Celebrities make millions of dollars each year, so it’s hard to imagine them struggling to pay their bills. Just because someone has a lot of money, however, doesn’t mean they know how to manage it. These 7 stars have somehow spent almost all their money without saving or investing, leaving them in deep financial trouble. Check out which celebrities need to hire an accountant to keep a close eye on their spending!
To see who’s struggling financially in the fashion industry, check out Be Voguish!
From her drug use to her DUIs to her problems with theft, Lindsay Lohan has faced plenty of legal trouble over the past several years. Now, the failed actress is facing financial problems too. Her bank accounts were seized by the IRS in December 2012. After failing to pay taxes in 2009 and 2010, Lohan owes the government over $230,000. Charlie Sheen gave Lohan $100,000 to help pay down a significant portion of the debt, but she stills owes more. You know you’re in trouble when Charlie Sheen is helping you out!
Stephen Baldwin was charged in December 2012 with failing to pay New York states taxes for the past few years. After skipping out on paying his taxes in 2008, 2009, and 2010, he owes the state over $350,000 in tax and penalties. Baldwin also faced financial troubles in 2009 when he filed for bankruptcy. The filing stated that he owed $1.2 million on two mortgages, $1 million in taxes, and $70,000 on numerous credit cards.
Wyclef Jean is also in trouble with the IRS – he owes them more than $2 million. He failed to pay any taxes from 2006 to 2008 and now has a federal tax lien on his multimillion-dollar New Jersey home. The musician was also caught spending money collected through his Yéle Haiti foundation, which was created to provide charitable help to Haiti. He used hundreds of thousands of dollars to pay himself and his business partner for rent, chauffeur services, and private flights. The foundation had to be shut down last year due to these money troubles and all the negative media attention.
Toni Braxton has had serious money troubles for years. The singer first filed for bankruptcy in 1998 after she “lost it a little on housewares” and got herself into debt by shopping for home décor. She filed for bankruptcy again in 2010 and had to sell back assets to pay her debts. She owed somewhere between $10 million and $50 million. Braxton was also accused of bankruptcy fraud last year after it was revealed that she transferred over $50,000 to her estranged husband in order to avoid paying back creditors in her bankruptcy case.
News of Nicolas Cage’s money troubles first broke in 2009 when he was sued for defaulting on a $2 million loan. You’d think the actor would have that much money saved up, but apparently he didn’t! Soon after that incident, the IRS placed a tax lien of over $6 million on Cage’s New Orleans properties for failing to pay taxes in 2007. The IRS also placed another lien on Cage for over $350,000 for unpaid taxes on what the actor earned from 2002 to 2004. He was forced to sell some of his properties to make money, including one of the castles he owned.
Chris Tucker owes the IRS over $11.5 million dollars in unpaid taxes from 2001, 2002, 2004, and 2006. He reportedly made $20 million from starring in Rush Hour 2 and made another $25 million for Rush Hour 3, which he must have spent very irresponsibly. One of his homes was almost foreclosed on, but he was able to negotiate a sale before it was. He sold another one of his homes to help pay down the debt, but still came up short by millions of dollars. Georgia is also cracking down on Tucker by adding hundreds of thousands of dollars in state tax debt to his federal debt.
Mike Tyson earned over $300 million throughout the peak of his career, but he blew it all on lavish purchases, including homes, cars, clothes, food, and even a pair of pet tigers. At one point during all his spending sprees, Tyson was dropping over $400,000 a month on whatever he wanted. All that extravagant spending caught up with him though. He filed for bankruptcy in 2003, stating on the paperwork that he was $27 million in debt, which included $17 million in back taxes he owed in both the United States and Britain.
Category: Lindsay Lohan, Mike Tyson, Nicholas Cage, Stephen Baldwin, Toni Braxton, Wyclef Jean