While President Donald Trump’s reference to 409(k) plans got lots of attention from financial advisors on Twitter last week, Seattle Seahawks running back Marshawn Lynch and his remarks on retirement captivated many in the industry on Monday.
“Marshawn Lynch’s financial advice is delivered better than anything I’ve ever said in 12 years of blogging lol,” said Ritholtz Wealth CEO Josh Brown on Twitter.
At a press conference after the Seahawks lost to the Green Bay Packers in the playoffs Sunday, Lynch said: “If they was me, or if I had the opportunity to let these young [guys] know something, I’d say take care of your money, because that s— don’t last forever. Now, I done been on the other side of retirement, and it’s good when you can get over there and you can do what … you want to.”
“I’ll tell y’all right now while y’all in it, take care of y’all bread. When y’all done, go ahead and take of yourself. While y’all at it right now, take care of your bodies, take care of your chicken, take care of your mentals, because look, we ain’t lasting that long,” said Lynch, using a slang term for money.
“I had a couple players that I played with that are no longer here. So start taking care of your bodies, your mentals and your chicken. So when you’re ready to walk away, you walk away and be able to do what you want to do,” explained Lynch, who works with UBS advisor Peter Borowsky.
Lynch, who played for the University of California-Berkeley before joining the NFL, has earned more than $55 million, according to Sports Illustrated. He also started a Beast Mode clothing brand and other ventures.
Lynch’s Financial Advisor
“Marshawn Lynch is a financially wise NFL player,” Borowsky said in an interview with ThinkAdvisor on Monday. “He’s a smart guy and has been smart with his money. He also tries to help his teammates and others be successful in life.”
Lynch has moved in and out of the NFL in recent years and hence “has seen retirement in action,” Borowsky explained. “He understands the transition better than anyone in the NFL, since he’s done it twice.”
“Now he lets everyone know that life can be great in retirement, but you’ve gotta take care of your money, mind and body. It’s great advice, and he practices what he preaches,” Borowsky said. “This is likely going to have a very large impact for the NFL community.”
“His remarks were glorious,” said Evan Shear, an advisor with CrossleyShear Wealth Management, affiliated with Raymond James’ independent channel and recognized by the NFL Players Association as a Registered Player Financial Advisor.
“What he said matters as lots of young players look up to him. For him to come out and say ‘take care of your stuff now, because you don’t know when retirement is gonna hit you — be prepared’ is important,” Shear, CFP, explained in an interview.
“The average time for a player in the NFL is 3.5 years,” Shear said. “Not all of them get to sign a contract like Tom Brady.”
The advisor added that some agents tell draftees that with signing bonuses of $300,000 to $500,000 they don’t need to worry or work with advisors. “But that is negligence. They’ve got to plan early, so they can have money when they leave the game,” said Shear, noting that he’s been trying to spread the message on Twitter.
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