It should be no surprise that NBA players, like most typical professional athletes who earn millions, are huge spenders. But what do they actually spend their money on?
According to Personal Capital, a San Carlos-based digital wealth management firm, they mostly use their money for clothes, shoes and really expensive cars, reported the San Francisco Chronicle.
In addition to giving financial education seminars to all league players, the firm also provides a free spending management tool that allows users to manage their income, spending and saving targets on a daily, weekly and monthly basis. Over 50 players have consistently been using the tool to access and manage their bank, savings, credit card and other accounts.
The collected data from the proprietary budgeting tool has provided an interesting glimpse on how NBA players typically spend their money.
Based on the collected data from December 2015 to March 2016, a basketball athlete spends an average of $42,500 per month.
The tool revealed that aside from shoes and clothing, players also spend their money on cars, trips, fine dining, charity, entertainment and personal care.
Based on the same data, the top merchants were Express, Whole Foods Market, ESPN, Neiman Marcus, Delta Air Lines, Louis Vuitton, American Airlines, Apple, Walmart, Mercedes-Benz, Target and Best Buy.
Mark Goines, Personal Capital’s chief marketing officer, pointed out that saving money “did not make the top 10,” and also stressed that since the players are in their 20s and 30s, they are expected to be spenders.
They have a unique income and expense circumstances,” Goines said. “The goal is educating the players about where they are in their financial lives, cope with sudden wealth and hopefully gain a longer term perspective.”