How Magic Johnson Turned $40M into a $600M Net Worth
The story of how the NBA legend made his fortune off the court
When you’re a household name in the world of sports, you expect to get paid. NBA legend Earvin ‘Magic’ Johnson was no different. What separates Magic from most other pro athletes is how he made his true fortune away from the game.
Whereas many athletes squander away their career earnings, Magic Johnson only built on it. His salary — it turns out — only makes up 6% of his entire wealth.
This is a look at the rise of the NBA legend, how he grew his wealth and businesses, and what entrepreneurs at any level can learn from him.
The Early Days of Magic Johnson
In case you’re not an NBA fan, Magic Johnson was born in Lansing, Michigan, in 1959. He was the son of working-class parents and at an early age, grew to love the game of basketball.
He was a standout in high school and routinely put up 30 point, triple-doubles like it was nothing. It was this prolific scoring — and his skill and finesse on the court — that gave him the nickname ‘Magic.’
When it came time to choose a college, everyone recruited Johnson. He chose nearby Michigan State for the next phase of his career.
