EA$Y COME, EA$Y GO

Many people place a lot of emphasis on the income of professional athletes, and rightfully so. But what many people don't realize is the tremendous 'change' which occurs after a pro athletes extremely brief peak earning period.

As I've mentioned in many of my presentations, 'I don't care how much money you make....taking over a 90% pay cut is a major lifestyle change no matter how high your previous income.' This pay decrease is exactly what occurs when an athlete transitions from professional athletics and sometimes more. As an easy example; let's say a professional baseball player makes the MLB league average of about $3.2 million dollars a year for two years (about the average length of a pro athlete's career). Let's say this athlete was extremely smart and saved 20% of that income (rare, but let's dream a little), giving him approximately $1.28 million in the bank. At 4% this athlete could generate about $51,200 annually from interest...quite a far-cry from their $3.2 million salary, but a decent income for many nonetheless. Let's say this athlete finds some type of sales position and makes the entry-level average income for sales positions of $30-$100k per year (many athletes choose this type of position because of name recognition and their former pro status opens many doors). At 24 or 25 years of age their income realistically goes from $3.2 million to $81,200-$151,200 per year...which is a 95%-98% decrease in salary following their pro sports career.

No wonder there is a laundry list of former pro athletes who are now bankrupt and the exit stats are sobering.

- 100% of professional athletes ultimately experience job termination
- 25% of NFL players are bankrupt within the first year out
- 60% of NBA players are broke within five years
- over 75% of NFL players are broke within two years
- up to 80% experience divorce

I'll be the first to admit not ALL of the financial troubles haunting former professional athletes comes from the practical sense and extreme loss of income. Many an athlete have made poor decisions or entrusted people such as the case of former NBA player Latrell Sprewell who turned down a $30 million contract extension toward the end of his career simply because it wasn't enough and stated, "I have a family to feed...(they) better cough up some money. Otherwise, you're going to see these kids in one of those Sally Struthers commercials soon." (referring to the ChildFund International commercials for deprived children around the world) The upper management didn't offer him one more cent and he became quickly unemployed with many possessions, including his yacht, repossessed by federal marshals and two homes foreclosed on. The ultimate example of poor money management and direction still reigns with boxer, Mike Tyson, who reportedly earned over $400 million during his boxing career spending almost every penny of it and eventually losing most of the possessions purchased with it.

So whether a pro athlete is really 'good' with their money or not, the substantial loss of income poses some practical and adverse challenges following their pro sports careers and warrants as much emphasis as the attention provided to those extravagant incomes.

You can find out more about me, my best-selling book, TV show, and services at:
www.fromglorydays.com

$ Money Isn't Everything $

Money isn't everything.... or is it? As another symbolic 'tax day' comes and go I thought it appropriate to talk about money and pro sports (as many athletes may be writing large checks to the IRS).

With the NFL veteran minimum over $800,000 annually, NHL team caps over $50 million, the top annual NBA salaries over $19 million, and some select MLB contracts approaching the moon, money does appear to be a focal point in professional athletics. But what many people don't realize is that many professional athletes only make a fraction of these well-publicized salaries. The median professional athletes' salary in the United States is $28,567 as reported by a CNN Money report. Let me clarify, this median is based on ALL professional athletics in America, which includes everything from gymnastics, swimming, bowling, all the way to the major sports of football, basketball, baseball, and hockey. Hard to believe it is so low, isn't it? Especially since the majority of the contracts we read and hear about in media are astronomical.

Former Tennessee Titan quarterback, Vince Young, is well above this median salary when he signed a $58 million contract some years back. So what's my point?

My point is this... This is the same Vince Young who returned to his University of Texas alma mater in order to complete his remaining academic requirements so he can graduate with a Social Work degree. You might ask, why on earth would a professional athlete with a $58 million contract go back for his Social Work degree? Is it because he read the same CNN Money report and noticed the median salary for a social worker is $13,586 higher than a professional athlete? (I'm not kidding, its in the same salary report) Maybe he felt it might give him something to fall back on if this professional athlete thing didn't work out?

