Over and over again, I see people not realizing they are becoming victims of the sunk cost fallacy and getting stuck in things, deals, products, and relationships that no longer make them happy and that they would be much better off leaving behind.

The sunk cost fallacy happens when we keep committing resources to something simply because we’ve already invested, even if the best choice is to walk away. It quietly drives bad decisions in sports, business, and daily life.

- Soccer Transfers: Clubs often keep playing expensive signings to “justify” their transfer fee. For example, FC Barcelona spent over €140 million to buy Philippe Coutinho. Even after it became clear he wasn’t performing and didn’t fit their system, they continued to give him chances and build the team around him just to avoid admitting the money was lost. Instead of moving on earlier, they kept doubling down on an investment that couldn’t be recovered, a classic sunk cost fallacy.

- Business Projects: SoftBank poured billions into WeWork, even as it became obvious the business model was flawed and the company was burning cash unsustainably. When financial problems and leadership issues came to light before the IPO, SoftBank faced a choice: walk away or invest more. Rather than accept the losses, they launched an even bigger bailout to rescue the valuation they had once championed. This decision of throwing more money at a failing bet purely because they had already invested so much ended up compounding their losses..

- Everyday Choices:

- Careers: Many people stay in careers they dislike because “I already spent years studying for this” or “I’ve been at this company a decade.” Even when they’re burned out or unfulfilled, the fear of “wasting” past effort keeps them stuck. But time invested is gone it shouldn’t dictate your future happiness.

- Books: Forcing yourself to finish a book you aren’t enjoying because “I’ve already read 120 pages.” In reality, putting it down and picking up something better is usually the smarter choice.

- Relationships: Staying in a friendship or relationship mainly because you’ve been together so long, rather than whether it still adds value to your life.

Ironically, the money, time, or effort you already spent is gone either way it can’t be recovered. The only thing that matters is whether continuing improves your future.

Next time you feel stuck because of how much you’ve invested, ask yourself: If I hadn’t already spent anything, would I still choose to keep going? That one question can save you from throwing good resources after bad.