Common misconception says: Once you’ve made it in the business and make your first million, you are set for life.
Actually, bankruptcy is much more frequent among famous people than one might think. It appears that they easily forget their money can’t last forever and become reckless with their wealth. It is always important to be reasonable with your spending, as well as to do a background check of all the people you work with.
Following 15 people make excellent instances of how you shouldn’t behave toward your bank account, and will, hopefully, help us learn from their mistakes.
1. Michael Jackson
Jackson filed for bankruptcy in 2007 when he wasn’t able to pay back a $25 million loan on his home.
He purchased Neverland ranch in 1988 for $17 million.
The state included a zoo, an amusement park, a movie theater, a railroad line, helicopter pads, and its own fire department. The problem was it cost more than $10 million dollars a year to maintain the complex.
The star also really enjoyed shopping sprees, including a $6 million trip recorded for the documentary “Living With Michael Jackson,” and the he somehow failed to acknowledge that he actually only had 0.05% of his net worth in accessible cash, which left him no option but to file for bankruptcy.