Child-star-turned-superstar Keke Palmer is a Black female success story whose career has stood the test of time. Booked and busy at just nine years old, she experienced immediate success in her early roles, most notably 2006’s “Akeelah and the Bee.” Those opportunities eventually led to more accolades, including being the youngest person to ever host a talk show. She also led her very own Nickelodeon show, and starred in Jordan Peele’s critically acclaimed “Nope.”
One would think her childhood bookings would have set a foundation for financial stability. However, the singer and actress recently revealed much of the opposite: At age 18, Palmer filed for bankruptcy. Here’s what she learned from the experience and how all women can learn from her experience when protecting their own finances.
Why Did Keke Palmer File For Bankruptcy?
Though she had the help of involved parents and a financial advisor at the age of 12, Palmer still ended up struggling financially. She shared her story at the Building the Wealth Today for Tomorrow Financial Empowerment Summit, stating that the traumatic experience informed how she relates to her money today. Being blindsided by the bankruptcy, she now vows to live below her means.
“If I got $10,000 in the bank, then my house would be $500 a month. That’s how under I mean, because I can probably afford something $2,500 maybe, but I’m going way under,” she explained.
“You know why? Because I wanna invest in my business. So if I wanna invest in my business, then the material things that I’m having currently might have to take a short back. Instead of wearing Gucci, I’m wearing Zara. I live in a good place. I got a Toyota right now in my driveway.”
Living Below Your Means
Palmer openly spending significantly less than she makes platforms a timely discussion about how women should relate to their wealth. When you live below your means, the goal is to spend less than your total monthly income. This means that the money you bring in outweighs your expenses. However, this doesn’t mean you’re forced to live a life of deprivation. While it’s always important to “treat yo self,” this mindset means navigating within the means of discernment. Rather than overindulging carelessly, be intentional about investing in things that invest back into you. Budget mindfully and allot a specified amount for nonessentials. While you deserve the finer things, overextending for material possessions won’t lend to financial longevity.
Palmer’s strategic saving has granted her the ability to invest in her current endeavors, including her “Baby, This is Keke Palmer” podcast and KeyTV, her very own digital network. Rather than focusing on trivial luxury, her extra money has fed back into her building a lucrative and lasting empire.
The adjustment has seemingly paid off, as Palmer’s current reported net worth is $7.5 million. As she lives a life of financial freedom, she embodies the reminder that with strategy, you can always work your way back up from any low. Your sovereignty is your greatest asset, and you owe responsibility to yourself.