In 2017, the NFL Player Rep Meeting announced that the NFLPA would be pooling the Madden royalties to prepare for the 2021 Lockout. As the 2019 NFL Player Rep Meeting wrapped up in March, I was again reminded of the upcoming event. One of the sessions triggered an emotion in me. I consciously was aware that players were unprepared for the 2011 Lockout, but at that moment, I was consumed with passion as I knew that the Madden royalties alone would not maintain the average NFL lifestyle.
At that moment, the realization of the upcoming Lockout truly sank in...and it is time to take action.
It’s time to financially prepare for the future. As in any career, the future is uncertain but particularly volatile for the sports industry. Players need to be prepared for what is to come. The Lockout could potentially result in a long and drawn out litigation so it’s time to get ready!
NFL player Ryan Broyles created a simple, yet effective budget that athletes and their families could follow while he was in the NFL. Ryan worked with his financial advisor to make a budget that he and his girlfriend (now wife) could maintain while playing which would prepare their future-family for life after sports. He was able to save his money, invest in real estate in his home state, and retire after 3 years with over 40 rental properties and a restaurant in Oklahoma.
Real estate may not be your retirement path, but your true passions can easily turn into a great post-football career.
With the upcoming Lockout, players and their families need to look at the current health of their finances. This may mean a total overhaul for some, but it is imperative to just start the process and create a safe financial future.
When creating the ideal athlete and retirement culture within the financial, educational, interpersonal, social, professional, and physical opportunities, what you will see is that all of these opportunities have a common theme: money.
WAG Redefined’s mission is to change the way WAGS are perceived in society and the media, and the work starts with us WAGS. We have the power to shift the narrative, and that narrative begins with financial management. Financial management not only prepares your family for the Lockout but also prepares your family for the inevitable retirement from the League.
Remember this:
Three years after retirement, 78% of former players have spent all of their money. Within 12 years, 15% of former players file for bankruptcy.
Financial freedom will be the easiest way to accomplish success in the active and retirement culture.
Players are ultimately responsible for all their financial decisions. A player must be fully aware of where the money goes and how the money is being spent. Yes, it takes time, and yes, it is one more thing to add to his plate, but a question you must ask is: “Do you want to live like a king (and queen) for a year or a prince (and princess) for a lifetime?”
Budget Like You Mean It
Create, maintain, and update your budget based on the lifestyle of a non-athlete.
Don’t know where to start?
The average starting salary for a 2018 college graduate is about $50,000. That yearly salary may not seem like a lot of money, but you can harness the power of your collective personal and professional brands to create other streams of income.
Ryan Broyles’ Financial Advisor game him some advice that he used to shape his life: “Spend as you would like over the next few months. Figure out your means. Then set a budget, live within it and invest the rest.” He was able to create a budget for $60,000 a year ($5,000 a month).
WANT TO SEE RYAN’S BUDGET?
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Creating the Ideal Financial Team
Putting together a team of trusted advisors should not be taken lightly. Your financial future depends on being advised properly by qualified individuals.
A financial team would at the very least include a Tax Preparer (preferably a CPA) to handle any tax issues. An Estate Planning Attorney who handles wills, power of attorney, trusts, etc. And most importantly, a Financial Advisor to advise and monitor investments. This person should be the “financial quarterback” who helps tie everything together.
Your financial “dream team” will save you money and heartache in the long run.
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Money is a Mindset
Mo’ Money, Mo’ Problems... No Money, Po’ Problems. Either way please know that you are not alone. As an OG millennial, it helps me to see and hear about the successes and teachable moments from my fellow WAGS and players, and with our great WAGS community, we can really come together and achieve our greatest good (for each other and ourselves).
Leave a money lesson you have learned from wisdom passed down or wisdom gained in the comments below!
Sometimes we need a little inspiration to get in the mood to create a budget because let’s face it, there is nothing sexy about spreadsheet, debits, and credits. Budgets were typically hard for me to prepare for and maintain, but a good playlist would get my mind in the right place to prepare my future.
And #shoutout to @rappurview for the assist on the playlist!
WANT TO LISTEN TO AN INTERACTIVE SPOTIFY PLAYLIST THAT WILL HELP YOU GET IN THE ZONE WHILE YOU CREATE YOUR BUDGET?
Amber is a native Texan and University of Oklahoma graduate. Her work experience comes from various positions with the NCAA, NBA, AHL, and NFLPA. She is also married to S. Johnathan Reese, a Columbia University Athletics Hall of Fame member and retired Running Back for the New York Jets (2002 - 2004), Denver Broncos (2004), and Tampa Bay Buccaneers (2004). Amber lives in Antigua and Barbuda with her husband and together they host transition retreats for all NFL players and their families.
Her most recent experience at the NFLPA Former Players Department provided valuable insights into players' career evolution to better assist families in transition. Amber was also a panelist at the Inaugural WAGcademy Conference in July 2018.
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