I highly doubt it.

So why on earth would this premiere athlete say "no" to all of the other things he could do with his free time in order to focus on his studies. Well, to express the reason accurately, I believe it needs to come directly from Vince Young, himself. "It's not about the money and fame," Young said. "It's about education." He went on to explain that he wouldn't feel comfortable talking to kids about the importance of education if he didn't complete his own.

So whether it be the pursuit of education, lucrative business, charity, or whatever...Money truly isn't the only factor to being a professional athlete. Many current and former professional athletes would support Vince Young's thinking and indicate it in my book, FROM GLORY DAYS - Successful Transitions of Professional Detroit Athletes.

You can find out more about me and my book at: www.fromglorydays.com

Still got your fight?

Something I've learned through my experience as a professional athlete, the research for my book & TV show, and my consulting work with world class athletes is.....you need to work for everything you get. Rarely, if at all are opportunities simply handed to you as an athlete, and the higher you go...the more you need to fight and work and take success when provided the chance.

This said, its encouraging to see certain athletes maintain this level of 'fight' even following their high caliber sports' careers. The best transitioning athletes apply this principle into the next phase of their lives in order to find SUCCESS again.

This couldn't be more evident or literally true than in the case of former football standout, Herschel Walker. The former NFL and college star recently took his 'fight' into a Mixed Martial Arts ring in San Jose, California...at 48 years old....knocking his opponent silly until the referee stepped in at the 3:13 mark of the first round in order to save him from further pounding. This fight now makes Walker 2-0 in MMA competition, as he looks to move forward with this career. Walker's first victory came when he physically took over someone 20 years his youth.

"MMA is my love," Walker stated when asked about a possible NFL return.

Herschel Walker's MMA exploits certainly add to an already unbelievable athletic resume. A decorated career at the University of Georgia, college Hall of Fame, Heisman Trophy winner, 15 seasons of professional football, and even an Olympic appearance on the U.S. Bobsled team.

Though, I certainly wouldn't recommend a MMA career for every former professional athlete, Herschel Walker has flat-out proven he still maintains a lot of 'fight' for his continued success. Something perhaps we could all take a lesson from....

You can find out more about my best-selling book, TV show, and consulting at: www.fromglorydays.com

SuperBig after the SuperBowl

This week is arguably the largest single sporting event of the year. As I read a large number of pre-SuperBowl articles I found an article which talked about the large concerns for the large number of NFL linemen who were prone to a large number of significant health issues, like enlarged hearts and other cardiovascular diseases.

Imagine that! These large professional athletes, known for their elaborate physical conditioning and disciplined carnal workouts now facing heart disease. It just didn't make sense....until I read on.

Linemen, being the largest of the NFL crew, typically tip the scales between 300 - 350 pounds (that's minus their equipment). It is a position that encourages weight gains and girth. If NFL linemen were totally subject to the Body Mass Index (BMI) used by the U.S. Department of Health and Human Services, they would all be classified as obese. Thank goodness they don't abide by that index, but their risk factor for metabolic issues increases substantially because of their larger body size. These metabolic syndromes include such issues as an enlarged heart, sleep apnea, abdominal obesity, and high blood pressure.

To top it off, many of these athletes leave with chronic joint and bone injuries, because of the nature of the game, making any type of exercising after their retirement next to impossible. Fifty-five percent of NFL linemen have a metabolic condition compared to twenty-two percent of other retired professional athletes.

Man, are you sure you still want to be an NFL lineman? Of course you do, but it's important to be aware of the many issues and pitfalls that can sub come ALL professional athletes, especially once those glory days are gone.

Remember my credo..... 100% OF PROFESSIONAL ATHLETES ULTIMATELY EXPERIENCE JOB TERMINATION? Whether it be 15 years or 15 days, a professional athlete's career will eventually be over.

