Michael Jordan's Net Worth Soars to a Staggering $2.6 Billion!

Michael Jordan's Net Worth Soars to a Staggering $2.6 Billion!.

What is Michael Jordan's net worth?

Michael Jordan is a former American basketball star, team owner, brand ambassador, and entrepreneur with a staggering net worth of $2.6 billion. Even now, he’s arguably the most famous basketball player in the world.

He’s the benchmark for all the rising stars in the game. The media is always on the lookout for the "next Michael Jordan," and each season, a new player gets that label, whether they like it or not. Meanwhile, Jordan is living it up in semi-retirement, enjoying various endorsement deals and maintaining his status as the greatest basketball player ever.

He led the Chicago Bulls to six NBA championships and snagged the league MVP award five times. He also holds the record for the highest career scoring average and was inducted into the Hall of Fame on September 11, 2009.

As you might know, Michael didn’t become a billionaire just from his NBA paycheck. Throughout his career, he made around $93.7 million in salary. In contrast, by the time LeBron James hangs up his sneakers, he’ll have raked in over $500 million in NBA earnings. While Jordan was one of the highest-paid players of his time, he missed out on the massive contracts that came later.

He was the first athlete to earn over $30 million a year in salary, hitting that milestone during the 1996-1997 season with a base salary of $30.14 million. The next year, he made $33.14 million. When you adjust for inflation, that’s like making $53.4 million today.

Michael has been a top earner in celebrity endorsements throughout his career and even after hanging up his sneakers. So far, he’s racked up an impressive $1.4 billion from these deals. It’s wild to think that even though he hasn’t played pro basketball in almost 20 years, he still pulls in around $100 million a year from endorsements and other business ventures. To put that in perspective, that’s more than he made in 16 seasons in the NBA! Just from Nike and the Jordan brand royalties, he’s making at least $60 million annually.

While his endorsements and salaries are huge, Michael actually hit billionaire status mainly because of his ownership in the Charlotte Hornets. He bought a majority share of the team back in 2010 for $175 million. He officially became a billionaire in June 2014 when it was revealed that he had upped his ownership to 89% of the team, which was then called the Bobcats. In 2019, he sold a small part of his stake to an investment group, valuing the team at $1.5 billion. By 2023, he sold his majority stake in the franchise. We’ll dive deeper into this investment later in the article.

"I've missed more than 9,000 shots in my career. I've lost almost 300 games. Twenty-six times, I've been trusted to take the game-winning shot…and missed. I've failed over and over and over again in my life. And that is why I succeed."

– Michael Jordan.

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The Journey of Michael Jordan to Billionaire Status: How and When It Happened.

In 2006, after dealing with taxes, divorce settlements, and other expenses, Michael's net worth was about $450 million. That year, he snagged a minority share in the Charlotte Bobcats NBA team, making him the second-largest individual owner, just behind BET founder Robert L. Johnson. Fast forward to 2010, Michael dropped $175 million to buy out Robert's share, giving him 80% ownership of the team.

By June 2014, it came to light that Michael had upped his ownership from 80% to 89.5%. At that time, the team, now called the Hornets, was valued at $500 million, though it had $135 million in debt. Interestingly, the Clippers, also valued at $500 million, sold for a whopping $2 billion.

If we assume the Hornets were actually worth $600 million, Michael's stake, after accounting for debt, was worth $416 million. When you add that to his $600 million fortune outside of basketball, it pushed Michael Jordan into billionaire territory for the first time, with a total net worth of $1.016 billion.

In 2019, Michael sold a small portion of his stake to hedge fund managers Gabe Plotkin and Daniel Sundheim, valuing the team at $1.5 billion.

In March 2023, there were whispers that Michael was considering selling his 80% share in the Hornets, with a possible valuation of around $2 billion.

By June 2023, it was confirmed that Jordan had completed the sale of the Charlotte Hornets for a whopping $3 billion. This marked the end of his 13-year tenure as the majority owner of the team. The new ownership group is led by Gabe Plotkin and Rick Schnall, and Jordan is likely to retain a minority stake and remain involved with the franchise. Before the sale, Michael Jordan's net worth stood at $2.2 billion, based on a $1.5 billion valuation of the Hornets, which is what Plotkin paid back in 2019. His 80% stake at that valuation added about $1 billion to his wealth.

