Joe Smith's eye-opening claim about his money struggles during his NBA career
09/12/2024 05:34 PM
Retired NBA journeyman Joe Smith is opening up about his money struggles amidst his 16-year NBA career. Smith reportedly lost over $61.2 million during his playing days. He joined former NBA All-Star host Dwight Howard on the Above The Rim with DH 12 podcast to break down his financial losses throughout his professional career.
“It's obviously broken down yearly first. I think the most I made was $6 million a year. So I was at $6 [million]. That was cut down to 3 [million] already. So after that $3 [million], you gotta pay agents. So, that's 2% of that $6 [million] from that $3 [million] that's being chopped in half. So that's coming off the top, too.
“With my deal, it took me almost three years to become a millionaire, and I was making $3 million a year because of all the taxes. So, it's not like unless you got a major deal. If you got something like that, my rookie deal was three years, $9 million.”
Howard, who last played for the Los Angeles Lakers in 2021-22, played 18 years in the NBA. He related to the struggles many players go through during their professional careers.
“This is why I hate the fact that anytime somebody’s getting paid, especially they do it a lot with the NBA and NFL, it’s plastered everywhere. I don’t see it [in other leagues],” Howard said. “They’re not plastering what they’re making. They’re not plastering all of the things that’s going on. And, they’re not telling the world the stuff we have to go through to be able to get our checks.”
Agent, marketing, and lawyer fees tend to add up for NBA players. Howard also mentions that if someone were to sue an NBA player, that individual would have to pay for his and the plaintiff’s counsel because they’re typically in a higher tax bracket.
“It’s like we have targets on our backs,” Howard added. “And somebody’s always looking for a way to scheme and always get to us no matter what it may be.”
Joe Smith lost $61.2 million during his NBA career
After earning $61 million in 16 years, Joe Smith’s money struggles peaked when he had $3,000 in his bank account and owed over $150,000 in debt, according to an interview with Vlad TV. Smith admitted that reckless spending, bad investments, and a costly divorce contributed to his money struggles.
However, in his interview with Dwight Howard, he advises NBA players today to create boundaries between friends and family for their peace of mind.
“The best boundaries you can probably have is your teammates,” Smith said. “That’s the best boundary you can have.”
Smith isn’t ranked among the NBA players who lost the most money, but he still hopes his cautionary tale will help others.
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