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retire@40 · 11-02-2007, 10:09 AM

Britney spends big, court papers reveal - Yahoo! News

Britney spends big, court papers reveal
Fri Nov 2, 1:06 AM ET

LOS ANGELES - The pop princess is a big spender.

Court papers released Thursday in Britney Spears' custody dispute with Kevin Federline show she spends lavishly on clothes and entertainment, and doesn't save or invest any of her roughly $737,000 monthly income.

Spears' monthly expenses include $49,267 in mortgage for two houses, $16,000 for clothes and $102,000 on entertainment, gifts and vacation, according to her financial declaration.

Although she's often photographed eating fast food, Spears declares she spends about $4,758 per month dining out. Meanwhile, she spends zero on education, savings and investments and gives $500 a month in charitable contributions, the documents said.

She has to pay her ex-husband $15,000 per month in child support and $20,000 in spousal support. Spousal support will end Nov. 15.
As for Federline, his biggest monthly expenses include $7,500 in rent and $6,000 in security, according to his financial declaration.

The dancer-turned-rapper has a comparably modest monthly budget for clothes — just $2,000. He also spends about $5,000 on entertainment, gifts and vacation, and $1,500 eating out.

Federline earned more than a half-million dollars in 2006, mainly from entertainment and endorsement deals, but after business expenses only grossed $7,436 that year. He receives $15,000 per month in child support.

Nords · 11-02-2007, 10:46 AM

This could be a great beginning to an E-R.org series of "Celebrity ER" threads, where we solve the ER planning of the world's celebrities for free. But I'm not sure there's a "problem" here.

I don't know if this article reflects her total spending, but adding up the numbers gives roughly $188K/month or $2.25M/year.

I'm pretty confident that her net worth is over $56M, so even without the royalty income she'd be spending less than 4%. Of course she ER'd pretty young, so 3% might be more prudent-- $75M doesn't seem to be too much of a stretch for her accountant to tally up.

While her health insurance premiums might rise a bit, I don't see her keeping up that spending pace for the rest of her life...

She seems to be paying more in Medicare taxes than most people ever gross in income.

bright eyed · 11-02-2007, 11:38 AM

Quote:

Originally Posted by Nords

I don't see her keeping up that spending pace for the rest of her life...

Oh Nords, you underestimate her greatly!

Michael Jackson has the same problem, and after he stopped generating the massive income, he had to borrow from sketchy people to keep up his habits...

aaronc879 · 11-02-2007, 02:06 PM

Quote:

Originally Posted by Nords

I'm pretty confident that her net worth is over $56M, so even without the royalty income she'd be spending less than 4%. Of course she ER'd pretty young, so 3% might be more prudent-- $75M doesn't seem to be too much of a stretch for her accountant to tally up.

She hasn't ER'd yet. She just came out with a new record that is doing very well and will probably earn her another 8 figures. It seems to me she lives well below her means. I don't support most of her behavior but if i was approaching 100MM in my early 20's i'd be spending at least as much as her.

Milton · 11-02-2007, 02:11 PM

Quote:

As for Federline, his biggest monthly expenses include $7,500 in rent and $6,000 in security, according to his financial declaration.

:confused:

Meadbh · 11-02-2007, 02:57 PM

Britney won't outlive her money. She will be dead before she is 35.

clifp · 11-02-2007, 03:35 PM

Quote:

Originally Posted by Meadbh

Britney won't outlive her money. She will be dead before she is 35.

Sad but probably true. However, if she does avoid an early death, I suspect that she will end up virtually broke by the time she is in her early 50s.

A854321 · 11-02-2007, 10:50 AM

Her charitable contributions are rather pathetic, considering she has set up a foundation. $500 a month? Embarassing

TickTock · 11-02-2007, 11:02 AM

Nords beat me to it.

Don't remember where I read it (so could be wrong), but her net worth was estimated to be 100 million.

3% SWR due to young age

25% overall tax rate (probably too high)

Throws off 2.25 million after taxes

= $6,160 per day that she can spend.

Now, if she'd only drop out of the glamorous life, get her head together, and be a reasonably good mother to her children...

retire@40 · 11-02-2007, 10:59 AM

Quote:

Originally Posted by retire@40

...Federline earned more than a half-million dollars in 2006, mainly from entertainment and endorsement deals, but after business expenses only grossed $7,436 that year...

I think the article meant "netted" not "grossed."

This screams AUDIT in big red letters surrounded by red flags and fingers pointing.

Joss · 11-02-2007, 12:22 PM

Britney Spears would benefit from this forum

Britney Spears would benefit from a swift kick in the a$$ and then about two weeks at the Paris Hilton finishing school.

saluki9 · 11-02-2007, 01:17 PM

Her handlers wouldn't be letting her spend $50K/month in mortgage payments unless she had a ton of cash to back it up.

I also don't buy her travel figures. She was at the hotel next to me in Maui when my wife and I were married. She came to the island on a GV ($4K+ per hour) and rented several suites at the Four seasons Maui . I wouldn't guess she has scaled that back.

justin · 11-02-2007, 01:28 PM

"$16,000 for clothes"

That is obviously wrong. It seems like every other week some photographer is snapping her sans undergarments. And when she's on stage or on camera, she's hardly ever wearing many clothes. How could she possibly spend $16,000/month on clothes?