Dwyane Wade’s Secret To Financial Wellness

Dwyane Wade, former star of the Miami Heat, is one of South Florida’s most beloved sports figures.

I probably don’t need to tell you how much we love Dwyane Wade here in South Florida.

For most of his career, Wade played for the Miami Heat in the National Basketball Association (NBA), winning three NBA championships. I was lucky enough to see him play in his rookie season right after he joined the Heat. You could already tell he had the makings of a star.

But like many professional athletes, Wade found the road to super-stardom rocky and full of financial traps.

Check out our blog article:
How Professional Athletes Go Broke (But You Shouldn’t)

“Overnight, Wade went from unpaid NCAA athlete to a professional ball player, signing a multi-million-dollar contract,” writes Josh St Clair in a recent profile in Men’s Health.

In the beginning, Wade found it easier to make money than to hold on to it.

His goal was to save half of the reported $2 million he made in his first year. He ended up spending all of it, writes St. Clair.

He gambled with teammates and indulged in a 16-car collection that included an expensive Maybach.

Dwyane made millions over his career, but he says he had to learn the hard way the financial discipline needed to hang on to his fortune. Once he started working with a financial advisor, the path got easier.

Now he understands, says Wade. “The secret to financial wellness is to have a plan.

Working with his financial advisor, he knows how much he can spend each quarter. If he goes over that amount, he has to bring in some extra income so he doesn’t dip into his portfolio. Retired at age 38, he knows he has a long road ahead of him.

That 16-car collection has been whittled down to only one, an Audi Q8. 

And Wade has moved on to more meaningful purchases. The best things he’s used his money on? He says it’s buying both his mom and his dad their first paid-up homes, and paying for his kids to get the education he never had. Maybe a little too much education, he jokes. “To the point where my kids at a certain age—about 10—feel like they’re smarter than me,” says Wade.

The Takeaway: Even professional athletes understand the importance of setting monthly spending caps to control their spending, and sticking to a long-term financial plan to keep them on target. You can benefit from doing the same even if you’re not a sports super-star.

Check out our blog article:
Why NFL Athletes Go Bankrupt, And What You Can Learn From Them

 

 

About Mari Adam

Mari Adam, Certified Financial Planner™ and President of Adam Financial Associates Inc, has been helping individuals and families chart their financial futures for over twenty-five years. Have a question about your financial situation? Ask Mari!

, , , , , , , ,

No comments yet.

Leave a Reply