According to a 2009 Sports Illustrated article, 60 percent of former NBA players are broke within five years of retirement. By the time they have been retired for two years, 78% of former NFL players have gone bankrupt or are under financial stress.
Sucked into bad investments, stalked by freeloaders, saddled with medical problems, and naturally prone to showing off, many pro athletes get shocked by harsh economic realities after years of living the high life.
Drawing surprisingly vulnerable confessions from retired stars like Keith McCants, Bernie Kosar and Andre Rison, as well as Marvin Miller, the former executive director of the MLB Players Association...
Tthis fascinating documentary digs into the psychology of men whose competitive nature can carry them to victory on the field and ruin off it. [Read the: 30 for 30 “Broke” show info]
I just finished watching it on ESPN... it was awesome! Carla Lundblade talked about this exact problem on the KOKS Radio Show a couple of weeks ago!
All parents should be watching this show to help their own kids learn about finances and how saving your money is vitally more important NOW than ever before.
Clinic Based Program – Lundblade 10 - The ten decisions to consider by the time you are 22 years old! Read her list below, and get your own copy here: Carla-Lundblade-10
70% of Top Athletes GO Broke!
Did you know that up to 70%, or more, professional NFL, NBA & MLB players will by the end of their career be one or all of the following:
- Bankrupt
- Broke
- Divorced
- Unemployed
The Lundblade 10 System has been developed by Carla Lundblade www.carlalundblade.com a Clinical Therapist Specializing in Sports & Celebrity, knows that for many of these players, expert structured psychological counseling will help avoid the extreme negative changes of fortune that have clouded so many golden sports careers!
To help younger athletes, as well as current pro-players, Carla has developed The Lundblade 10, a system designed to specifically help professional athletes develop awareness of the common pitfalls encountered with a high income, high profile lifestyle.
The Lundblade 10 system is a success system that if implemented early will allow athletes to be part of the 30% of professional players who are employed, financially stable and successfully married!
The Lundblade 10 System
1. Seek out professional investment specialists early on in your career.
2. Don’t give in to showing off your new “richness” to team mates, fans, loved ones. Remember. Up to 70% of them are going to be broke!
3. Never hire friends, family or former coaches to manage your finances. Hire for expertise, not relationship.
4. Check the background of your financial advisers… Many have questionable pasts, or worse, criminal backgrounds directly related to money. Also, watch for people overcharging you for services.
5. Effectively handle and manage the flood of new people entering your life, don’t let them handle you.
6. Limit paternity. Choose love relationships carefully and reduce the chance of having unplanned children. For some athletes, child support payments are their largest payouts.
7. Don’t get married too young and don’t think marrying your hometown sweetheart or someone who knew you before the success is a smart decision. It’s not.
8. Draw up a good pre-nuptial when you do get married. Not all pre-nuptials are created equally so make sure yours is solid.
9. Don’t get divorced. The divorce rate among professional athletes is 60-80% and almost all happen in retirement. A player’s peak earning periods are usually long over by this time and making the same amount of money at this stage of career is virtually impossible.
10. Draw up a will. Since, in steps 1-9 you have protected and nurtured the security of your bright financial future, so do the same for your family. Just in case you are not there to take care of them.
I believe this to be great information for all families and especially parents teaching their kids about finances and how saving your money, is more important NOW than ever!!
Source: CarlaLundblade.com
Source: KOKS Radio Blog
Resource: ESPN 30 for 30
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