Carmelo Anthony breaks down how a $100M contract shrinks to under $50M — and where the rest goes

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In October 2025, the internet absolutely erupted after Odell Beckham Jr. said a $100 million contract can’t last forever, during an episode of The Pivot Podcast (1). Now, former NBA star and Hall of Famer Carmelo Anthony has decided to chime in with a similar take.

“That’s $100 million, but it’s not really $100 million over a five-year span,” the Knicks legend said on the 7PM in Brooklyn (2) podcast, noting that fans were probably unaware of how brutal state and local taxes can be, especially in a city like New York.

“You’re talking 58 percent to 60 percent or 48 percent, half your check,” Anthony said. “So that 10 [million] goes to 5 [million] over five years. And within that five, you’ve got other taxes you gotta pay.”

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Even if it’s heavily taxed, $50 million or so would still be considered “generational wealth” by many fans. However, Anthony highlights another critical financial drain that many high-income people face: lifestyle creep.

Here’s how lifestyle creep impacts more people than you might think, as well as some tips for building generational wealth without ever having to lace up your sneakers.

‘You’ve gotta live’

Although taxes and fees are brutal enough, the sudden shift to a high-profile lifestyle that comes with a big windfall is often the “gray area that f—- a lot of athletes up,” Anthony said.

“You’ve gotta live,” he said. “You gotta get a house, take care of your moms, you got your agency fee, all this s— happening within that $5 million.”

In other words, any amount of money, whether it’s multiple millions or billions, is insufficient for financial freedom if you plan to spend more than you’ve got.

Lifestyle creep is the silent killer of generational wealth accumulation, and it even starts showing up in the six-figure club. In fact, 25% of U.S. adults earning between $100,000 and $200,000 a year said they were living paycheck to paycheck, according to a 2025 Goldman Sachs report (3) — but that ratio jumped to 40% for those earning more $500,000.

Simply put, the key to financial freedom and long-term security might not just be earning more money. It might also be about spending your money less and optimizing your income more.

A three-pronged approach to building wealth

If you’re trying to accumulate a generational fortune, you might want to start by refining your approach to what you already have — through monitoring your spending habits, reassessing your investment assets and developing your tax strategy.

Neglect any one of these elements and you could fall short of the target.

For spending habits, building up willpower and writing a concrete budget are always helpful. But you can go a step further: If you find it difficult to stop overindulging, you can start by building savings habits into everyday spending.

With Acorns, you can automatically invest spare change from your everyday purchases into a diversified portfolio of ETFs managed by experts at leading investment firms like Vanguard and BlackRock.

For instance, if you buy a donut for $3.25, Acorns will round up the purchase to $4 and invest the change in a smart investment portfolio. So a $3.25 purchase automatically becomes a 75-cent investment in your future.

Sign up today and get a $20 bonus investment.

Read More: Millionaires under 43 hold only 25% of their wealth in stocks. Here’s where their money is actually going

Build wealth through real estate

Platforms like mogul can also help you build wealth in the asset class preferred by many of the world’s wealthiest families: real estate. This real estate investment platform offers fractional ownership in blue-chip rental properties, which gives investors monthly rental income, real-time appreciation and tax benefits — without the need for a hefty down payment or late-night tenant calls.

Founded by former Goldman Sachs real estate investors, the mogul team handpicks the top 1% of single-family rental homes nationwide for you. Put simply, you can invest in institutional-quality offerings for a fraction of the usual cost.

Each property undergoes a vetting process, requiring a minimum 12% return even in downside scenarios. Across the board, the platform features an average annual IRR of 18.8%. Their cash-on-cash yields, meanwhile, average between 10% to 12% annually. Offerings often sell out in under three hours, with investments typically ranging between $15,000 and $40,000 per property.

Level it up with multifamily properties

To level up your property investments with niche assets, you could also leverage multifamily real estate investing. In a report (4) prepared by JPMorgan, Al Brooks — the firm’s vice chair of Commercial Banking — said, “I think multifamily housing is absolutely where you want to be as an investor.”

Accredited investors can now tap into this opportunity through platforms such as Lightstone DIRECT, which gives accredited investors access to single-asset multifamily and industrial deals.

Lightstone DIRECT’s direct-to-investor model ensures a high degree of alignment between individual investors and a vertically-integrated, institutional owner-operator — a sophisticated and streamlined option for individual investors looking to diversify into private-market real estate.

With Lightstone DIRECT, accredited individuals can access the same multifamily and industrial assets Lightstone pursues with its own capital, with minimum investments starting at $100,000.

Take a hands-off, tax-efficient approach

Finally, if you’re as worried about taxes as Anthony and Beckham Jr., hiring a professional advisor can help you invest in the most tax-efficient way. And if you prefer a hands-off, tech-forward approach to building wealth, Vanguard’s Digital Advisor puts the investing expertise of one of the world’s largest asset managers right at your fingertips.

It takes the guesswork out of investing by building a personalized portfolio for you using Vanguard’s well-known low-cost ETFs and mutual funds — then keeps things running smoothly with automatic rebalancing.

The platform also offers guidance on saving for retirement and lets you set additional goals as your life evolves. It can even help you think through debt repayment strategies, potentially freeing up more cash to invest toward your long-term plans.

With a minimum investment of just $100, it’s an easy way to get started with professionally guided investing. And for every $10,000 in an all-index portfolio, you’ll only pay approximately $15 to $16 per year.*

Plus, you can test-drive the Vanguard experience with no advisory fees for the first 90 days.

*All investing is subject to risk, including the possible loss of the money you invest.

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