Why Entertainers Are Bad Wealth Builders

Black Wealth
Building Black Wealth
Beware of the smoke and mirrors! Having what seems to be a wonderful lifestyle does not mean the same as having wealth. Lamborghini’s’ and Maserati’s,’ expensive shopping trips and exotic vacations do not equal financial freedom and assets that can be transferred to family later on. These things can be experienced by a wealth building person in a wealth building frame of mind with some moderation, but this is usually a high income persons world. Hence the problem with a lot of highly paid individuals and especially entertainers.
High earners often get caught up in some version of “The Lifestyles of The Rich and Famous.” Purchasing vanity products can lead a high earning person into a high consumption lifestyle that can often lead to bankruptcy of some sort. There are millions trying to get into the entertainment business. Most are struggling, some are making a living, and a small percent are able to command high salaries consistently. Most entertainers are not business people to start with, so the chips are stacked against them when they do make some money and move into that high consumption lifestyle of the rich and famous.
You have to be aware of the smoke and mirrors. It is easy to spend your life trying to keep up with the Joneses when the Joneses may be heading for bankruptcy. I see particularly black entertainers that pass away and you see that their estates do not match their lifestyles. (Prince left fully in the black but probably could have grossed a lot more and left a decent will). Michael Jackson was still going on million dollar spending sprees shortly before his death, but it was reported that he was cash poor upon his death. He had suffered some tarnish to his name and economic loss due to his court trial but his name still could command millions. This is partially why he agreed to his final act. Of course his estate has grossed tens of millions since his death. Sammy Davis Jr. passed away leaving his family in debt after 60 years in the entertainment business. Redd Foxx died owing the I.R.S millions. Maybe the next generation of famous black entertainers will be wiser, we have to see. Some entertainers and high income individuals suffer economic hardships early on and make lifestyle adjustments, some never do.
Tisha Martin Campbell and her husband just filed for bankruptcy. $15 million is unpaid taxes, loans,car leases, credit card bills and other debts. I hope they are able to get through, but it seems like if they do not make a lifestyle change they may face more problems in the future. Building wealth is a process of economic freedom. Know that living below your means and having some savings to balance life surprises is basic and necessary for true financial freedom and independence. Manage your money wisely, regardless of your job save invest wisely and live moderately. Here is a quick link for Black business education by Black people for Black people http://theblackbusinessschool.com/courses/the-black-millionaires-of-tomorrow-bootcamp-for-children-starts-on-saturday-august-13-2016?a_aid=VeronicaBrown&a_bid=39a9ac3e