Net Worth: $1.2 Billion
What Is Magic Johnson’s Net Worth?
Thousandwords / Depositphotos.comMagic Johnson’s net worth is estimated to be $1.2 billion.. The retired American basketball player and entrepreneur was the first overall player selected in the 1979 NBA Draft by the Los Angeles Lakers. Johnson played point guard for the Lakers for 13 seasons. During his rookie season in the NBA, Johnson and the Lakers won the NBA Championship and Magic Johnson took home the NBA Finals Most Valuable Player Award.
Johnson was diagnosed with HIV in 1991 and was forced to leave the Lakers. His time away from the team led to the creation of his business, Magic Johnson Enterprises. His company invests in everything from entertainment and real estate to healthcare. It’s his post-NBA career that has earned Magic Johnson most of his fortune.
Johnson’s billionaire status was first announced in October 2023, marking a long journey to his place in the three-comma club and making him the fourth athlete to reach billionaire status.
Let’s take a close look at Magic Johnson’s net worth from the NBA to his massively successful conglomerate.
Magic Johnson Made Money From Product Endorsements
While we don’t know how much Magic Johnson earned from his various product endorsements, we know that he worked with some big and growing companies and Forbes estimates he earned around $2 million a year from product endorsements.
Among his bigger endorsements were Converse, Starbucks, 24 Hour Fitness, AMC Theaters, and T.G.I. Fridays.
While Magic Johnson’s net worth certainly grew from his product endorsements, they only played a small part in his climb to billionaire status.
How Much Did Magic Johnson Get Paid By The Los Angeles Lakers
PopularImages / Depositphotos.comMagic Johnson holds the record for the longest contract in NBA history. Johnson signed a 25-year deal with the LA Lakers in 1984 which was worth $1 million per year until 2009.
While Johnson retired during the 1991 to 1992 season, if he had played out his entire contract he would have been 49 years old at the time of retirement.
Here’s how Magic Johnson earned $39,342,860 from the Los Angeles Lakers
| YEAR | TOTAL CASH |
|---|---|
| 1979-80 | $460,000 |
| 1980-81 | $460,000 |
| 1981-82 | $460,000 |
| 1982-83 | $460,000 |
| 1983-84 | $460,000 |
| 1984-85 | $1,000,000 |
| 1985-86 | $2,500,000 |
| 1986-87 | $1,000,000 |
| 1987-88 | $2,500,000 |
| 1988-89 | $3,142,860 |
| 1989-90 | $1,000,000 |
| 1990-91 | $2,400,000 |
| 1991-92 | $2,500,000 |
| 1992-93 | $2,500,000 |
| 1993-94 | $2,500,000 |
| 1994-95 | $1,000,000 |
| 1995-96 | $1,000,000 |
| 1996-97 | $1,000,000 |
| 1997-98 | $1,000,000 |
| 1998-99 | $1,000,000 |
| 1999-00 | $1,000,000 |
| 2000-01 | $1,000,000 |
| 2001-02 | $1,000,000 |
| 2002-03 | $1,000,000 |
| 2003-04 | $1,000,000 |
| 2004-05 | $1,000,000 |
| 2005-06 | $1,000,000 |
| 2006-07 | $1,000,000 |
| 2007-08 | $1,000,000 |
| 2008-09 | $1,000,000 |
| 2009-10 | $1,000,000 |
| Est. Earnings (31 seasons) | $39,342,860 |
Magic Johnson Enterprises Is A Billion Dollar Business
photoworksmedia / Depositphotos.comMagic Johnson’s net worth started to quickly rise in retirement. The former NBA player launched Magic Johnson Enterprises and quickly started to invest in various high-growth areas. Today, his company is valued at more than $1 billion.
Here are a few of the big movies Magic Johnson has made over the years.
1994: Magic Johnson paid $10 million for 4.5% of the Los Angeles Lakers. He sold his stake in 2010 to billionaire Patrick Soon-Shiong for somewhere in the vicinity of $29 million.
2010: The same year that he sold his stake in the Los Angeles Lakers, Magic Johnson also sold his collection of 100 Starbucks franchise locations for an impressive $75 million.
2012: Magic Johnson and a group of investment partners purchased the Los Angeles Dodgers for $2 billion from the team’s previous owner, Frank McCourt. Magic Johnson invested $50 million of the capital required to purchase the team.
2014: Johnson continues down the path of team ownership, purchasing the Los Angeles Sparks of the WNBA. He followed that up by announcing his co-ownership of a soccer team with the Los Angeles Football Club.
2015: Moving into new territory, Magic Johnson acquired a controlling interest in EquiTrust Life Insurance Company which controls more than $15 billion in life insurance, annuities, and other insurance-based products.
2023: Magic Johnson joined the investment group led by Josh Harris who spent $6.05 billion to buy the NFL’s Washington Commanders.
Magic Johnson’s net worth of $1.2 billion makes him the second highest earner among the richest basketball players in the world, behind only Michael Jordan’s net worth which is now sitting above $3 billion, and just ahead of Lebron James’ net worth that also reached the $1 billion mark in 2023.