With the new $3 billion valuation and assuming he keeps a 10% stake, Michael walked away with $1.1 billion while still holding a $300 million stake. Consequently, his net worth jumped from $2.2 billion to $2.6 billion.

Michael Jordan Net Worth Milestones

Year       Net Worth

2009     $500,000,000

2013     $650,000,000

2014     $1,000,000,000

2016     $1,100,000,000

2017     $1,200,000,000

2018     $1,500,000,000

2019     $1,900,000,000

2020     $2,000,000,000

2021     $2,100,000,000

2022     $2,200,000,000

2023     $2,600,000,000

Early Life

Michael Jeffrey Jordan was born on February 17, 1963, in Brooklyn, New York. His mom, Deloris, had a job in finance, while his dad, James R. Jordan Sr., worked as an equipment supervisor. When Michael was just a little kid, the family packed up and moved to Wilmington, North Carolina.

At Emsley A. Laney High School in Wilmington, Michael played basketball, baseball, and football. He famously tried out for the varsity basketball team as a sophomore but got cut for being "only" 5 foot 11. Frustrated by the rejection, MJ put in a ton of effort to shine on the Junior Varsity team. Over the summer between his sophomore and junior years, he grew four inches and finally snagged a spot on the varsity team.

Once on the varsity squad, Michael was unstoppable, averaging 25 points per game during his junior and senior years. In his senior year, he was chosen to play in the 1981 McDonald's All-American Game, where he scored an impressive 30 points.

College Career

Michael, standing tall at 6 foot 6, caught the attention of numerous college programs like Syracuse, UVA, Duke, and UNC. In the end, he decided to go with the University of North Carolina.

While at UNC, he put up an impressive average of 13.5 points per game and earned the title of ACC Freshman of the Year, helping lead the team to the 1982 NCAA Championship against the Georgetown Hoyas. With just 15 seconds remaining, Michael nailed a crucial shot over Georgetown's Patrick Ewing, clinching the victory. He later shared that this game and that pivotal shot played a huge role in boosting his confidence and shaping his basketball future.

NBA Career

Michael played three seasons with the UNC Tar Heels, racking up a bunch of awards, including the Naismith and Wooden College Player of the Year honors in 1984. He decided to leave UNC a year early to jump into the 1984 draft. In a cool move, he came back to UNC in 1986 to complete his degree, graduating with a Bachelor's in geography.

Surprisingly, he wasn’t the top pick; he went third overall after Sam Bowie (#2) and Hakeem Olajuwon. The Chicago Bulls picked him as their third choice.

On September 12, 1984, Michael signed his rookie contract with the Bulls, which was a seven-year deal worth $6 million, averaging about $850,000 a season. The year before he joined, the Bulls only sold out six games, but during his rookie year, attendance skyrocketed.

At the end of his fifth season, Michael and the Chicago Bulls struck a deal for an eight-year contract extension worth $25 million. This was the biggest deal in NBA history at that time. His salary shot up to about $5 million a year because of it. When that contract ended in 1996, Michael signed a one-year deal for $30 million. The following year, he inked another one-year contract, this time for $33.14 million, which is roughly equivalent to $55 million today when you factor in inflation.

Michael had two retirements and comebacks in the NBA. He first stepped away to try his hand at minor league baseball. When he made his second return, he played two seasons with the Washington Wizards.

As we noted earlier, Michael raked in a total of $93.7 million in salary throughout his NBA career. When you adjust for inflation over the years, that figure rises to $161 million. Here’s a breakdown of his salary year by year during his time in the league.

