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How is Carlos Rogers (and other pro athletes) in debt?


capcrunch98

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I read the Hogs Haven article which noted that Carlos Rogers is in debt and living with Jason Campbell, and on the Junkies this morning the number he casually threw out there for signing bonus (based on what he views as contracts recently received by comparable CBs) is $20 million.

I know lots of former NFL players are struggling financially, and of course you always hear about lottery winners who go broke within a few years of hitting the jackpot. But I haven't heard too much about current players, who are still drawing million dollar salaries, being in debt. How could these guys piss away all that money in such a shirt period of time? Is it extravagant purchases? Trophy girlfriends and hanger-on pals? Do they get involved in business transactions they don't understand? Maybe a combination of it all?

Sorry for the vague and maybe naive question, but I just don't get it.

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I know lots of former NFL players are struggling financially, and of course you always hear about lottery winners who go broke within a few years of hitting the jackpot. But I haven't heard too much about current players, who are still drawing million dollar salaries, being in debt. How could these guys piss away all that money in such a shirt period of time? Is it extravagant purchases? Trophy girlfriends and hanger-on pals? Do they get involved in business transactions they don't understand? Maybe a combination of it all?

Sorry for the vague and maybe naive question, but I just don't get it.

All of the above can be factors. Mark Brunell made some bad investments, Antonio Cromartie will inevitably be left with nothing due to child support, and Carlos Rogers seems to just assume that he'll have a high positive cash flow forever and is free to buy expensive toys and drop absurd amounts of money on his nights out on the town as he pleases.

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While I agree that it is hard to comprehend why or how one could be in debt so quickly after making millions of dollars. I think a large part of it is some of the athletes growing up dirt poor then having millions of dollars thrown at them. Imagine growing up living in section 8 housing than having someone come along and throwing 1 or 2 million (on the low end) at you as a signing bonus. My guess is that you wouldn't know how to save/spend it wisely.

Now granted not ever NFL player is like this but I think a larger majority then we think are. I could be completely wrong though as well.

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While I agree that it is hard to comprehend why or how one could be in debt so quickly after making millions of dollars. I think a large part of it is some of the athletes growing up dirt poor then having millions of dollars thrown at them. Imagine growing up living in section 8 housing than having someone come along and throwing 1 or 2 million (on the low end) at you as a signing bonus. My guess is that you wouldn't know how to save/spend it wisely.

That's a good point, but most of these guys go to college, and I believe the NFL has mandatory financial management seminars during the rookie symposiums. You would think this would be enough to at least instill some sense of maturity and fiscal responsibility in these guys.

To think that someone who makes as much money as Carlos Rogers couldn't tuck away a few hundred thousand dollars (which represents a tiny fraction of the money he has pulled in over the past 5 years) for a rainy day is unbelievable. I guess he's just not very smart.

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Carlos Rogers isn't very bright I guess. How do you lose all your money and think that you should get paid a big contract with stone hands? I guess he will be still in debt after he gets another contract because he won't be getting a huge contract he thinks he will.

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carlos is most likely a stupid individual who has no concept of money or how to use it.

call me a dick, but thats most likely the way it is.

You're probably right. Unless he got swindled in a Bernie Madoff-type scheme, he likely has nobody to blame but himself.

The Hogs Haven article says it is "well-known" that he has money problems. That to me says he is probably constantly spotted around town (at expensive clubs, strip joints, etc.) throwing around a lot of money.

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carlos is most likely a stupid individual who has no concept of money or how to use it.

call me a dick, but thats most likely the way it is.

Sums it up for me!!

And i should say i dont feel sorry for him at all. It's pathetic!

Yep. You both took the words right out of my mouth (or typing fingers in this case). Although, BLC, I would not have used the words "most likely" in your statement.

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Basically consumer credit is the monetization of expected future earnings to use for high order consumption (buying final goods and services) as opposed to using it to lower order consumption (real investment in resources intended to create future positive cash flows). If the flow of expected future earnings is disrupted, since with consumer credit you are burning future assets, you will not be able to continue the high order consumption and very likely not be able to manage low order consumption. However, the higher the expected future earnings, the more your going to be able to burn.

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Basically consumer credit is the monetization of expected future earnings to use for high order consumption (buying final goods and services) as opposed to using it to lower order consumption (real investment in resources intended to create future positive cash flows). If the flow of expected future earnings is disrupted, since with consumer credit you are burning future assets, you will not be able to continue the high order consumption and very likely not be able to manage low order consumption. However, the higher the expected future earnings, the more your going to be able to burn.

What in the bumlaclot did you just say? :ols:

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I lean toward the players a bit in the lockout dispute and say they should try to get what they can, but stories like these just kill me. If you waste money like that you almost need to be treated like a child and have the money put away and they give you an allowance to live off of. He better not be ****ing when he gets older about how he cant pay his medical bills and needs help.

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Carlos Rogers doesn't exactly come across as a Mensa candidate, so it's not altogether surprising that he would be hurting financially. But Christ, what are player agents for if not to keep their clients out of situations like this?

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When I was 21 I was making over 200K per year.

Peanuts compared to a pro athlete, but a good amount of money nonetheless.

That said, I have nothing to show for it now. Nothing at all, well except for a couple nice suits and some $500 shoes:ols:. Making that much money before learning how to manage it is a recipe for disaster.

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