Going from an NFL linemen, larger than life, to simply large would be an adjustment for anyone. In addition to the potential physical ailments there is; bankruptcy and divorce, often a lack of purpose and depression, incomplete education and career planning, and the list can go on. Always keep in the back of your mind that being a professional athletes is only temporary. It will eventually end and it's important to have a PLAN or least an idea before it gets to that point. A PLAN that addresses the physical, emotional, and practical part of this transition.

And with increased health risks for NFL linemen, it appears that the larger the athlete the larger the need for a PLAN. A large paycheck simply isn't enough to address the larger issues that can occur.

My SUCCESSFUL TRANSITION PLAN FOR PROFESSIONAL ATHLETES addresses the emotional, financial, and physical issues that arise from a transition out of professional sports. The twenty featured former professional athletes found in my book, FROM GLORY DAYS, have once again found success by using traits that I now use in my PLAN.

Stay tuned for more discussion in future posts. In the meantime, visit our website to find out more about me and my book. www.fromglorydays.com

Spoiled Rotten?

Many people would argue that the professional athlete of today is spoiled rotten. Think about it...NFL players have managers and trainers squirt water into their mouths during time outs while on the field, NBA players have people constantly picking up their warm-ups and shirts the moment they drop them on the court sideline, NHL players have people who carry and take care of those huge equipment bags, and MLB players expect to have clean clothes every time they show up to the stadium. Many athletes get preferential treatment by local restaurants, organizations, businesses, and sometimes even media. They not only receive free shoes, but are paid well to wear them. (I'll never forget the day I had to purchase a pair of basketball shoes with my own money. After so many years of free stuff it was very sobering).

Often the emphasis and focus of today's professional athlete is the exuberant contracts and salaries, but we overlook the practical and often time emotional side of playing sports for a living. On the long list of things professional athletes miss after the final horn has sounded is the magical disappearance of what I deem the "catering service." Free meals, free equipment, bags carried, clothes washed, first-class travel,...and the list goes on. Sure, a huge cut in pay is high on the "What-I-Miss-Most" list, along with hanging out with teammates, but the practical side of a professional athlete's transition from sports is exactly that..."Practical." 'The little things that have been taken care for me' no longer exist and an athlete is expected to function just like every other Normal Joe and take care of their own business. Something foreign to athletes by the time they depart.

The major sports organizations and player's associations are doing much to address the finances and training needed to assist with this transition back into normal, everyday life, but I don't hear people talking about or addressing the practical side of this transition. At least, if they are it's not well-publicized. So whether professional athletes of today are spoiled rotten depends on who you talk to, but bottom-line is this....coming back into the "real world" could be a rude awakening and athletes should be aware and prepared for this reality.

To find out more about me and my book go to: www.fromglorydays.com

TRANSITION PLAN FOR PROFESSIONAL ATHLETES

What if, just like in the world of sports, we could award our co-workers, colleagues, family, and friends with accolades such as Hall of Fame, All-Star, or a World Champion status? Wouldn't that be something? It would set them apart from the normal, everyday people that circle in and out of our lives on a daily basis. It would provide an identity that typifies excellence and exemplifies success. It would allow a standard of superiority above all others. Wouldn't that be something?

Well, I'm not sure how we would set up the committees to vote for All-Stars or brackets to determine a World Champion, but I'm confident that having such acknowledgments and awards for normal, everyday life might provide a much needed motivation for many former Hall of Fame, All-Star, and World Champion professional athletes who are eventually confronted with the reality of a new phase in their lives....back to the real world, post sports. Unfortunately, there is no proverbial Hall of Fame or World Champion status to pursue in the professional athletes' life thereafter.

So what on earth is a former professional athletes to do?

Well, I believe I have found the answer....but before I press on, let me introduce the credo I adhere to when discussing this topic and professional athletes.....100% of ALL PROFESSIONAL ATHLETES ULTIMATELY EXPERIENCE JOB TERMINATION! There's not too many absolutes in this world, but that is one of them. Having said that, here is what I've discovered.

