During this recession most people are forced to be extra careful with money, this means cutting back on non-essentials and luxuries.
Celebrities however, appear not to have suffered as a result of the economic climate and are not ashamed to show it.
Whilst many people lost their homes during the economic down-turn celebrities were buying extravagant mansions worth millions. The MTV show Cribs features guided tours round the private homes of celebrities and just what you can get inside a multi-million dollar house. As The Hills star, Lauren Conrad shows in the video below.
Celebrities have been known to spend more on jewellery than some people spend on their houses. Miley Cyrus received a 3.5 carat diamond engagement ring estimated around $200,000 from fiancé Liam Hemsworth when she was only 19. Kim Kardashian’s diamond ring from fiancé Kris Humphries cost $2million but sadly the marriage only lasted 75 days. Beyonce’s diamond engagement from Jay-Z cost an astounding $5million.
The average cost of a wedding is between £15, 00 and £20, 00 but for the rich and famous the average coat runs into many millions. The royal wedding of Prince William and Kate Middleton was estimated to cost well over £20 million.
Non-royal celebrity weddings have also run into the millions. Formula 1 racing mogul Bernie Ecclestone’s daughter Petra spent £12 million on her wedding; this included the £310,000 hire cost of a castle, a £80,000 wedding dress by Vera Wang and £2million for performances from The Black Eyed Peas and David Guetta amongst other extravagances.
Other ridiculous, miscellaneous purchases include Bernie Ecclestone’s older daughter Tamara Ecclestone buying a crystal bath tub for $1.5 million and Lady Gaga spending $50,000 on a machine that apparently detects and gets rid of ghosts.
Celebrities also indulge their children with expensive designer outfits and presents.
Most parents avoid spending loads of money on clothes for young children knowing that they will quickly grow out of them. By comparison the parents of Harper Beckham and Suri Cruise spare no expense in ensuring that their daughters have all the latest fashions.
Victoria Beckham has reportedly spent thousands of pounds on clothing for her baby daughter, making her a fashion icon before she could walk! Harper Beckham is not even two years old, yet she already has a shoe collection worth around £1,500.
True, celebrities can afford luxuries with their huge salaries but like the rest of us they also have their limits. Just like millions of ‘ordinary’ people everywhere celebrities too have got into financial problems through over-spending, poor financial planning, personal problems and lack of work.
Despite earning around $740,000 a month at the height of her career Britney Spears fell into financial difficulties after her divorce in 2008 because she spent it all and saved none of it. Lindsay Lohan has spent money on expensive jewellery and cars amongst other luxuries. Unfortunately she is now struggling to maintain her lavish lifestyle due to not being able to get as many film roles as she once did.
Regardless of the recession, it doesn’t matter who you are and how much you earn, poor financial choices do eventually lead to money troubles.
