It has been a common thing to watch celebrities, and some veeeeery lucky people who happened on lots of money become poor again because of mismanagement, lack of proper education and inadequate financial literacy. Let me give some examples:
In 2004, Sharon Tirabassi, a single mother who had been on welfare, cashed a check from the Ontario Lottery and Gaming Corp. for 10,569,00.10 canadian dollars, today, she’s back riding the bus, working part-time, and living in a rented house.
When Mullins won the U.S. lotto in 1993, she opted for yearly payouts instead of a lump sum, reports MSN.
She quickly found herself in debt, using future payouts as collateral for a $200,000 loan. Mullins later switched to a lump sum payout, but never paid back the debt. The loan company filed suit and won a $154,000,000 settlement that was all but worthless — Mullins had no assets.
Against all odds, in the mid-1980s Adams won the lottery twice, once in 1985 and again in 1986. The New Jersey native won a cool $5.4 million, but AskMen.com reports she gambled it away at Atlantic City. Today she resides in a trailer park.
The stories are endless, however today I was reading about a sportsman and his story was so inspiring I thought i’d share with you.
“When Shaquille O’neal was drafted into the NBA, he spent the first million that he earned within 30 minutes. O’neal then received a phone call from his banker, who scolded him, and told him that he would end up joining the list of former athletes who ended up broke if the current trend continued.
O’neal decided to sharpen up his education on business and finance. He returned to college, completing his Bachelor’s degree, followed by his M.B.A, and lastly, his Ed.D. That’s right, he is now Dr. Shaquille O’neal.
As of today, Shaq is the joint owner of 155 Five Guys Burgers restaurants, 17 Auntie Annie’s Pretzels restaurants, 150 car washes, 40 24-hour fitness centers, a shopping center, a movie theater, and several Las Vegas nightclubs.
In addition to his business holdings, O’neal still earns $22 million per year (roughly $423,000 per week) from his endorsement deals with Arizona Creme soda, Icy Hot, Gold Bond, Buick, Zales, and at least a half dozen additional corporate sponsors. He is also a studio analyst for TNT.
In Shaq’s own words, “It is not about how much money you make. The question is are you educated enough to KEEP it.”