Heidegger's very early project of developing a "hermeneutics of factical life" and his hermeneutical transformation of phenomenology was influenced in part by his reading of the works of Wilhelm Dilthey.

Of the influence of Dilthey, Hans-Georg Gadamer writes the following: "As far as Dilthey is concerned, we all know today what I have known for a long time: namely that it is a mistake to conclude on the basis of the citation in Being and Time that Dilthey was especially influential in the development of Heidegger's thinking in the mid-1920s.
This dating of the influence is much too late."
He adds that by the fall of 1923 it was plain that Heidegger felt "the clear superiority of Count Yorck over the famous scholar, Dilthey."
Gadamer nevertheless makes clear that Dilthey's influence was important in helping the youthful Heidegger "in distancing himself from the systematic ideal of Neo-Kantianism, as Heidegger acknowledges in Being and Time."
Based on Heidegger's earliest lecture courses, in which Heidegger already engages Dilthey's thought prior to the period Gadamer mentions as "too late", scholars as diverse as Theodore Kisiel and David Farrell Krell have argued for the importance of Diltheyan concepts and strategies in the formation of Heidegger's thought.

Even though Gadamer's interpretation of Heidegger has been questioned, there is little doubt that Heidegger seized upon Dilthey's concept of hermeneutics.
Heidegger's novel ideas about ontology required a gestalt formation, not merely a series of logical arguments, in order to demonstrate his fundamentally new paradigm of thinking, and the hermeneutic circle offered a new and powerful tool for the articulation and realization of these ideas.
Heidegger's very early project of developing a "hermeneutics of factical life" and his hermeneutical transformation of phenomenology was influenced in part by his reading of the works of Wilhelm Dilthey.
Of the influence of Dilthey, Hans-Georg Gadamer writes the following: "As far as Dilthey is concerned, we all know today what I have known for a long time: namely that it is a mistake to conclude on the basis of the citation in Being and Time that Dilthey was especially influential in the development of Heidegger's thinking in the mid-1920s. This dating of the influence is much too late." He adds that by the fall of 1923 it was plain that Heidegger felt "the clear superiority of Count Yorck over the famous scholar, Dilthey." Gadamer nevertheless makes clear that Dilthey's influence was important in helping the youthful Heidegger "in distancing himself from the systematic ideal of Neo-Kantianism, as Heidegger acknowledges in Being and Time." Based on Heidegger's earliest lecture courses, in which Heidegger already engages Dilthey's thought prior to the period Gadamer mentions as "too late", scholars as diverse as Theodore Kisiel and David Farrell Krell have argued for the importance of Diltheyan concepts and strategies in the formation of Heidegger's thought.
Even though Gadamer's interpretation of Heidegger has been questioned, there is little doubt that Heidegger seized upon Dilthey's concept of hermeneutics. Heidegger's novel ideas about ontology required a gestalt formation, not merely a series of logical arguments, in order to demonstrate his fundamentally new paradigm of thinking, and the hermeneutic circle offered a new and powerful tool for the articulation and realization of these ideas.
Martin Heidegger