January 13, 2011

The Rolling Stones are one of the world’s most famous and longest-lived rock bands. They’ve sold over 200 million albums, grossed over $2 billion since 1989 and even as members of the band approach the age of 70, they continue to perform to millions of adoring fans worldwide. (Their most recent concert tour earned over $500 million.)

Although most of us will never be rock stars, there are some valuable personal finance lessons to be learned from the Rolling Stones:

Be the owner of your career.

The Rolling Stones created their own record label to have more creative control over their music and keep a bigger share of the profits for themselves. This was at a time in the music industry when many artists were not able to attain that level of freedom and profitability – the history of the music business is full of stories of young musicians who never got a fair share of the rewards of their creative work.

What’s the lesson here? Think like an owner of your career, not just an employee of your company. No matter what happens to the company where you work, you need to have transferable skills that will serve you well at any employer. Just like the Rolling Stones didn’t want to depend on a record label, try to manage your career in a way that you never have to depend on just one employer. Some of the best job security comes from being flexible and adaptable to change.

Live within your means.

Despite their lavish lifestyles, the Rolling Stones seem to be in pretty good financial shape. They spend a lot of money on cars and luxurious homes, but they can afford to spend it because they make so much more. Even with all the money he’s spent over the years, Mick Jagger’s personal fortune is estimated at over $300 million. The lesson for the rest of us? You will probably never earn as much money as Mick Jagger, but you’ll be better off if you live like Mick by spending less than you earn.

Pay attention to taxes.


Keith Richards has been interviewed saying that the Rolling Stones make most of their business decisions based on taxes – they rehearse in Canada rather than the United States to avoid paying higher tax rates and they don’t do any business anymore in the United Kingdom because the tax rates are even higher there. The Rolling Stones are in a much higher tax bracket than most of us, but you can still learn from their example: taxes are one of the single biggest expenses that most people pay in any given year. If you can minimize your taxes with home loan interest deductions, tax-deferred contributions to a qualified retirement plan (like a 401(k)) or college savings plans like 529s (which offer tax advantages depending on the state), you can reduce the amount of money that you owe in taxes, and increase the amount of money that you can keep.

Maximize your peak earning years.

Unlike many other flash-in-the-pan rock bands and one-hit-wonders that had a narrow window of opportunity to make money, the Rolling Stones have become more profitable as time goes by, and as their fan base has grown older (and wealthier) along with them. Most careers resemble the Rolling Stones’ in this way – you will likely earn much more money when you’re in your 50s and early 60s than you earned at age 25. This makes it important to save as much money as you can while you’re in your peak earning years. Age 50 to 65 is a crucial time to save for retirement.

This doesn’t mean you should skimp on retirement savings when you’re younger – age 22 to 30 is important as well; these are the “wealth building years” when people are less likely to have children, and the earlier you save, the more time your savings will have to grow. Or if you’re younger and currently have a high-paying job, and you want to downshift your career or stay home with kids, save as much as you can while you have the big salary; this will make an easier transition to your lower-paying new career.

Why retire if you’re doing what you love?

The Rolling Stones are still touring into their late sixties – but apparently it’s not because they need the money. If you want to keep working as long as the Stones, make sure it’s because you’re doing something you love; not because you can’t afford to retire.

It may sound strange to use a rock band as an example of the importance of financial planning, but the Rolling Stones have become almost as famous for their financial savvy as they have been for their music. Even if you’ll never dance like Mick or strum a guitar like Keith, you can learn a lot from the principles shown by the Rolling Stones. Hopefully we’ll all be able to retire like rock stars – in our own modest way.

[www.quizzle.com]



I am a Frenchie ,as Mick affectionately called them in the Old Grey Whistle Test in 1977 .

There's been lots of valuable lessons learned from the Stones in my life. Thanks!

I would add:

- Don't pay anyone unless you absolutely cannot get away with not paying them.

And: use a metal detector for those hidden treasures

The Stones don't own the rights to their records before 1970 do they????
Lesson to be learnt!! Even the Stones make financial mistakes.


