Showing posts with label Financial Lessons From Michael Jackson. Show all posts
Showing posts with label Financial Lessons From Michael Jackson. Show all posts

Friday 3 July 2009

Financial Lessons From Michael Jackson

Michelle Singletary
Thursday, July 2, 2009; 9:58 AM


Financial Legacy

There's much talk about the musical genius of the late Michael Jackson. But in my column today I wanted to discuss the lesson we can learn from how Jackson handled his money.

At one point the pop icon was spending about $20 to $30 million above his earnings each year, according to one expert. And he came very close to losing his Neverland ranch to foreclosure. Read about how a sense of entitlement can cost a fortune in Jackson's Money Woes Can Teach Us About the Dangers of Entitlement.

Jackson's financial downfall is surprising considering his assets, which include the partial rights to many of the greatest hits by The Beatles and other great artists. But Jackson apparently borrowed heavily against his catalog of songs. He also had some hefty legal bills.

Read Legally, Jacksons Face Long & Winding Road (June 30) by Paul Fahri.

The Associated Press reported Jackson's net worth at $236.6 million. But according to the news service, "Documents do not show how much money he had coming in that year or how much he was spending, which makes it hard to estimate just how cash-poor he was."

Here are some of the latest reports about Jackson's finances:
* Battle to control Jackson's fortune begins (June 30)
* AP Exclusive: Jackson said net worth $236M in 2007 (June 30)
* Jackson's will cuts out ex-wife Debbie Rowe (July 1)

What's In the Will?

For a time it was unclear whether or not Jackson had left a will. However a will has surfaced.
Jackson's mother, Katherine, was named guardian of his children and the will puts his assets in a trust.

Here are a few articles that emphasize the necessity of a will:
* Property Rights and Responsibilities After a Loved One Dies (May 30) by Benny L. Kass
" Parents Can Help Ease the Burden (July 19, 2008) by Mara Lee
" A Worthy Read to Get Serious About Estate Planning (Aug. 28, 2008)


By Ilyce R. Glink with Samuel J. Tamkin

http://www.washingtonpost.com/wp-dyn/content/article/2009/07/02/AR2009070201452.html