Season               Salary  Inflation Adjusted

1984-1985         $550,000           $1.4 million

1985-1986         $630,000           $1.5 million

1986-1987         $737,500           $1.7 million

1987-1988         $845,000           $1.9 million

1988-1989         $2,000,000        $4.4 million

1989-1990         $2,250,000        $4.7 million

1990-1991         $2,500,000        $5 million

1991-1992         $3,250,000        $6.2 million

1992-1993         $4,000,000        $7.4 million

1993-1994         $4,000,000        $7.4 million

1994-1995         $3,850,000        $6.7 million

1995-1996         $3,850,000        $6.7 million

1996-1997         $30,140,000     $50 million

1997-1998         $33,140,000     $53.41 million

2001-2002         $1,000,000        $1.5 million

2002-2003         $1,030,000        $1.5 million

$93,772,500      $161 million

Nike Deal And Annual Royalties

Before Michael Jordan came along, the biggest celebrity shoe endorsement deal was James Worthy's $150,000 yearly contract with New Balance. But in 1984, Jordan blew all those records out of the water when Nike offered him a whopping $500,000 a year for five years. On top of that, he got Nike stock options, bringing his total earnings to around $7 million over that period.

Interestingly, before this deal, Michael had never even worn Nike shoes and was actually hoping to team up with Adidas. However, Nike's offer was just too good to pass up, and Adidas couldn't keep up.

When he first rocked those shoes, they went against the NBA's uniformity rules. Nike took care of all the fines and turned the whole situation into a marketing opportunity. The Air Jordan hit the shelves in March 1985, and just two months later, over a million pairs were sold. In its first year, Air Jordan raked in $100 million for Nike. Fast forward to today, and Air Jordans account for 58% of all basketball shoe sales, generating more than $2.5 billion annually for Nike.

By 1992, Michael was making 25 cents for every pair of Jordans sold, but now he pockets $4 for each one.

During the years from 2002 to 2012, Nike shelled out a whopping $480 million to Michael in shoe royalties. Nowadays, Michael Jordan usually sees his annual royalty check from Nike land somewhere between $80 and $100 million. But there have been several years where that check has soared past $100 to $120 million.

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Endorsements

Michael Jordan has had an incredible career and continues to be a major figure in the endorsement world, representing a ton of big brands like Nike, Gatorade, Wheaties, McDonald's, Coca-Cola, Chevrolet, Ball Park Franks, Rayovac, Hanes, and MCI. He also has ongoing partnerships with Upper Deck, 2K Sports, and Five Star Fragrances. Plus, he owns a car dealership and seven restaurants.

One of his earliest and most significant endorsement deals was with Gatorade, which kicked off after the 1989 season when he signed a 10-year contract worth $18 million. The iconic "Be Like Mike" ad debuted right after the Bulls snagged their first championship, boosting both Gatorade and Jordan's fame to new levels.

In a 2015 lawsuit against a supermarket that allegedly used his image without consent, it came to light that Jordan doesn’t enter into deals unless he expects to make at least $10 million. Interestingly, he once turned down an $80 million offer to promote a headphone line because he’s not a fan of wearing them.

As of now, Michael Jordan has raked in around $1.4 billi

on from his corporate partnerships throughout his career (before taxes).

Juanita Jordan Divorce Settlement

Michael tied the knot with Juanita Vanoy back in September 1989, and they welcomed three kids into the world together. Fast forward to 2002, after 13 years of marriage, Michael decided to file for divorce from Juanita Jordan, which ended up costing him a whopping $168 million. This made it one of the priciest divorces ever. The settlement included cash, stocks, and the worth of their various properties.

Since April 2013, Michael has been married to Yvette Prieto, a Cuban-American model. They became parents to identical twin daughters in February 2014. In 2019, Jordan stepped into grandparenthood when his daughter Jasmine had a baby boy.

Real Estate

Michael's main home these days is an extravagant mansion in Jupiter, Florida. This impressive 26,000 square foot pad boasts 11 bedrooms and is nestled on three acres within the super-exclusive Bear's Club community, designed by Jack Nicklaus. He snagged the lot back in 2011 for $4.8 million and then poured another $7.6 million into building his dream home over two years.