John Nicholls

Well, they made mistakes, but they did their best to correct them, and not keep crashing in the same car. (Thank you, David). They sold fewer records in the 60s, but Allen Klein had negotiated a higher royalty rate for them than the Beatles had. I'm sure they rarely pay for anything that isn't tax deductible. As Chuck Berry pointed out, guitars are a business expense eligible for depreciation and replacement. Or,turn your metal detecting hobby into a humorous, but profitable business.

There's lots of life lessons from the Stones, beginning with to make sure you die before all your illegitimate children are old enough to come looking for you. Who's the smart one now, Mick?

I just finished Michael Caine's new memoir THE ELEPHANT TO HOLLYWOOD and he mentions he might rather have been a comedian. And he relates the lulls in his career when he was waiting for the phone to ring. And he didn't say so, but he might have imagined a comedian's career as one where you dictate your fate a bit more. "I think I'll play Vegas this summer." As an actor you're more the victim of others' whims.

Incidentally, Michael Caine relates walking through London and bumping into Charlie Watts, whom he hadn't seen in years. As they talked, Caine's cell phone rang, and when he was done Charlie said, "Who was that?" Caine said, "Roger Moore. He's about the be knighted and he's worried about kneeling because he has bad knees. I told him `Don't worry they have a railing for people to grab to help them stand back up.'"

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Title5Take1
I just finished Michael Caine's new memoir THE ELEPHANT TO HOLLYWOOD and he mentions he might rather have been a comedian. And he relates the lulls in his career when he was waiting for the phone to ring. And he didn't say so, but he might have imagined a comedian's career as one where you dictate your fate a bit more. "I think I'll play Vegas this summer." As an actor you're more the victim of others' whims.

Incidentally, Michael Caine relates walking through London and bumping into Charlie Watts, whom he hadn't seen in years. As they talked, Caine's cell phone rang, and when he was done Charlie said, "Who was that?" Caine said, "Roger Moore. He's about the be knighted and he's worried about kneeling because he has bad knees. I told him `Don't worry they have a railing for people to grab to help them stand back up.'"

Funny !



I am a Frenchie ,as Mick affectionately called them in the Old Grey Whistle Test in 1977 .

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Title5Take1
I just finished Michael Caine's new memoir THE ELEPHANT TO HOLLYWOOD and he mentions he might rather have been a comedian. And he relates the lulls in his career when he was waiting for the phone to ring. And he didn't say so, but he might have imagined a comedian's career as one where you dictate your fate a bit more. "I think I'll play Vegas this summer." As an actor you're more the victim of others' whims.

Incidentally, Michael Caine relates walking through London and bumping into Charlie Watts, whom he hadn't seen in years. As they talked, Caine's cell phone rang, and when he was done Charlie said, "Who was that?" Caine said, "Roger Moore. He's about the be knighted and he's worried about kneeling because he has bad knees. I told him `Don't worry they have a railing for people to grab to help them stand back up.'"

<<< I just finished Michael Caine's new memoir THE ELEPHANT TO HOLLYWOOD and he mentions he might rather have been a comedian. >>>

Well as far as I'm concerned the man IS a comedian, cos' he sure as s**t can't act. The only trouble is, the joke is on us, the public. Can't stand the guy.

[ I want to shout, but I can hardly speak ]

excellent post....

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SwayStones
January 13, 2011

The Rolling Stones are one of the world’s most famous and longest-lived rock bands. They’ve sold over 200 million albums, grossed over $2 billion since 1989 and even as members of the band approach the age of 70, they continue to perform to millions of adoring fans worldwide. (Their most recent concert tour earned over $500 million.)

Although most of us will never be rock stars, there are some valuable personal finance lessons to be learned from the Rolling Stones:

Be the owner of your career.

The Rolling Stones created their own record label to have more creative control over their music and keep a bigger share of the profits for themselves. This was at a time in the music industry when many artists were not able to attain that level of freedom and profitability – the history of the music business is full of stories of young musicians who never got a fair share of the rewards of their creative work.

