The invention relates to a method for transforming a sound signal into a signal capable of compensating for the hearing loss of a hearing impaired person using a hearing instrument with a receiver a processing unit and a transmitter said method comprising the following steps: a) receiving an input signal by the receiver said input signal being representative for a sound signal b) processing the received signal by the processing unit said processing comprising the step of filtering and c) providing the processed signal by the transmitter wherein the processing further comprises the step of squaring the received signal the filtering taking place on the squared signal. The invention also relates to a hearing instrument and the use of said hearing instrument.