Allen Iverson Makes $800,000 Per Year From Reebok – And Reebok Is Fine With That!

By on October 17, 2018 in ArticlesSports News

Allen Iverson was an 11-time All-Star. He won the league MVP in 2001. He led the league in scoring four times throughout his career. And his No. 3 jersey was retired by the Philadelphia 76ers. At his peak he earned $20 million a season in salary. During his career he earned around $155 million on the court. It's safe to say Iverson had a very impressive career.

Yet perhaps his biggest accomplishment is that he's still getting millions of dollars a from Reebok despite not playing in an NBA game since 2010.

Back in 2001, Iverson signed a lifetime endorsement and marketing deal with Reebok right after winning his MVP award. The agreement came on top of a ten-year, $50 million deal Iverson signed when he became the No. 1 pick in the 1996 draft.

The lifetime deal pays Iverson $800,000 a year. He'll also have access to a fund worth $32 million when he turns 55 years old in 2030. We first learned of this trust fund when Allen was going through a divorce from his wife of eight years Tawanna. From that divorce we also learned that Allen has not exactly been wise with his money.

In a December 2012 court disclosure, Iverson told a judge that his monthly income was $62,500 but his expenses were $360,000. Of that $360k, $125k went to paying back various creditors and another a large chunk goes to mortgages. Iverson-owned homes in Denver and Atlanta were eventually lost to foreclosure and a Georgia judge ordered him to repay nearly $900,000 to a local jeweler. Iverson also admitted to the judge that he was still spending $10,000 a month on clothes, $10,000 a month on restaurants/entertainment and an additional $10,000 on groceries.

So at the time of his divorce in 2012, Allen was essentially $1 million in debt and losing another $200,000 every single month.

There's a tiny bit more bad news. In 2020 when Allen turns 55, he'll technically only get HALF of his $32 million trust fund. He had to give Tawanna the other half.

Streeter Lecka/Getty Images

Though Reebok's focus is now more on lifestyle rather than sports – CrossFit and UFC are Reebok's current top sports partners – Iverson remains an integral part of their business.

According to Reebok's Chief Executive Officer Matt O'Toole, Iverson is absolutely worth the money. O'Toole pointed to Iverson's large influence in Asia; the former MVP travels there a couple of times of year on behalf of Reebok.

O'Toole also said that a lot of Reebok customers still connect to Iverson and his legacy. And when you've got a signature play from the NBA Finals, you're not going to be forgotten easily.

Articles Written by Joey Held
If there's a story anywhere in the world of music, sports, or entertainment, Joey wants to tell it. He's been freelancing since 2010, and prior to that, he attended the University of Miami, where he double majored in broadcast journalism and sport administration. A Chicago native, Joey currently resides in Austin, TX. Follow him on Twitter and always feel free to suggest a song for his next karaoke performance. Joey's favorite billionaire is Mark Cuban.
Did we make a mistake?
Submit a correction suggestion and help us fix it!
Submit a Correction
Discussion