Shaq's Budget

[FANOFJESUS]

Funny we are living on less than his cable bill. Here is the link:

Shaq as big a spender as he is a man

[Beststash]

Now that is what I call "living large"!!

Peace

[HFWR]

Quote:

Originally Posted by Beststash Now that is what I call "living large"!! Peace

YouTube - Peter Gabriel Big Time

Wonder if he needs a cabana boy?

[Marquette]

The article doesn't clarify if his monthly expenses include his taxes or not. If so, then he makes $1.8mm a month and only spends $880k a month. That is, he's LBYM at a level that's very, very respectable. Personally, I'd love to get to a point where I was saving more than 50% of my gross pay. Maybe we should tell him about this forum.

[cute fuzzy bunny]

Quote:

Originally Posted by Marquette Maybe we should tell him about this forum.

I'd make him mad. I can shoot free throws from half court with nearly 100% accuracy. He cant make them from the free throw line.

But he's a better actor than I am.

[FANOFJESUS]

Quote:

Originally Posted by Marquette The article doesn't clarify if his monthly expenses include his taxes or not. If so, then he makes $1.8mm a month and only spends $880k a month. That is, he's LBYM at a level that's very, very respectable. Personally, I'd love to get to a point where I was saving more than 50% of my gross pay. Maybe we should tell him about this forum.

The x thinks he is worth 30M so it sounds like he is not saving that much. 30M is only about 1.5 years of his income. I don't know all the details but I think the percentage is much lower than 50%.

[growing_older]

How do you spend $1500 per month on cable TV? What kind of a subscription is that?

[Meadbh]

He's maintaining several homes and a number of dependents with expensive tastes. How much time do celebrities spend on shopping around to get the best deal? Probably nil. In fact, their large incomes make them vulnerable to all sorts of sharks.

I'll bet one of us could get a better cable deal than that one!

[mickeyd]

Quote:

How do you spend $1500 per month on cable TV?

PPV porn?

[mickeyd]

Quote:

Child care sets Shaq back $26,500 a month.

Yea, that looks about right...

[RunningBum]

Quote:

Originally Posted by rec7 The x thinks he is worth 30M so it sounds like he is not saving that much. 30M is only about 1.5 years of his income. I don't know all the details but I think the percentage is much lower than 50%.

The way I read it, that 30M is her net worth, not his.
In Case You Didn’t Know » Shaquille O'Neal, a gossip site, reads it the same way.

That $30M would seem very low for him, so it doesn't make sense that she'd list such a low number for his assets. In fact there's no reason at all for her to list his assets.

[FANOFJESUS]

You're right I misread it thanks.

[clifp]

I am pretty impressed 50%+ saving rate.

On the other hand I bet Warren Buffett could live on his $100,000 salary except for his netjets usuage.

[Marquette]

Quote:

Originally Posted by rec7 The x thinks he is worth 30M so it sounds like he is not saving that much. 30M is only about 1.5 years of his income. I don't know all the details but I think the percentage is much lower than 50%.

None of us will know when he started taking ER seriously until he posts in the intro forum. He might have just started a few years ago. Maybe once he started plugging those Icy Hots he realized that he won't be a young ball player forever.

You know, about that cable bill, maybe he didn't know he could bundle his cable, phone, and internet and save!

[thefed]

Quote:

Originally Posted by cute fuzzy bunny I'd make him mad. I can shoot free throws from half court with nearly 100% accuracy. He cant make them from the free throw line. But he's a better actor than I am.

are you serious? how about an NBA tryout...i know dan gilbert

[cute fuzzy bunny]

Well, its the only thing I can do with a basketball, so probably no joy there. Plus my shoulder hurts after I've done about 10-12 of them.

Shaq could save a lot of money by dumping cable and getting directv. Their Titanium package is only $7500 a year and includes all channels including pay per view movies, events, high def, ten DVR's, etc. Not sure what you could get in a high end all-in cable package that'd exceed that load of goodness... :

[Nords]

Quote:

Originally Posted by clifp On the other hand I bet Warren Buffett could live on his $100,000 salary except for his netjets usuage.

Buffett probably writes that off a a business expense.

