Bow Wow seems to be hustling backwards these days. As a hip hop artist who’s easily grossed over $20 million in his career, he doesn’t seem to have anything to show for it these days. However, no one could have guessed the horror that TMZ uncovered: Bow Bow was only presently earning $48,000 annually and only had $1500 in his checking account. No wonder he snatched up a current hosting job at BET.
In Bow Wow’s condition, he needs every side job that he can possibly get his hands on: acting, dancing, bartending, waitressing, etc. We actually hope that he’s hiding more funds than what has been revealed because if not, he’s got an ultra hard life ahead of him. To have such little income in his checking account reveals extremely poor spending habits. The average person would have even more money than that in their accounts.
Bow Wow has hit the news before with his financial troubles, so it’s only natural that the troubles keep coming for him, since he failed to correct the behavior. Why these celebs fail to correct their behaviors while they have money will continue to puzzle us. Instead they continue to recklessly spend their way to the bottom.
In our books, Bow Wow is broke. We don’t care what new job he has. We don’t care if he’s earning a hefty $200,000 a year. If he’s spending $300,000 a year on toys, he’s just as broke as average Average Betty earning $50,000 a year, spending $75,000 a year. These celebrities aren’t even buying their homes in full, the most valuable asset they could ever possess. Yet, they’re decked to the brim in the latest gadgets, jewelry, clothing, and cars. We’ve witnessed Bow Wow over the years fall victim to this behavior, and now we all get to witness the results of it.
As if things couldn’t get any more embarrassing for Bow Wow, the CEO of the record label that he’s signed to didn’t even know he was signed with them. You can imagine the lack of career that’s in store for him at that label as they can’t be bothered to remember their employee. It’s probably best at this point for him to kiss his rap career good-bye.
Instead of chasing a dead career and dwindling money pool, Bow Wow should get smarter about his money. Since that’s probably not happening, we’ll share it here for those that actually want to have more than $1500 in their checking accounts before their career goes South.
1. Diversify your Income: You’ll want to do this as much as possible. Take your strengths and capitalize off them. Consider freelancing, teaching, or selling your services or products online. Strike while the iron is hot. If there are options to create passive income, then you should go for it. The more income you can earn from becoming independent from working for it, the better.
2. Every Dollar is Not Yours: Remember that. Repeat it over and over again. If someone earns $100,000 a year. Much of it isn’t even theirs. Once you take away taxes, bills, and the essentials, you have much less than half left. If you take the remaining and give it away in exchange for designer clothes, gadgets, and toys, then you will have a sad life ahead of you. Make your habit of paying yourself super easy. Automate it by having your employer deposit 15 to 25% where it needs to go: investment and accounts. If Bow Wow had saved 20% of his earnings, he’d have saved away $4,000,000, which would have accrued compound interest beautifully and earned him over his entire lifetime’s earnings by the time he hit retirement age.
3. Correct the Behaviors At the Earliest Sign: Just received your third overdraft bank charge? Are overdue bills occurring often for you? Does your credit card balance continue to go up each month? These are big red flags that are not to be ignored. If you cannot get control of your finances, seek out the help of a financial advisor or find peer advice in financial communities online.
Follow these steps and you’ll be well ahead of the pack. Then you too can laugh uncontrollably at the celebrities who stupidly squander away all of their pennies.
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