Thank you Purflee

what I need is a solution where (because of the large amount of times data is pasted in) the ONLY TWO operations I would do are 1) pasting data into sheet 1 and 2) pasting data in sheet 2.

Even better, if instead of pasting data into sheet 1 and 2, the spreadsheet contains only the Sheet 3 and pulls data from two external spreadsheets (the equivalent of sheet 1 and sheet 2) which obviously are always named the same and always placed in the same folder as the Sheet 3 spreadsheet.
That way I would not even need to cut and paste. Only copy 2 spreadsheet files (one with Sheet 1 data and one with Sheet 2 data) and when I open the spreadsheet it automatically pulls the data from the other 2 files and shows the combined data.

Any formulas/solutions?

I also tried using this formula but it does not work at all. I literally copied/pasted and used the exact same data shown in there but gives a #value error: How to extract unique values from multiple columns in Excel?