Shaquille O’Neal Breaks Down How NBA Players Go Broke: “It’s Easy To Spend $100 Million”

Shaquille O’Neal explains why $100 million disappears faster than expected.

4 Min Read
Mandatory Credit: Kyle Terada-Imagn Images

When Shaquille O’Neal says it is easy to spend $100 million, it lands differently than when almost anyone else says it. Shaq lived the superstar life, earned nearly $300 million in NBA salary alone, and still admits that the money can disappear far faster than people imagine if you are not prepared for reality.

In a recent interview with FOX26 Houston, O’Neal expanded on a comment made by Odell Beckham Jr. about how quickly massive wealth can vanish.

“Three words. One, listen. Two, annuities. And three, save. I heard Odell Beckham say the other day, it’s easy to spend a hundred million. He’s correct. If you understand business, EBITDA, and all those business terms, a hundred million isn’t a hundred million net. You have to pay taxes.”

“A lot of people don’t know that as athletes, we have to pay an entertainment tax in every city we perform in. So we’re paying a lot of taxes, supporting families, and we like our jewelry and cars. That money disappears fast. You have to teach yourself about business, investing, and saving.”

Shaq recalled learning this lesson the hard way early in his Lakers career. He believed he was walking into a $20 million payday, only to discover that more than half of it was gone once taxes and deductions were applied. California alone took a massive cut, and that did not include the additional taxes from road games or league-related expenses. What looked like generational money on paper shrank dramatically in real life.

That realization explains why so many former NBA players struggle financially after retirement. The money coming in is massive, but so are the expectations. Families expand. Friends appear. Lifestyles inflate. Jewelry, cars, homes, and constant travel quickly become the norm. Shaq pointed out that none of those choices are wrong by themselves, but they are dangerous when paired with a lack of long-term planning.

Another major issue is timing. NBA careers are short. Even long ones end abruptly compared to normal professions. Many players earn most of their lifetime income before the age of 35, yet spend as if the checks will never stop. When retirement hits, the expenses often stay the same while the income does not.

Shaq’s story diverges because he adjusted early. Losing millions to taxes forced him to rethink how he approached money. Instead of seeing his NBA salary as spending money, he began treating it as capital. He learned about investing, ownership, and patience. He listened more than he talked. He asked questions that many young stars are too proud to ask.

That shift turned him into one of the most successful post-career businessmen in sports. His $400 million wealth today does not come from basketball checks, but from franchises, endorsements, and smart investments built over decades.

Shaq’s warning is not meant to scare players away from enjoying their success. It is meant to ground them in reality. The league is filled with cautionary tales of players who earned tens of millions and still ended up broke. According to O’Neal, the reason is rarely bad luck. It is usually a lack of preparation.

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Vishwesha Kumar is a staff writer for Fadeaway World from Bengaluru, India. Graduating with a Bachelor of Technology from PES University in 2020, Vishwesha leverages his analytical skills to enhance his sports journalism, particularly in basketball. His experience includes writing over 3000 articles across respected publications such as Essentially Sports and Sportskeeda, which have established him as a prolific figure in the sports writing community.Vishwesha’s love for basketball was ignited by watching LeBron James, inspiring him to delve deeply into the nuances of the game. This personal passion translates into his writing, allowing him to connect with readers through relatable narratives and insightful analyses. He holds a unique and controversial opinion that Russell Westbrook is often underrated rather than overrated. Despite Westbrook's flaws, Vishwesha believes that his triple-double achievements and relentless athleticism are often downplayed, making him one of the most unique and electrifying players in NBA history, even if his style of play can sometimes be polarizing. 
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