money problems
The news that “broke” is that AP is, well, broke. Despite being one of the most prolific running backs to ever play the game, Adrian Peterson’s money problems are impressive.
The story outlines how they feel that AP landed in such a bad spot, and I think there is a lot that high-income earning medical professionals can learn from his bad financial situation.
Peterson trusted the wrong people and that this led him to make some terrible financial decisions. He has outstanding loans where he owes millions. In fact, it looks like he owes more than he will make this entire season despite earning >$5 million over 2 years.
While a high-income can allow you to make some financial mistakes. It doesn’t give you a pass on math. If you spend more than you make – which is common in our country – it will eventually catch up with you.
Another key thing to take away from AP’s situation is what got him there. He borrowed money in order to pay off other debts. The problem with conducting life this way is that the debt will eventually have to be paid. Instead of taking a passive route towards dealing with debt, we need to make a plan.
A strong financial education would have prevented many of Peterson’s mistakes. Fighting against behavioral finance is challenging. Even for those of us who read and write about it.
I am not sure if this applies to AP’s situation, but many athletes spend too much money out of generosity. Give to others along the way, but remember to take care of your financial needs first. Then, give from a position of strength.