What’s the lesson here? Think like an owner of your career, not just an employee of your company. No matter what happens to the company where you work, you need to have transferable skills that will serve you well at any employer. Just like the Rolling Stones didn’t want to depend on a record label, try to manage your career in a way that you never have to depend on just one employer. Some of the best job security comes from being flexible and adaptable to change.

Live within your means.

Despite their lavish lifestyles, the Rolling Stones seem to be in pretty good financial shape. They spend a lot of money on cars and luxurious homes, but they can afford to spend it because they make so much more. Even with all the money he’s spent over the years, Mick Jagger’s personal fortune is estimated at over $300 million. The lesson for the rest of us? You will probably never earn as much money as Mick Jagger, but you’ll be better off if you live like Mick by spending less than you earn.

Pay attention to taxes.


Keith Richards has been interviewed saying that the Rolling Stones make most of their business decisions based on taxes – they rehearse in Canada rather than the United States to avoid paying higher tax rates and they don’t do any business anymore in the United Kingdom because the tax rates are even higher there. The Rolling Stones are in a much higher tax bracket than most of us, but you can still learn from their example: taxes are one of the single biggest expenses that most people pay in any given year. If you can minimize your taxes with home loan interest deductions, tax-deferred contributions to a qualified retirement plan (like a 401(k)) or college savings plans like 529s (which offer tax advantages depending on the state), you can reduce the amount of money that you owe in taxes, and increase the amount of money that you can keep.

Maximize your peak earning years.

Unlike many other flash-in-the-pan rock bands and one-hit-wonders that had a narrow window of opportunity to make money, the Rolling Stones have become more profitable as time goes by, and as their fan base has grown older (and wealthier) along with them. Most careers resemble the Rolling Stones’ in this way – you will likely earn much more money when you’re in your 50s and early 60s than you earned at age 25. This makes it important to save as much money as you can while you’re in your peak earning years. Age 50 to 65 is a crucial time to save for retirement.

This doesn’t mean you should skimp on retirement savings when you’re younger – age 22 to 30 is important as well; these are the “wealth building years” when people are less likely to have children, and the earlier you save, the more time your savings will have to grow. Or if you’re younger and currently have a high-paying job, and you want to downshift your career or stay home with kids, save as much as you can while you have the big salary; this will make an easier transition to your lower-paying new career.

Why retire if you’re doing what you love?

The Rolling Stones are still touring into their late sixties – but apparently it’s not because they need the money. If you want to keep working as long as the Stones, make sure it’s because you’re doing something you love; not because you can’t afford to retire.

It may sound strange to use a rock band as an example of the importance of financial planning, but the Rolling Stones have become almost as famous for their financial savvy as they have been for their music. Even if you’ll never dance like Mick or strum a guitar like Keith, you can learn a lot from the principles shown by the Rolling Stones. Hopefully we’ll all be able to retire like rock stars – in our own modest way.

[www.quizzle.com]

form a Dutch corporation and avoid the tax man.end of story.

I once met a guy who did some business with them in the past (this person now runs the Wolfgang's Vault website). He said he observed a photographer complaining to the Stones about not being paid. Keith said something like "you got to work with the Rolling Stones, that's your payment". We fans may not like to admit it, but this is the way they operate in business matters.

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71Tele
I once met a guy who did some business with them in the past (this person now runs the Wolfgang's Vault website). He said he observed a photographer complaining to the Stones about not being paid. Keith said something like "you got to work with the Rolling Stones, that's your payment". We fans may not like to admit it, but this is the way they operate in business matters.

No chance this story could have been embellished on down the line?

I'm guessing this could have been a young photographer who was complaining to the wrong person and Keith just decided to have a little fun with the situation, or the photographer could have been bullshitting Keith.

I really doubt the Glimmers sign all the checks.
Don't they have a manager that takes care of things like this?

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Edith Grove

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71Tele
I once met a guy who did some business with them in the past (this person now runs the Wolfgang's Vault website). He said he observed a photographer complaining to the Stones about not being paid. Keith said something like "you got to work with the Rolling Stones, that's your payment". We fans may not like to admit it, but this is the way they operate in business matters.

No chance this story could have been embellished on down the line?

