You're not going to be missing out on much. I had the first M1 Air and recently upgraded to an M3 Air. The M1 Air has years of useful life left and my upgrade was for reasons not performance related.
The M3 Air performs better than the M1 in raw numbers but outside of some truly CPU or GPU limited tasks you're not likely to actually notice the difference. The day to day behavior between the two is pretty similar.
If your current M1 works you're not missing out on anything. For the power/size/battery envelope the M1 Air was pretty awesome, it hasn't really gotten any worse over time. If it does what you need then you're good until it doesn't do what you need.
The M3 Air performs better than the M1 in raw numbers but outside of some truly CPU or GPU limited tasks you're not likely to actually notice the difference. The day to day behavior between the two is pretty similar.
If your current M1 works you're not missing out on anything. For the power/size/battery envelope the M1 Air was pretty awesome, it hasn't really gotten any worse over time. If it does what you need then you're good until it doesn't do what you need.