HISTORY & PAST NEWS NEVER LIES
The personal finances of professional American athletes is a subject of widespread discussion due to the often high salaries of such athletes and the high rates of personal bankruptcy and other financial distress.
According to a 2009 Sports Illustrated article, 78% of National Football League (NFL) players are either bankrupt or are under financial stress within two years of retirement and an estimated 60% of National Basketball Association (NBA) players go bankrupt within five years after leaving their sport. Originally the statement “60% of NBA players go bankrupt within five years after leaving their sport” was released by a representative of the NBA Players’ Association in 2008 A Fortune magazine article states, however, that a working paper from the National Bureau of Economic Research found that the percentage of NFL players who go bankrupt after two years is a much smaller 1.9%, climbing to 15.7% after 12 years.
THERE IS A SERIOUS NEED FOR PHILIPPINE ATHLETIC TO HAVE FINANCIAL EDUCATION
Retired basketball center Danny Schayes stated, “Guys go broke because they surround themselves with people who help them go broke”. Remember you spent hours training and developing yourself and let me congratulate you but do take sometime to get yourself educated financially so that you won’t let history repeat by becoming bankrupt or broke.
The National Football League offers its players a Financial Education Program. “The non-credit seminars are offered during the year and teach players about cash management, insurance, tax planning, retirement planning and other related topics.” There is also a more advanced NFL Business Management and Entrepreneurial Program, with “custom programs at top-rated business schools”.
If NBA taking steps to educated their sportsman so should you as a sportsman.
REMEMBER YOU WILL GET OLD ONE DAY
Go and visit or call a qualified financial adviser and take time to tell them your financial situation and ask for advise or help. Just like when you are sick or injured you need to see a doctor and you will pay anything that the doctors says; likewise with a financial services doctor their job is the diagnose your financial situation and guide you to a plan that’s suitable for you.
ENSURE THAT YOU GET PROFESSIONAL ADVISER AND NOT A PRODUCT SELLER
There are many out there selling products and not giving proper financial advise; a good financial adviser is an individual who takes time to evaluate the clients needs and structure a plan that is best for the client and that includes:
- Tax Planning
- Will & Trust
- Future events that will disrupt the cash-flow
- Inflation & Cost of Living
- Retirement requirements
- Family Income Continuation
- Children Education Provision
- Accident & Disability income Provision
- Parents Obligation Provision
- Mortgage & Medical Provision
You can’t possibly structure everything at one time; but a good financial adviser will structure and organise your financial plan in phases which can be 3-5 years.
Remember your past don’t determine your future; take time to move forward for Financial Freedom.
Article by: Ashok MBA – Strategic Coach & Mentor for MDRT/COT/TOT