In March 2013, Michael dropped $2.8 million on a sprawling lakefront compound in Charlotte, North Carolina. This lake house spans 12,310 square feet and features six bedrooms and eight bathrooms, all situated on a nearly 50,000-square-foot lot right by the water. Inside, you'll find vaulted ceilings, marble and hardwood floors, several fireplaces, an elevator, and some bathrooms even have jacuzzi tubs. Almost every room offers breathtaking views of the lake through floor-to-ceiling windows. Outside, there's a pool and a pier leading to a gazebo on the lake.

Michael also has a swanky condo in the city to stay close to his Hornets and a property in Salt Lake City, Utah.

Chicago Mansion

Michael still has a huge mansion in Highland Park, Chicago, where he lived during his record-setting seasons with the Bulls.

Back in 1991, he bought a 7-acre piece of land in Highland Park, Illinois, and got to work on his dream home. The result? A massive 32,683-square-foot mansion featuring nine bedrooms, 15 bathrooms, an NBA-level basketball court, a pool pavilion, a 15-car garage, a card room, tennis courts, a PGA-quality putting green, a cigar room, a wine cellar, and a ton more. He dropped a whopping $50 million to make it all happen.

In 2013, Michael put the house on the market for $29 million, but by May 2015, he slashed the price to $14.855 million. Fun fact: those numbers add up to "23," which is pretty fitting. As of now, it still hasn’t sold. Check out this video tour:

Private Jet

Michael Jordan has a custom Gulfstream G550 private jet worth $50 million that takes him to his various homes around the globe. The tail of the jet proudly displays his iconic "Jumpman" logo, and the registration number N236MJ cleverly incorporates his jersey number and initials.

Officially, the jet is owned by a corporation named "Bank of Utah Trustee," which is a typical method for holding assets in a trust. This jet was manufactured in 2005 and is powered by a Rolls-Royce BR 700 Series Turbo Fan engine.

Presidential Medal of Freedom

In November 2016, Michael Jordan was awarded the Presidential Medal of Freedom by Barack Obama. That day, other honorees included Vin Scully, Tom Hanks, Bruce Springsteen, Ellen Degeneres, and Kareem Abdul-Jabbar.

Philanthropy

Phil Michael Jordan faced a lot of criticism during his playing days for not using his wealth and influence to support charitable causes. Back in the '90s, he caught flak for staying silent on the North Carolina senate race between Harvey Gantt, an African-American candidate, and Jesse Helms, who was known for his racist views.

When asked why he didn’t take a stand, Michael humorously remarked that he didn’t want to back Gantt because "Republicans buy sneakers, too." Gantt ended up losing, and Helms continued in the senate for another 23 years. Michael later said his comment was misinterpreted, but the harm was already done.

One of his early charitable efforts included a $2 million donation, splitting it between the Institute for Community-Police Relations and the NAACP Legal Defense Fund.

In 2017, he committed $7.2 million to open two health clinics for low-income and uninsured individuals in Charlotte, with the first clinic launching in October 2019 and the second in October 2020.

In April 2020, he announced that he would donate all his profits from the "The Last Dance" docuseries, estimated at $3-4 million, to charity.

During the peak of the COVID pandemic in November 2020, he contributed $2 million to Feeding America.

Michael made a significant philanthropic move in June 2020 when he and the Jordan brand pledged to invest $100 million over ten years in organizations focused on racial equality, social justice, and education access.

On February 15, 2023, to celebrate his 60th birthday, he announced a $10 million donation to the Make-A-Wish Foundation, marking the largest single gift in the charity's history.

Michael Jordan's journey from basketball legend to billionaire is a testament to his unmatched work ethic, business acumen, and enduring influence. Beyond his incredible career with the Chicago Bulls, where he secured six NBA championships, Jordan's investments, notably in the Charlotte Hornets, and his lucrative endorsement deals have solidified his financial legacy.

His enduring popularity and visionary deals, particularly with Nike, continue to bring in millions. Jordan’s philanthropic efforts, including significant contributions to health and racial equality, further highlight his impact off the court. With a net worth of $2.6 billion, Jordan's legacy continues to inspire both athletes and entrepreneurs worldwide.