Successful professional athletes are famous for their lavish lifestyles since, during their glory days they receive excessive amounts of money from various sources, including sports contracts, brand endorsements, NIL commercialization, performance bonuses and more. However, despite these high earnings, an alarming number of athletes end up going bankrupt, sometimes even before they retire.
Money Smart Athlete Blog
Athletes are some of the highest-paid individuals globally, with some earning millions of dollars annually in salaries, sponsorships, and endorsements. However, excessive wealth and fame have a dark side, which can affect athletes negatively. Henceforth, this article shall explore the negative consequences that can arise from an athlete's excessive wealth and fame, using examples of both male and female athletes.
With great success come great financial opportunities, but also additional pressure and responsibilities. Professional athletes may suddenly find themselves earning excessively large sums of money, which they may have a hard time having control over. It is quite easy for sudden wealth to cloud one’s financial decision-making and judgement. This is especially true for a lot of athletes with humble financial backgrounds, who eventually meet success and want to treat themselves, as well as the people close to them. This newfound wealth can be a great opportunity to create a better life for themselves and their family or a trap, leading to financial distress, if it is not managed properly.
While for male athletes, discussions surrounding their marriages will be limited to a few photographs of the newlyweds, the arrival of children and the occasional gossip that animates the masses; for female athletes the story is entirely different. With widespread perceptions and expectations focusing on childbearing and matrimony that transcend sports, there is certainly additional pressure and interest in aspects of the marriage that is usually not seen in the cases of male athletes.
The financial vulnerability of female athletes and the difficulties of creating a financial identity
Numerous articles on our blog have gone into great detail about the extremely unique nature of the athletic profession. Athletes make significant sums of money but only within the confines of a short time period, typically 10 to 15 years, and their income is highly volatile and dependent on their performance and physical health. As data suggests, athletes are very prone to financial trouble, with many ending up broke just years after the end of their athletic careers.