I'm guessing this could have been a young photographer who was complaining to the wrong person and Keith just decided to have a little fun with the situation, or the photographer could have been bullshitting Keith.

I really doubt the Glimmers sign all the checks.
Don't they have a manager that takes care of things like this?

Sure there's a chance it could have been embellished. I wasn't there. But I have heard similar stories from others.

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71Tele
I have heard similar stories from others.

Oh well, then it must be true. I'll drink to that cheers

-------------------
Keep On Rolling

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Rolling Hansie

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71Tele
I have heard similar stories from others.

Oh well, then it must be true. I'll drink to that cheers

Point is, they have a reputation for being rather stingy in business matters. Exhibit A: A certain Mick Taylor.

71 Tele- could be true. Keith is known for his gererosity. This info comes as a surprise. I could see Mick saying that though. He is Mr. Frugality.

How about our Seahawks??

They'd be examples of how *not* to do it, since they violated all of those dicta, except the last one, during their prime period.

Another good rule would be 'Don't let your hobbies or vices interfere with your career'. All the money they would have saved by moving to France in 1970 was gobbled up in legal bills after they were busted at Nellcote. And the aftermath of Toronto nearly derailed them permanently.

The Stones are notorious for being cheap. Jeff Beck refused to tour with Mick because he said that Mick only wanted to pay him session musician rates. I have read accounts where they didn't pay domestic staff. Not giving songwriting credit also absolves them from sharing royalty money, as well as glory.

However, I was told (directly) by someone who works for a non-profit in NYC that the Stones paid the expenses for certain struggling blues musicians to appear at some show.

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Midnight Toker
71 Tele- could be true. Keith is known for his gererosity. This info comes as a surprise. I could see Mick saying that though. He is Mr. Frugality.

How about our Seahawks??

I am not a fan of the local team (I like the NY Football Giants), but was happy they beat NO, and if they can manage to defeat Chicago we will have the NFC Championship Game in Seattle. Hard to believe.

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71Tele

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Edith Grove

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71Tele
I once met a guy who did some business with them in the past (this person now runs the Wolfgang's Vault website). He said he observed a photographer complaining to the Stones about not being paid. Keith said something like "you got to work with the Rolling Stones, that's your payment". We fans may not like to admit it, but this is the way they operate in business matters.

No chance this story could have been embellished on down the line?

I'm guessing this could have been a young photographer who was complaining to the wrong person and Keith just decided to have a little fun with the situation, or the photographer could have been bullshitting Keith.

I really doubt the Glimmers sign all the checks.
Don't they have a manager that takes care of things like this?

Sure there's a chance it could have been embellished. I wasn't there. But I have heard similar stories from others.

71Tele is right, they have a massive reputation for being stingy with others. I'm really surprised people here think otherwise. I must say, the entertainment industry in general is like this too. But the Stones have a rep in this area that goes through the decades. Ah well, John Lennon always said that acts like the Beatles would say "As I travel through the valley of the shadow of death I shall fear no evil, for I am the biggest bastard in the valley". Mick and Keith sussed out many decades ago how to play the game.

Crap article. Somebody wanted to write somthing about the stones and came up with stuff that couldn't be more trivial.

- if you habe people working for you make sure they have the right skills
- spend less than you make
- pay as litte taxes as you can
- save some money for retirement
- work as long as you have fun with your work

Wow, give the man the Nobel prize ><

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Bliss
The Stones are notorious for being cheap. Jeff Beck refused to tour with Mick because he said that Mick only wanted to pay him session musician rates. I have read accounts where they didn't pay domestic staff.

This story doesn't surprise me so much .Jagger became a terrifying /formidable business man .



I am a Frenchie ,as Mick affectionately called them in the Old Grey Whistle Test in 1977 .

Stories do surface concerning their generosity towards blues legends (like Hubert Sumlin). I have no doubt they do things privately to help certain people. No one can question their business acumen over the years, first sponsored tour (Jovan '81), their own record company, etc. Let's hope what we learn is that yes, they made mistakes, but they did their best to learn from them and put effort forth to correct their situations.