Several former players have found themselves in financial trouble because they were unable to retain their earnings, sometimes through questionable investments. But the Players Association has a number of programs designed to instruct players on how to handle their money.
Executive director Billy Hunter explained that the number of players having trouble may have been intentionally skewed, but it wasn’t supposed to become this much of an issue.
“I think the vast majority of them are handling their money,’’ said Hunter. “A couple of years ago, we had individuals present a financial awareness program. They were meeting in Toronto, and in order to scare players into saving their money, they falsely represented that X number of players ended up bankrupt five years after they leave the game. That’s nowhere near the truth.
“It was said simply for emphasis. But one of the players in the meeting then conveyed that information to a member of the media, and they wrote it, and for the last seven, eight years, we’ve been battling against that one because surprisingly a vast majority of the players do save their money. Many more so than people think.’’
While former players such as Jay Vincent, Tate George, and Kenny Anderson faced post-career financial issues - some of which Hunter attributes to the lower salaries during their eras - the current players have improved their money management.
“The players are more sophisticated and enlightened when it comes to managing their money than their predecessors were,’’ said Hunter.
The issue may be the drastic decrease in income once athletes retire, even for those who transition to television or coaching. Players who take assistant coaching positions are likely to make less than $1 million per season - a significant cut in a league in which the current average salary is $5.8 million.
“I think the biggest problem with ballplayers, professional athletes, is adjusting their lifestyle,’’ Hunter said. “Because they don’t compare themselves to me or you in terms of where they are.
