John Stockton shares why so many NBA players get broke after their careers are over: “You buy things that don’t continue to have value” originally appeared on Basketball Network.
Former Utah Jazz point guard John Stockton made over $65 million from 1990 onwards in his career. Add the amount that he made since joining the league in 1984, and it’s safe to say that Stockton is set for life.
But the reason why Stockton is well-off right now isn’t really because of how much he made during his NBA career, but how careful he was in spending what he earned. Unfortunately, not all of his peers are as set as Stockton is. Whether these players made more or less than John, they did not live within their means, manage their money well, and are now bankrupt.
“It doesn’t take much when the money is that big,” Stockton talked about former NBA players going broke. “You just don’t pay your taxes, for one thing. If you don’t pay your taxes one year, penalties, penalties, and interest and all these things. You can eat that up in a heartbeat. So number one, do that. Number two, you get married and you get divorced. That cuts it in half. Three, you buy things that don’t continue to have value. If you buy a bunch of cars, you buy a bunch of jewelry, but whatever,” said Stockton.
Players get overwhelmed by the amount of money they are making
According to Stockton, many NBA players come from humble beginnings, some from even “nothing.” Because of this, the first time these guys get a large sum of money, they spend a lot of it, if not all, to buy things for their family members, especially houses or cars for their parents.
Others also take care of their siblings, sending them to private schools. Some even spoil their childhood buddies with material items like jewelry, clothes, or shoes. Stockton says this is the easy part of having that big check. Realizing when the boat is sinking is the tough side of it.
“Then maybe think about those taxes and a couple of other things, and all of a sudden, it jumps on you. And to repay those kinds of debts? Can’t happen. You can’t then go back to normal life when you’re not making the $50 million a year and pay those penalties. It could happen easier than you think. But it’s good reason to have your head on your shoulders and pay attention,” John added.
Many ex-NBA players go broke after five years
According to an article from CNBC, 78 percent of NFL players experience financial trouble two years after their retirement. The numbers for the NBA are a bit better, with 60 percent of ex-NBA players going broke five years after last playing in the league. It’s better than the NFL’s figures, but still, it’s pretty high.
“Players must understand that they aren’t living off one year’s salary for just a year, like most people do. That one year of big pay often has to last for 60 years. Establishing sustainable long-term spending practices and settling into a manageable lifestyle is of the utmost importance,” said former New York Knicks center Chris Dudley, who is now a senior wealth planner and a founding partner of Filigree Wealth Advisors.
Although Stockton and Dudley aren’t billionaires like MJ, Magic, and LeBron, both are financially secure because of their choices. Unfortunately, for every Stockton and Dudley, there are still those who go broke because they didn’t know how to handle money. But things have changed since their days.
Today, the NBA Players Association has a financial literacy program that offers free advice to players, especially rookies. The 60 percent figure is from 2018. Hopefully, that number will be even smaller in the future.
This story was originally reported by Basketball Network on Aug 17, 2025, where it first appeared.