The Sunk Cost Fallacy: When Physicians Struggle with Change
An earlier version of this article appeared on this website in September, 2024
When I first learned about the concept of “sunk cost”, it felt as if a giant lightbulb had clicked on in my head. Suddenly, so many old misaligned decisions began to make sense.
The term, borrowed from economics, describes our tendency to keep investing in something that is no longer aligned with our goals or values, simply because we’ve already put so much into it.
Sunk costs include all the time, energy, and resources you’ve already put into your current situation, whether that’s a job, a relationship, or even a major purchase. These accumulated investments can shape our decisions for years, often pulling us further away from what truly matters to us.
For physicians, the concept can be especially trying. You may have poured years of training, effort, and identity into building a practice or reputation, even when it no longer feels like the right fit.
Understanding the Sunk Cost Fallacy
The sunk cost fallacy helps explain why change can feel so difficult. Even when you recognize that your current path is no longer sustainable, or no longer sustaining, you may still feel compelled to stay.
However, this is precisely where the fallacy lies. The time and energy you've already spent are, by definition, "sunk"—they cannot be recovered, no matter what you decide to do next.
So the most important question is not about the past. It’s about the future: Is staying where you are, be that literally or figuratively, the best decision for your long-term goals, well-being or fulfillment? Or is it time to cut your losses and move on?
Moving Beyond the Sunk Cost Fallacy
If you’re feeling unfulfilled, overworked, or simply stuck in a role that doesn’t align with your goals or values, it may be time to consider a change. But how do you overcome the weight of sunk costs? Here are a few ideas to help you move forward:
Acknowledge the Fallacy
Recognize that your past effort is not wasted if you choose a new path.
Everything you’ve done has shaped you and prepared you. That includes your clinical judgment, your perspective, your resilience. Those are not losses. They are assets you carry forward.
Focus on the Present and Future
Instead of looking backward, ask:
Is my current role or situation sustaining me and helping me to grow, or is it holding me back?
Is it supporting my well-being, or draining it?
Am I contributing in a way that feels aligned with who I am now?
Then look ahead:
Where do I want to be in five or ten years?
Does staying where I am move me closer to that vision?
Reframe the Leap
A new role may feel like starting over—but it isn’t.
Physicians often underestimate the value of their experience. Even though change can feel unsettling, you are not starting from scratch. Instead, you are bringing your depth, skill, and insight forward.
Seek Support
If you’re wrestling with this decision, you don’t have to do it alone.
Talking with trusted colleagues, mentors, or a physician coach can help you see more clearly and move forward with confidence. A coach, in particular, is not invested in the outcome of your decision. That neutral aspect of coaching can help you gain clarity in a way that a colleague might not be able to do.
Stop Letting the Past Decide Your Future
Don’t let past investments of energy and time keep you anchored in a place that no longer fits.
Change can feel uncertain, but your experience is not lost. It has prepared you for what comes next. You may be surprised by the value it holds.
Whether you’re seeking a new role, a leadership path, or a more creative phase of your life, understanding your strengths, and investing in your growth, will help you move forward.
By letting go of what no longer serves or supports you and following your internal compass, you give yourself permission to build a career, and a life, that honors your past while moving you into your future.
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