Stars Who Have Lost Fortunes

Here's a list of stars who have lost fortunes. Or, in other words, people who have earned a ton of money, spent all of it and more, and are now in financial trouble. They list 19 celebrities in total, and here are some of the highlights:

• Nicolas Cage - In response to the suit, Levin maintains that Cage brought about his own financial ruin by living above his means, and that he had warned the actor to scale back his lavish lifestyle. The actor's purchases included said castles, 15 palatial homes, a large collection of yachts and a fleet of Rolls Royces.
• Joe Francis - The 'Girls Gone Wild' creator reportedly owes over $34 million in back taxes. Francis tells TMZ that the feds have frozen his various accounts amounting to more than $100 million and that he's planning to file for personal bankruptcy ASAP.
• Mike Tyson - The famous boxer reportedly earned $300 million in his career, but it wasn't enough to support a lavish lifestyle that famously includes pet tigers. He filed for bankruptcy in 2003, owing $27 million.
• Kim Basinger - Alec Baldwin's ex came across financial problems after reportedly buying the town of Braselton, Georgia for $20 million, then selling it for $1 million. Basinger filed for bankruptcy in 1993 when a judge ordered her to pay Main Line Pictures $8.1 million after backing out of a commitment to star in 'Boxing Helena.'

Other stars profiled include Lorraine Bracco, Randy Quaid, Don Johnson, Michael Jackson, Dorothy Hamill, Gary Coleman, Corey Haim, Burt Reynolds, Meat Loaf, Zsa Zsa Gabor, Wayne Newton, Mickey Rooney, MC Hammer, Willie Nelson, and Donald Trump.

To be fair, not all of the financial problems noted in this series were due to overspending. Some were simply poor management (like trusting the wrong person -- a crook in most cases) or business deals gone bad. And some of these people have popped back as well and are now doing fine. For instance, Trump seems to have fully recovered (and more) from his financial troubles.

That said, many in this group simply spent more than the tremendous amounts they earned. I know, it's hard to believe, but it can be done -- and they're proof of it.

I know I've said it a million times, but let's go for a million and one: if you earn a ba-zillion dollars and spend a ba-zillion and one dollars, you're going backwards financially. That's why I list spend less than you earn as my best piece of personal finance advice.

Comments

[Mrs. Money]

That is so sad! I wish celebs would get a grip :(

[Kyle]

it never ceases to amaze me how people continue to live to their income level. I guess I am just as guilty but I am still living within my means. Just because you have the money to buy a mansion doesn't mean you need a mansion. I wouldn't have anything to do with some of these palatial estates these people own. Give me a nice house on the beach and its gravy baby.

[MoneyReasons]

Boy talk about a money steam... The money flows into their hands and back out through their fingers...

Don't feel too bad for them, their bankruptcy isn't like our bankruptcy. Even in bankruptcy, most of these stars still have a lot more than us. The money is just tied up, like in those 15 homes that Nicolas Cage has...

[MC]

Yeah, but that Boxing Helena was one freaky, disgusting film. I don't blame Basinger from trying to get out of it no matter what the cost.

Of course, she also bought a town (!)--I can blame her for that.

[Noadi]

I suppose Joe Francis qualifies as a celebrity but I can't have much sympathy for someone who's obviously such an immoral sleazeball who should probably be in jail. Trump is another different situation because while famous he is a risk-taking businessman so while he failed spectacularly and certainly didn't expect to he knew the risk was there.

Most of this though I think is the rush of being famous and having lots of money when you don't have the financial know-how. Between not knowing how to handle it and there are going to be crooks willing to take advantage, some of them go down in flames. Same thing happens to less famous people just not so publicly. The one that surprises me actually is Nicholas Cage because he comes from a wealthy acting family so he should have learned what to expect from the rest of the Coppolas.

[Terry]

Is it better to have won a fortune and lost it or to never have wonb at all?

[kada]

By the grace of GOD we all travel on this earth. and nothing ventured, nothing gained.