The Lifestyle Trap: How Athletes Build Too Big, Too Fast (and What to Do Instead)
- Jacob Turner
- Oct 24
- 4 min read
Let me take you back to my signing day.
I was 18 years old.
No credit card.
No clue how taxes worked.
No idea what a “qualified account” was.
And suddenly, I was a millionaire.
We went out to celebrate with my family at a local ice cream shop.
I remember sitting there thinking, "Is this real?"
The next morning, I woke up and life went on, but with one major difference.
The financial decisions I made from that point on would either set me up or set me back.
For a lot of athletes, that moment becomes the start of a slow build toward a lifestyle they can’t sustain.
They go from nothing to everything, and they build it fast.
This blog is about why that happens, the mistakes I see athletes make (because I made them too), and how to build your lifestyle intentionally, not reactively.
If you haven't already, check out our guide to athlete wealth management as a primer for this blog.
Let’s dive in...
The Athlete Dilemma
Let’s be honest, most athletes didn’t grow up around wealth.
So when you go from a per diem in the minors to direct deposits with commas, the instinct is to reward yourself.
The new car (because yours barely made it through college).
The custom suit (because you're finally walking into rooms that demand it).
The watch, the place, the vacation, the entourage ( all of it feels earned).
And in many ways, it is.
But here’s the problem...
Most athletes build permanent lifestyle habits off temporary income.
We buy big.
We commit big.
We assume the money will keep coming.
Until it doesn’t.
And by the time we realize we’ve overbuilt… It’s hard to unwind.
Real Cost of "Leveling Up"
You’ve probably heard this before:
“If you can buy it twice, you can afford it.”
Sounds easy, but consider the money spigot can turn off at any moment.
Let me show you what I mean by “hidden costs”...
Example: The $2M House
$2,000,000 purchase price
$40,000/year in property taxes
$12,000/year in insurance
$25,000/year in maintenance
$15,000/year in furnishings/updates
That’s $90,000/year to keep the house running… and we’re not even talking about the mortgage if you didn’t pay cash.
Now add in:
A luxury car with a $1,500/mo payment
Private school tuition for your kids
Family travel costs
Business class flights (because coach now feels “impossible”)
You’ve gone from millionaire to monthly stress in 12 months or less, all because you built your lifestyle too fast.
The Psychology of Being "New Rich"
It’s not just about money. It’s about what money represents.
For many of us:
It’s a way to feel like we made it.
It’s a way to take care of the people who sacrificed for us.
It’s a way to prove something ~ to family, to our past, to the world.
But here’s what I wish someone had told me early on...
You don’t have to prove anything with your purchases.
The lifestyle you build early on becomes the floor you feel like you have to maintain later.
Most athletes build that floor way too high and then struggle to sustain it when the checks slow down or stop altogether.
Here are a few frameworks to consider:
1) Know Your Baseball Lifestyle
Ask yourself this simple question:
“If the money stopped tomorrow, what would it cost to maintain my lifestyle?”
That’s your baseline lifestyle cost.
Track it. Own it. Review it monthly.
This includes:
Mortgage or rent
Car payments
Insurance
Food and travel
Family support
Taxes (don't forget the taxes)
Once you know this number, you’ll know what your lifestyle actually costs, not just what you’re swiping on the card.
2) Separate Rewards from Commitments
Not all spending is bad. But it needs to be categorized.
I break it down like this:
Reward Purchases
One-time items to celebrate a win.
They don’t create monthly stress.
Examples: A Rolex. A trip to Paris. A new suit.
Lifestyle Commitments
Ongoing expenses that require future income.
Examples: Mortgage. Luxury lease. Private school. Staff.
A reward purchase is a pat on the back. A commitment is a financial anchor.
3) Build a Lifestyle for Each Season
You don’t need to buy the mansion in Year 1.
Instead, think in seasons:
Rookie Contract = Build financial margin
Second Deal = Layer in a few key lifestyle upgrades
Major Extension or Exit = Add long-term assets & experiences
The more time you give yourself, the more options you have.
The more options you have, the more freedom you feel.
The beautiful part about all of this is, it is in your control.
You have the opportunity to build and direct your outcome.
Yet to do that, it takes real work, real planning, and real focus.
As athletes, we have one chance to do this right.
My goal is to help every athlete get smarter with their money moves.
If you want more ways to do that, check out my YouTube page.
If you are ready to get to work, schedule a call with our team.
Get in Touch With An Advisor
Frequently Asked Questions
Here are some answers to questions received regarding athletes and money:
What is the #1 spending mistake athletes make?
It is thinking they can build a lifestyle on earned income (contracts) and not saved income (investments).
What should my savings percentage as an athlete be? For most athletes, we are targeting between 60%-80% once they are making significant money.
What about big one-time purchases?
We encourage reward purchases, but we have to remember that these are, in fact one one-time purchases.
Do you recommend that athletes buy a house?
In most cases, no, and this is because the cost can often be far more than first thought. You add in the fact that most athletes are not in the same city year after year.
*Moment Private Wealth offers information on tax and estate planning that is general in nature. Tax and Legal advice are not provided by Moment Private Wealth. Consult an attorney or tax professional regarding your specific legal or tax situation.
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