, reduce or change it.
Who invented zero-based thinking?
Brian Tracy popularised the technique in his books and seminars, including Change Your Thinking, Change Your Life (2003) and Eat That Frog!. It adapts the logic of zero-based budgeting, developed by Peter Pyhrr in the 1970s.
What is the difference between zero-based thinking and zero-based budgeting?
Zero-based budgeting is an accounting method in which every expense must be justified from scratch each period. Zero-based thinking applies the same idea to your time, money, relationships and habits.
What should I do if the answer is no?
Tracy’s follow-up question was how to get out, and how fast. Depending on the situation, that might mean stopping, finishing quickly, handing over, renegotiating or reducing the commitment.
How does zero-based thinking relate to the sunk cost fallacy?
The sunk cost effect makes people continue things because of what they have already invested. Zero-based thinking removes past investment from the decision by asking only whether you would choose it today.
How often should I use zero-based thinking?
You can use the question on any single decision, and do a full review of your commitments every few months or whenever your circumstances change.
Key Takeaways
- Ask: knowing what I now know, would I start this again today?
- If not, ask how to get out, and how fast.
- Apply it to work, relationships, money, habits and commitments.
- It counters two well-documented biases: the sunk cost effect and the status quo bias.
- Act carefully on big decisions, but act: freed time is the point.
Explore More on Self Help Supermarket
Use these pages alongside this one:
- The ABCDE Method – find and drop your E tasks
- The 80/20 Rule – identify the few things that matter
- Eat That Frog – put the time you free up to work
- After-Action Review – learn from what you stop and start
- Brian Tracy: His Life, Philosophy, Techniques and Legacy – the full system
- Brian Tracy: expert profile – his books, videos and key ideas
- Productivity – more ways to focus on what matters
- Browse all self-help techniques – compare every method on Self Help Supermarket.
Sources
- Tracy, B. Change Your Thinking, Change Your Life: How to Unlock Your Full Potential for Success and Achievement. Wiley, 2003. Internet Archive record. https://archive.org/details/changeyourthinki0000trac
- Tracy, B. Eat That Frog! 21 Great Ways to Stop Procrastinating and Get More Done in Less Time, 3rd edition. Berrett-Koehler, 2017. O’Reilly listing. https://www.oreilly.com/library/view/eat-that-frog/9781626569430/
- Self Help Supermarket. “Brian Tracy (1944–2026): His Life, Philosophy, Techniques and Legacy”. https://www.selfhelpsupermarket.com/brian-tracy-tribute/
- Wikipedia. “Zero-based budgeting”, accessed 13 November 2026. https://en.wikipedia.org/wiki/Zero-based_budgeting
- Pyhrr, P. A. (1977). The zero-base approach to government budgeting. Public Administration Review, 37(1). https://doi.org/10.2307/974503
- Arkes, H. R., & Blumer, C. (1985). The psychology of sunk cost. Organizational Behavior and Human Decision Processes, 35(1), 124–140. https://doi.org/10.1016/0749-5978%2885%2990049-4
- Samuelson, W., & Zeckhauser, R. (1988). Status quo bias in decision making. Journal of Risk and Uncertainty, 1(1), 7–59. https://doi.org/10.1007/BF00055564
- Aeon, B., Faber, A., & Panaccio, A. (2021). Does time management work? A meta-analysis. PLOS ONE, 16(1), e0245066. https://doi.org/10.1371/journal.pone.0245066
- Gollwitzer, P. M., & Sheeran, P. (2006). Implementation intentions and goal achievement: A meta-analysis of effects and processes. Advances in Experimental Social Psychology, 38, 69–119. https://doi.org/10.1016/S0065-2601%2806%2938002-1
