Why celebrities go broke despite earning millions

As starry as the Hollywood lights might be, fame, fortune, and the fabulous lifestyle that comes with it is no shield against misfortune.

Many of the “A” list celebrities are living under financial “caution” after the fall from the peak of the financial stability. This is the case when the peak is considered to be millions of dollars and the cause is the lavish lifestyle and financial mismanagement.

Johnny Depp is notorious for selling over $650 million and still having financial trouble. This is still the case when he over spent, had extravagant lawsuits, and claimed that his financial management team didn’t manage it well and he was being ripped off.

Most people think that Nicolas Cage is a financial disaster because he spent a fortune and bought everything from real estate to a dinosaur skull, this is only partially true, it was over spending on his lavish lifestyle and having to sell off a large sum of his estate that got him large tax debt.

Eric Cohen was once worth $70 million. His financial disaster happened in the 90s when he spent a lot, had a large entourage, and filed for bankruptcy.

In today’s world, 50 cent, who is from the same profession and filed for bankruptcy, also claims that his financial disaster came from spending a lot and having foolish business deals.

The truth is that many celebrities don’t just lose money; they lose money because they spend too much trying to maintain an image.

Celebrity status comes with the pressure to appear more successful than your peers, and that forces celebrities to partake in a never-ending cycle of extreme opulence.

Add to that undependable advisors or uncontrollable taxes and wealth can be lost at a rate much faster than it is obtained.

Financial ruin is among the most recurrent narrations in Hollywood in an industry that is founded on glamour. It is not merely an accident, but it is a lesson that discipline lasts longer than money even in celebrity.