The ever vocal, Kanye West, seems to have done it again. This time making headlines for his recent Twitter rant laced with personal financial woes. It doesn’t appear that he’s garnered too much sympathy or even empathy for that matter, but love him or hate him, you can learn a lesson or 3 from his current financial position.
1. It’s not how much you make, but how much you keep.
In 2015, Kanye made a reported $30 million. His $53 million debt in 2016 means he has substantially overspent and lived far beyond his means. He’s almost managed to double his income in debt! Usually with an increased income, people tend to spend more and more, not once considering the money they are throwing away and not setting aside for a rainy or even stormy day. It doesn’t matter how much money you make if you’re not doing the right things with it.
2. Poor financial decision will keep you from realizing your dreams.
Many people choose to live for today as far as their finances are concerned. Remember the abundantly overused term Y.O.L.O. (You Only Live Once)? Of course, you do! When we’re talking money, however, Y.O.L.O. is a no-no. Not having a plan for your money or only thinking about what you want today, will prevent you from having the things that matter on tomorrow. It’s estimated that Kanye spent a ridiculous $136,000 for flowers and food for his wedding! His desires to fund his creative objectives are presently on pause, as his lack of money is preventing him from doing so. (I wonder how much he could have made had he invested or tucked away that $136,000….hmmmm, that’s another post).
3. You can ask for help.
Although a public platform is not recommended, admitting and being honest about your financial position is the first step to recovery and improvement. Unfortunately, Kanye is asking for a handout from wealthier investors like Mr. Facebook himself, but that’s not the point here. He realizes he has made mistakes and that he needs help and is clear on just how much help he needs.
Be smarter than the college drop out.
Think about the last thing you bought yourself that wasn’t a necessity; the shoes, designer bag, or even that expensive luxury car. Then ask yourself, will any of those things matter to you next year? Will those same purchases keep you from being debt free?