Alyssa Milano, Johnny Depp, Rihanna, Lindsay Lohan and others who have mismanaged their money
The lifestyles of the rich and famous can pave the way to financial ruin.
From excessive globetrotting to supersized shopping sprees to trusting the wrong people, celebrities often lose sight of how much they’re spending and where their money is going. Here are 10 celebs who have had money troubles recently.
The actress filed a $10 million lawsuit this month accusing her business manager and accountant of forging her signature on checks, failing to pay overdue bills and federal income taxes and directing her to make investments in businesses in which he was an investor—a detail he allegedly failed to mention. These reported actions left Milano and her husband “with millions of dollars in debt and their credit in ruins” the lawsuit alleges. Milano’s business manager and accountant declined to comment on the matter, according to Page Six, saying, “I’d like to say something,” he said. “Obviously a lot of it’s like the Johnny Depp situation. I can’t say anything just yet.”
Lavish spending is what reportedly led the Pirates of the Caribbean actor into financial turmoil. After shelling out $18 million on a yacht, $30,000 a month on wine and $300,000 a month in salaries for his 40-person staff, Depp’s $2 million dollar per month lifestyle finally took its toll. He was also ordered to pay ex-wife Amber Heard a $7 million settlement in August of 2016 — sending him into even deeper debt.
Financial woes have a habit of following the youngest Baldwin brother. He’s failed to file tax returns, stopped paying his mortgage and defaulted on a $812,500 loan.
In 2015, the “Get Rich or Die Tryin’” rapper, whose real name is Curtis Jackson, filed for bankruptcy, citing $36 million in debt. That same year, he was ordered to pay $7 million to Lastonia Leviston who sued him for posting a sex tape. Fortunately for Jackson, his bankruptcy case was discharged after he was able to pay his debtors back ahead of schedule.
Relying on her financial advisor Peter Gounis of Berdon may have been a big mistake for Rihanna. The singer lost $9 million in one year after she claims he encouraged her to buy a Beverly Hills home for $7.5 million when she was actually running out of money. Gounis denied allegations of negligence, breach of contract and other charges in the suit and filed a motion asking the judge to dismiss the case. The two parties eventually resolved their differences.
The Tennessee-based rapper filed for bankruptcy after failing to pay income taxes and owing $117,000 to rapper 50 Cent.
Erratic behavior and wild spending habits are among the reasons that Lohan has reportedly been on the brink of bankruptcy for years. Multiple arrests and pricey stints in rehab have also taken a toll on the actress’ bank accounts.
In 2011, Montag and her husband Spencer Pratt came close to filing for bankruptcy after the reality star spent $30,000 on plastic surgery. Careless spending on food, alcohol and clothing cost them nearly all of their $10 million fortune.
Like some of the world’s most powerful men do, West took to Twitter in 2016 to declare his $53 million personal debt. A string of events including an atypical release of his Life of Pablo album and a lousy debut of his Yeezy Season 3 line both contributed to Mr. Kardashian’s downward cash spiral.
The singer filed for bankruptcy twice after admitting to suffering from a serious shopping habit where she indulged in 1,000 thread-count sheets and decorative Faberge eggs. After a diagnosis with mircovascular angina, Braxton was forced to cancel a Vegas residency leaving her in debt with her vendors.
© 2018 Dow Jones & Company, Inc. All Rights Reserved