Shaquille O’Neal has amassed a huge net worth of around $400 million dollars throughout his playing career and as an investor and businessman.
He has not been careful of his money early in his life and is well known to have blown $1 million dollar in one hour after he got his big payday.
As Shaq narrates – “I went through a lot of trials and tribulations. A lot of failures”
In this interview video, Shaq gives valuable advice to young people: “Alright children,” using a blank sheet of paper. “This is $100, What you want to do is, you want to rip the $100 in half.”
Take one half and “save it. Don’t ever touch it. Put it away. Don’t even look at it. Now you’ve got $50 left. Now, the smart people … the billionaires of the world, they’ll take half of that $50 and put all that away,” he says, while adding another quarter of the piece of paper to the “save pile.”
“This right here,” referring to the remaining quarter, is your fun money: “You want to buy houses, you want to buy cars, you want to buy planes, you want to travel? This right here is what you have fun with.”
O’Neal recommends only using 25% of your earnings and saving and investing 75 percent.
He finishes up with “A guy taught me that a long time ago, and it’s been working for me,”.
This is a wonderful advice and frankly it doesn’t matter how much you earn, what matters is how much you keep. While it may be harder for people earning less, the key takeaway here is to adjust your spending to a minimum to be able to save as much.
Watch the interview and advice of Shaq below:
