All of us, whether hailing from Salt Lake City or any other place, have experienced being at a low financial point in our lives. There are also some individuals with businesses in extreme debt who would need to hire a Chapter 7 or Chapter 13 bankruptcy lawyer. Celebrities, with their top-grossing movies and music, seem the least likely to be affected by fiscal woes.
However, given their higher standard of living, poor financial decisions also have a higher impact on them. Here are some well-known celebrities who needed to consult a lawyer or two and filed for bankruptcy.
Johnny Depp
This well known actor in the Pirates of the Caribbean filed bankruptcy in 2010. His large earnings were diminished quickly by his extravagant lifestyle, which involved owning 14 properties, expensive art purchases, and other questionable financial decisions. Some of these decisions were firing his best friend’s ashes out of a cannon and buying a couch that was on the set of Keeping Up With the Kardashians for his daughter.
Today, he still hasn’t recovered from his debt, but it is possible he may have a chance to recoup with him taking part in an upcoming Fantastic Beasts movie.
Nicolas Cage
This actor also lived exorbitantly, and he went from a $150 million fortune to owing the IRS $6 million. His expenses are constituted of many large properties, luxury vehicles such as cars and yachts, and exotic artifacts like pygmy heads and various wild animals. After taking on many acting roles, he has started to bounce back and is now worth $25 million.
50 Cent
A rapper who was once one of the five wealthiest hip hop artists, he filed for bankruptcy in 2015 in order to reorganize his affairs. Bad investments coupled with a big lawsuit crippled his financial status severely. Fortunately in 2016, he was able to reclaim financial stability, thanks to his music royalties from TMZ.
Larry King
Larry King is an American television and radio host who won two Peabody awards. However, after being charged with grand larceny by his then partner he was forced to file bankruptcy in 1978 and had a hard time bouncing back due to his damaged reputation. Fortunately, he was able to catch a break with Larry King Live, which then allowed him to regain financial stability.
Toni Braxton
This singer bounced back from bankruptcy twice, which were filed in 1998 and 2010. Her finances were strained due to her receiving a low amount of royalties, amounting to $2000, from her spectacular album sales. A lot of compulsive home decor purchases also led to her latter bankruptcy. Luckily, she was able to recover in 2013, and has a reality show called Braxton Family Values. She also has an upcoming tour for 2019.
Rihanna
Another well-known singer, she filed for bankruptcy in 2009, due to the financial mismanagement of her accountant. She then pursued a lawsuit against that accounting firm and won a settlement. Bouncing back was quick, thanks to her fruitful music career, a beauty brand, and fashion house. Today, she has a net worth of $600 million.
The takeaway from these celebrity stories is that if one gets a lot of money on hand, they should, first and foremost, invest it or save it. Some might see it as a chance to buy what they had always wanted, and have a higher standard of living. However, it’s easy to lose money if you don’t keep track of it. Manage your expenses wisely and keep track of how much you spend to avoid falling into hard times.