Just like Dave ramsey says, " cash is king,debt is dumb, and the paid off mortgage has taken the place of the bmw." There is no reason to to make 3m per for 10 yrs and be broke if you just get the 5% on the bond funds and pay for everything in cash. We had a discussion about this when a young guy was about to finance a car. I said he should just buy a cash car and other were talking about good debt. I don't believe there is such a thing. If you take the 40% from the 3m which leaves 1.8m. Lets say with your 1st yr check you but a 300k house in cash and 60k on a car. That leaves 1m roughly. 1m times 5% is 50k which is you allowance. The next yr, you drop 1.6m in for a total of 2.6m times 5% = 130k which is your allowance. By the end of the 10th season and sticking with your allowance, by yr 10, you can write a check for 770k every yr for the rest of your life. House paid for, car paid for, and 15m in the banck and 770k for the rest of your life. Its all about discipline.
I didn't see any mention in the article of the details of the pre-nup, did you get that from somewhere else? I don't know the woman, so I'm not willing to say she was definitely a gold digger, but there is a huge difference between being a Stanford med school grad with hundreds of thousands of dollars in student loans to pay and being the wife of an NBA player making tens of millions of dollars per year. I don't think her own prospects for making a good living are enough to prove she wasn't in it for the money.
here is an aricle from jet after Dikembe's wedding cancellation Before 7-foot-2 Denver Nuggets center Dikembe Mutombo marched down the aisle, he wanted his fiance to sign a prenuptial agreement--she refused and the wedding was canceled. The Rocky Mountain News in Denver reported that Mutombo incurred $250,000 in expenses, which included costs ran up by friends who made the trip to the Washington, D.C., wedding site. Michelle Roberts, a Stanford University Medical student, was issued the agreement by Mutombo 10 days before the planned wedding date. Just hours before the wedding was to begin, Mutombo and his intended said the wedding was canceled. He told friends it was because she refused to sign the agreement, the report said. According to the news report, some of the terms required that Roberts bear a child within two years, return to work four months after the birth and forgo child or spousal support after either a divorce or Mutombo's death. Roberts refused to sign it.
Yeah. Pre-nups are hard enough to do already because this is the person you're supposed to be fully trusting with your life and soul, right? And then to have these types of conditions in them are just crazy.
I also heard of brokers stealing money from the athletes without them knowing. I bet it must be hard to manage all that money, but despite their busy schedule, they do have atleast 3-4 months of offseaon that can sorta catch them up.
"Derrick didn't care about meeting with his planner, and we tried to set him up to do it 10 times," says Steinberg, who was his agent. "The sad truth is that there was a certain group of athletes who actually believed that if they ever sat down to write their wills, they were going to die." Superstitious beliefs bite them in the ass after they retire.... And the climbing (See Section 1 Clause 433 on Sexing) of Mt. Mutombo four times per workday.
On a related note, Top 10 Tricked Out Athlete’s Cars. http://theangryt.com/?p=2091 Tmac makes the list at #10:
"According to the news report, some of the terms required that Roberts bear a child within two years, return to work four months after the birth and forgo child or spousal support after either a divorce or Mutombo's death. Roberts refused to sign it." I would be surprised if Colorado law allowed for someone to contract away their child support obligation. I don't blame her for walking away.
No, she wouldn't lose child support, but it would be State mandated like it is for everyone else. As in if they got divorced in Texas, she'd get $1,500/mo.
In other news Ron Artest turned his car into a studio http://davissportsdeli.com/wordpress/2009/03/18/ron-artest-turns-his-car-into-a-studio/
Why should she have to prove she wasn't in it for the money? I guess I'm asking, why is she "guilty" and Mutombo "innocent" from the start? pgabriel's link is what I was referring to. There were always rumors about whacky stipulations in the prenup.
A poor med student would been gold digging in Deke's multimillion bank account. Of course, she ain't gonna sign. She can find another rich man to marry without it. It's a shame so many of these guys marry for love and get taken to the cleaners.
Just because you are fast and can run and jump high does not mean you are smart with money. Living within your means and saving for the future are a lost commodity in the USA right now. DD
