Michael Vick has nearly paid off his bankruptcy debt

AP

Jets quarterback Michael Vick paid his debt to society when he spent time in federal prison for his conviction on dog fighting charges.

Now, he’s paid back most of the rest of the debt he accumulated.

According to Darren Rovell of ESPN, Vick has paid back most of the $18 million he owed to creditors when he filed for bankruptcy in July 2008.

Vick has been able to pay them back by living on a budget of $300,000 per year, which seems luxurious except he’s made more than $49 million from the Eagles and the Jets over that span. (OK, that still sounds luxurious).

“I feel blessed because I came out and found myself in a position where I had a lot of people that really believed in me, people who gave me an opportunity,” Vick said. “At the time, it wasn’t about trying to fulfill all the bankruptcy needs. I was trying to fulfill all the needs that I had in my life because I had nothing.”

“I had never been on a budget before, so I had to pay attention to everything that I was doing. Now I realize that I don’t need certain things I bought back in the day, like a new boat.”

Vick’s financial discipline — even if a little late — should be commended, as he could have chosen a form of bankruptcy which would have allowed him to avoid most of his debts.

37 responses to “Michael Vick has nearly paid off his bankruptcy debt

  1. But given that allowance he should have over 20 million (including taxes, debt paid, and allowance) leftover to do with what he wants. Why hasn’t he paid it all back already?

  2. I’m sure he has more money in investment accounts, it’s just that he only spends $300k-ish per year instead of millions. I doubt he is just getting by – a financial planner is just involved now so that he has money for retirement which will be coming within the next few years.

  3. Good for Mike. What he did years ago was beyond wrong but he has made every attempt to make up for it. Was becoming a better person forced upon him? Yup. But regardless it happened and now take a look at Mike Vick since he has been released from jail compared to some of the other scum in this league. NFL should find a role for him working with rookies once he retires. I will argue that Mike Vick does more for communites now than most of this leagues players.

  4. He really should be able to cut that back a lot more. I really hope he has an honest financial adviser setting him up for life after football.

    Why the NFLPA gets away with not helping the players in this regard is beyond me.

  5. For those that feel he should have paid it all back and still be sitting on a boat load of cash, look at this way. This is America. You would be hard pressed to find a more greedy gov. We have seen record tax revenues, while the tax hungry politicians try to tell us we arent paying enough in taxes. From the $49 million, I would guess that $27 million is gone from taxes. Especially when you consider he is playing in New York, where he probably pays 60-65% of his income to taxes.

  6. Sorry, but I’m not patting a guy on his back for learning how to live on a $300k per year budget and going through the sacrifice of buying a private yacht.

    His debt should have been paid off a long time ago. Heck, he shouldn’t even have had debt in the first place!

    And this is coming from a Saints fan that actually has learned to like Michael Vick over these past few years.

  7. Good for Vick but he never served time “for his conviction on dog fighting charges.” He served time for his role in an interstate gambling ring. It’s important to distinguish but still, glad to see that the system didn’t fail someone this time.

  8. Good for him — but this is none of our business, his pro contract might be but his personal finances cross the line.

  9. Can’t say enough good things about this guy. Made terrible life choices, paid a steep price, and has transformed into a good person, good team mate and fine representative of the NFL.

    In the end, he winds up looking better than the commissioner who originally punished him! Rodger could learn a thing or two from MV!

  10. Respect to Mike Vick. He was debating filing for Chapter 11 bankruptcy which would have essentially excused him from repaying his debts but he said “I didn’t want to stuff people that have never stiffed me.” Kudos.

  11. I’ve been a longtime vocal critic of Vick, but I have to commend him for this. It shows discipline and character.

  12. Vick should’ve just done a Chapter 7 bankruptcy and have all his debts wiped clean so he can keep everything he made after the bankruptcy. Looks like he did a Chapter 13 bankruptcy which is basically a restructuring/reduction of debt and not total elimination of debt as in a Chapter 7.

  13. Vick is lucky he is a professional athlete. That enabled him to get a second chance and enabled him to be able to afford to pay back his debt. Those of us in the real world wouldn’t have been so lucky had we done what he did.

    I wonder if once he’s completely debt free, will he buy a dog?

  14. Glad to see at least one public figure take their lumps with class and do a proper job of restitution.

    Proud of him. I can congratulate him for the without respecting how he got into this mess.

  15. I’m glad Vick has realized what I (and the majority of us have) realized long ago: I don’t need a new boat.

  16. I’ve never liked Vick and never will, but I’m glad he’s getting it worked out.

    He’s also lucky the state didn’t prosecute him on the things that they might have. They looked the other way.

  17. Vick should give ongoing lessons and become a consultant to other players on how to live on a budget and cut off the hanger ons, greedy family members (Tryon Smith), entourages, old buddies who need help with their “rap career”, etc.

  18. He should also be commended for strangling puppies, instead of electrocuting them.

    Oh wait, he did both.

  19. “But given that allowance he should have over 20 million (including taxes, debt paid, and allowance) leftover to do with what he wants. Why hasn’t he paid it all back already?”

    Taxes on $49 million will more or less be 50%. So $25 mil in fed, state, county and local taxes, PLUS taxes for every state and city his teams plays in leaves you with $24 mil. Take the $18mil repayment and he has had $6mil left over….Math still don’t work on a budget of $3.6mil a year.

    Also, he did a Chapter 11. Didn’t qualify for a Chapter 13. He had was future earning ability, hence the chapter 11 reorganization. Plus a chapter 7 would have meant he lost all non-exempt assets and even though he was “broke” on paper, he still owned significant assets and that he wanted to keep.

  20. Several commenters have mentioned the New York income tax rate, but wouldn’t Vick be paying his income taxes to New Jersey, since that is where MetLife Stadium is located? Or is the Jets team HQ actually located in New York?

  21. Yes, he is probably paying New Jersey taxes, but New Jersey has a slightly higher rate than New York. Although many cities in New York State have Municipal income tax rates. (As did Philadelphia by the way.)

    Regardless. The fact that he has paid back most of $18 million AFTER prison is commendable.

    It is despicable that he killed dogs, but I think he is a new man.

  22. Ummm……

    Made $49M…..owed $18M……lives on 300K……

    Mike….Where did the other $31M go…..

    I know Uncle Sam packs a punch at the highest tax bracket…..

    But even without an accountant……I figure he has been going over budget by a few million here or there….

    .Of course…..Unless he has a Swiss Bank acct……LOL!

  23. elyasm says:
    Dec 18, 2014 1:53 PM
    Several commenters have mentioned the New York income tax rate, but wouldn’t Vick be paying his income taxes to New Jersey, since that is where MetLife Stadium is located? Or is the Jets team HQ actually located in New York?
    *********************
    Athletes actually pay taxes in any state that they play in. Road games played in states that have an income tax that is.

    Look up “michael jordan tax rule”.

  24. All of the people doing the math on Vick’s money seem to think that he doesn’t have any other expenses or pay any taxes.

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