Through my own experience playing professional basketball, my training and work as a human behavior specialist, and the research and interviews needed to write my book about the SUCCESSFUL transition of twenty former professional athletes, I've discovered a lucrative pattern with the professional athletes who've found success after the final horn's sounded on their athletic career. For simplistical purposes, I've created an acronym to assist in detailing this pattern of success, which I title my R.U.L.E.S. for Success. I use the acronym; R.U.L.E.S. to describe the PLAN and this is a snapshot of it...

R - Refocus
I've discovered that every former professional athlete who's refound success has refocused. And the best way to refocus is to set new goals in order to develop a new sense of purpose.

U - Use Your Network
Professional athletes have a vast Network of connections developed throughout their careers and tapping into this network of people to assist when working toward their goals can be beneficial.

L - Let Go
This one speaks for itself, though it is undoubtedly the most difficult task to accomplish. Letting go of the glory days and overcoming the denial which precedes that event is arguably the highest mountain to climb.

E - Execute
Simply put..."Knowing what to do isn't good enough if you don't have the discipline to do it." (To quote a great coach whose path I once crossed)

S- Someone
The former professional athletes who once-again discovered success found a mentor, someone they could learn and grow from, especially those first years out.

Of course, there is more to each part of the PLAN, but hopefully this gives you a rough idea. R.U.L.E.S. I've found that this PLAN is consistently executed by those former professional athletes who have found success in the next phase of their lives, and many of them didn't even know it.

Even though this PLAN was created to assist former professional athletes' in their bid for new success, it can be applied to many facets of life and those dealing with their own transitions.

My hope is that this PLAN can assist anyone who needs it....

My other hope is to see you next month on this blog....but in the meantime, feel free to visit our website, to find out more about me and the book.
www.fromglorydays.com

Where's My Money?

"Where's My Money?"

Unfortunately, this is a question asked too often by current and former professional athletes. With the average salary for football, basketball, baseball, and hockey in 1967 being $20,000; $100,000 in 1980; $1,000,000 in 1995; and currently $5.4 million for basketball, $3 million in baseball, and $1.4 million in football management of large sums of money becomes paramount. In a recent article focused on pro athletes and their money, one of the largest areas of misappropriated money fell under one category... The Entourage. Many pro athletes as well as entertainers surround themselves with anywhere from one to a 200-person entourage to assist in the day-to-day and long term events. Despite having many members of these entourages being close friends and family members, admittedly, many are along for the easy ride and cash cow.

Where does this entourage money go...many different paths. Housing, travel expenses, and food seem to be the biggest culprits. Just getting tickets for games can be a major expense. As an example, the NBA allows players four tickets for home games and two per away games. The NFL allow two tickets for home and none for away games. If an athlete is paying $80 per ticket for the ten to twenty friends, family, or other entourage members, it adds up quickly throughout the course of a season and comes directly from an athlete's own pocket.

Professional boxer, Oscar de la Hoya dropped ten members from his entourage, mostly consisting of friends, and saved nearly $400,000 a year in food, housing, and travel expenses. Who couldn't use an additional 400 grand in their pocket no matter how much income you have?

As agents and leagues are becoming more proactive and aligning athletes with financial advisors some of the money direction is left up to personal choice. Wise athletes create their entourage of salaried positions, each given a specific task from personal assistance to publicity to nutrition to physical training. With the average personal assistant salary ranging from $30,000 to $50,000 annually, some positions include incentives such as sharing appearance monies, thus looking to create an attitude of, "the more money you make for me the more you get" situation. Another huge piece of advice by agents and financial advisors is to only recruit freelancers as needed. Another successful money management idea is to designate a supervisor. A well-trusted long-time friend or family member that will do the dirty work. Keeping a tight lid on the finances and keeping the entourage in line. Most athletes would gladly give up that aspect of money management as their focus and energy needs to be on their athletic profession.

So whether your entourage is one or one hundred, based on your business needs, use some of these timeless pieces of entourage advice so you're not saying, "Where's My Money" anytime in the near future.

You can find out more about me and my book at: www.fromglorydays.com