I wonder if Shaq can't have his turn until Buffett is finished with Lebron. Maybe there's a waiting list...

[Spanky]

Shaq is my man - way to go. Spend your money and pay your taxes.

[StJohnsWood]

I would really like to see the investment portfolio. Think he's into growth stocks or maybe just an index mutal fund??

Seriously I would love to see the investments. Just call me noisy.

[RunningBum]

Google is your friend. Googling "Shaquille O'Neal investments" shows that he has a stake in sportsline.com, a Miami condo project, and this article gives more details on investments and strategy. He may not be so smart about his cable bill, but his financial plan looks pretty solid.

All-Star Investors Shaquille O'Neal likes tech stocks. Dale Earnhardt owns a seat on the NYSE. Even pro baseball players must admit it: Investing is America's real national pastime. - September 1, 2000

SHAQUILLE O'NEAL Staying rich
Shaquille O'Neal, it will surprise no one to learn, makes a ton of money. His six-year contract with the Lakers pays him $121 million. And since leading L.A. to the NBA championship in June--and becoming MVP for both the regular season and the finals--O'Neal is in an extremely good position to negotiate an extension. Between whatever the team winds up paying him and his numerous endorsement deals, he will no doubt become even richer than he already is.
So what's O'Neal's strategy with all that cash? MONEY caught up with him on a hot, sunny day in L.A. a week after the NBA finals. He arrived at our photo shoot with all the accoutrements of celebrity: a custom car (black windows, Superman emblem on the rear bumper), a cell-phone-toting agent, and an entourage of about six rappers, actresses and others. But talking about investing, he sounded more like a C.F.A. than you might expect from a seven-foot-one, 335-pound, tattooed athlete and would-be hip-hop and movie star. "I'm very conservative," O'Neal says, "I don't like taking risks. If I have $20 million and I'm making 6%, that's okay with me. I don't need to make $20 million into $200 million."
In basketball, hot young stars, generally kids with no financial experience, are often presented with huge paychecks. For most, this is the first real money they've ever seen, and it falls on them as if out of the blue. Some learn how to handle it; others don't. Back in the 1980s, Kareem Abdul-Jabbar, one of the game's most dominant and highly paid players, lost millions via lavish spending and bad investments. O'Neal, the nba's No. 1 draft pick in 1992, says he almost fell into that trap with his first paycheck, which was for $1 million. He spent most of it on a $100,000 Mercedes-Benz with a top-of-the-line sound system for himself, a matching car for his father and an array of superstar accessories, including suits and cell phones. O'Neal knew that there was more money in the pipeline, but he was unnerved by how easy he found it to turn a lot of cash into almost nothing. So he hired business manager Lester Knispel to handle his money--with the emphasis on safety.
Knispel farms O'Neal's millions out to two money managers whose primary instructions are less to grow their client's capital than to preserve it for his two children--and their children. Knispel says he compares Shaq's portfolio with those of his other celebrity clients: If O'Neal's managers underperform their peers for two consecutive quarters, they're out. Generally, O'Neal is invested in U.S. Government bonds and blue-chip stock funds. He also owns annuities due to pay off when he's 35, 45 and 55.
All that prudence, however, doesn't mean that Shaq is unwilling to take the occasional flier on individual stocks, especially tech stocks. "The digital world is taking over," he says. O'Neal says he'll hear about a tech company--sometimes from market enthusiasts and fellow Lakers Rick Fox and John Salley--and then have Knispel look into it. Knispel says that such investments are a tiny part of O'Neal's portfolio: If a stock doesn't take off as expected within a few weeks, Knispel will dump it.
O'Neal holds a number of tech blue chips like AOL, Microsoft, Lucent and Oracle for the long haul. He also often takes equity positions in companies that he does endorsements for, such as Internet service provider Freeinternet.com and Dunk.net, an online athletic-wear store. O'Neal says he's interested in the market without being preoccupied. "I'm not the kind of guy who reads the Wall Street Journal or looks at my portfolio every day," he says. "I don't really worry about [money]. I'm blessed obviously to have it; now the thing I need to do is keep it and make it grow for my kids."