If you haven’t heard, LeBron is taking his talent away from Cleveland to join forces with the Miami Heat in hopes of finally winning a championship (or several, as he says). I thought it would be fun to layout some financial advice for King James considering his upcoming move. LeBron’s a smart guy though. Even Warren Buffet thinks so. So I’m sure he’s all over this stuff. Besides the obvious, humidity insurance, here’s what LeBron should do:
Have a Huge Garage Sale
LeBron has likely accumulated a lot of stuff during his time in Cleveland. There’s no reason to bring all that with you. Especially those winter coats. Have a garage sale, list things on Craigslist. Get rid of the junk and he’ll have less to pack and ship.
Deduct the Moving Expenses
Since LeBron’s move is work related, he should be able to deduct his moving expenses on his taxes (above the line): packing, transporting, and shipping his many cars. He just needs to meet the IRS tests of time and distance. He definitely meets the distance test (Miami is 1,250 miles from Cleveland). We’ll have to wait and see if he meets the time test.
Get the Mail Forwarded
The last thing LeBron needs is a late payment on his credit report. He needs to make sure he has all of his mail forwarded so that he doesn’t miss a single bill. A visit to the US post office website will do the trick.
Review the Cost-of-Living Stats
Let’s hope LeBron got the 4.08% increase in salary it’s going to take to maintain his standard of living with a move from Cleveland to Miami. According to Bankrate.com’s cost of living calculator a T-Bone steak will now cost him a whole dollar more in the new city.
Consider a Travel Rewards Credit Card
Now that LeBron is moving away from his hometown of Cleveland, he’ll be spending a lot of his own money just to fly back home to Ohio to see his family. Why pay cash when he can earn miles or cash back rewards points by using a travel rewards credit card for all those flights?
Get a New Mortgage at Historic Rates
LeBron will need a nice, new pad to rest his head while he’s working in Miami. With home prices and mortgage interest rates at historic lows, he might just need to buy up an entire neighborhood in Miami.
What are your money tips for LeBron James? Leave a comment below…
photo by Keith Allison