Tyra Banks is without a doubt one of the most successful models of her generation. Since retiring from the catwalk, she’s found a new calling in hosting her own talk show and the long-running model competition, ‘America’s Next Top Model’.
Thanks to these and Banks’ own acumen for business, she’s impressively built a fortune worth $90 million. But she almost didn’t get to enjoy the fruits of her hard work.
Saving Problem
According to Banks, her diligent investing and saving habits became a problem for her at one point. Since she didn’t enjoy things, she recalls saving what she earned to a fault.
Things got so bad that her accountants actually ended up pulling her aside to confront her about it. During the confrontation, which happened about 15 years ago, the former Victoria’s Secret model was encouraged to spend more as she was just giving away her money to the government as taxes.
Thus, they opened an ‘F Account’ for her, which contained a yearly budget dedicated for frivolous spending. Banks recalls spending the money on private planes, which she now regrets. Looking back, she wished she bought art and other things that appreciate over time instead.
Financial Lessons from Mom
Banks’ saving habits started way before she was a model though. She was also taught by her mother Carolyn London early on about the value of real estate and investing.
All of these resulted in her leading a thrifty lifestyle while her fellow models were busy living the high life. It paid off. By age 20, she’s already bought a house with her savings.
Even more impressive is that her mother has already arranged for an investment banker for Banks a year prior. He remains to manage her portfolio to this day.
On Retiring
Today, the 46-year-old shows no signs of stopping just yet. Although she does look forward to retiring someday, she remains busy improving her portfolio.
Banks shares that she’s currently working on legacy businesses that will carry on even after her passing emphasizing how important it is for her to create something that’ll outlive her.
One of her current projects is ModelLand, a model-themed theme park that sought to bring modeling closer to the masses.
The still-in-progress venture will reportedly allow people to be a model for a day and serve as a place where they can celebrate their own beauty.