Quick Links
Lindsay Lohan was once the youngest and one of the highest-paid Hollywood superstars who became a millionaire before being an adult. Sadly, she soon lost her millions.Fans remember Lindsay for her part in Mean Girls, and it automatically becomes hard to believe that she lost her wealth so drastically. Lohan was once so successful in the film industry that her net worth had skyrocketed to approximately $40 million. Today her net worth is about $800,000.
Lohan was born in the Bronx district of New York City, United States, in 1986 and eventually grew up in Long Island. She was introduced to the lights and camera at the tender age of three when she signed with Ford Models. Her debut in Hollywood was through the roles of the twins in the 1998 movie 'The Parent Trap.' Lohan was considered a star from the beginning of her career, and according to Celebrity Net Worth, she even won a Young Artist Award for this performance.
Things got better for the young star. 2004 became a particularly successful year as Lindsay made millions from the movies 'Mean Girls and 'Confessions of a Teenage Drama Queen.' Among her other highest-grossing films are 'Georgia Rule,' 'Just My Luck,' and 'Herbie Fully Loaded,' to name a few. According to Showbiz Cheatsheet, the actress earned a jaw-dropping $20 million solely from her extraordinarily successful acting career.
Here is how Lindsay Lohan lost her millions.
Short-Lived Business Ventures
Being a young actress, Lindsay was immensely inspired by older successful actors who, besides acting, simultaneously launched a prosperous music career. She wanted the same for herself. She has also sung the tracks of her movies like 'Freaky Friday' and 'Confessions of a Teenage Drama Queen.'
In 2004, her debut album 'Speak' was released; although it reached the number 4 spot on music charts, it was not well received by music critics like Stephen Thomas Erlewine of AllMusic. She also tried making money from her fashion line called 6126. Lindsay was trying desperately to make up for the money she was spending carelessly on miscellaneous luxury merchandise. At the same time, she was trying to be an overachiever like her role models and did not expect her life to fall apart.
Lohan's Splurging Tendencies
Lohan's extravagant spending habits became a bane in her life too soon, reducing her net worth to thousands from millions. She was once in possession of expensive cars and handbags. She also owned several Hermes Birkin handbags, which had an estimated price range of about $12000 to $20000.
The actress was not only a spendthrift but also a careless personality in her youth. In 2006, she was reported to have misplaced one of her expensive handbags, and a significant part of her massive loss was the jewelry worth $1 million inside the bag.
Narcotics and Drug Addiction
One of the main reasons for Lohan splurging her fancy bucks was said to be a "party" lifestyle. The successful actress struggled with addiction from a young age and ended up spending large amounts every week on her habit alone. She would also attend several nightclubs for parties, which created a dent in her bank balance.
This addiction made not only her unwell but also a problematic pick for directors in famous movies. Lohan started to receive fewer calls after her drug addiction as she became increasingly difficult. During the shoot of one of her last highest-grossing films, 'Georgia Rule,' the actress was reported to fall sick frequently, remain exhausted, and arrive late on set mainly because of her drug problem. She was criticized for her highly unprofessional behavior, and eventually, she began losing out on significant films.
Debts and Legal Affairs
Most of Lohan's Legal affairs were related to the enormous debts that kept piling up on her. At one point, she was so deep into drug addiction that she would purchase drugs worth thousands of dollars on credit.
Unpaid taxes were another reason why she got tangled in legal issues. In 2012, Lohan owed a massive amount of about $233,904 in due taxes. According to Nicki Swift, the amount had catapulted to $100,710.55 by 2017.
There were other forms of debt that Lindsay Lohan had failed to settle up, for example, the obligation to a limousine company for their services in 2011, where the bill was as high as $100,000. In 2012, she had a debt of about $40,000 at a tanning salon in Las Vegas, leading to a legal battle as a Nevada judge was forced to get involved when things got out of hand.
Lindsay tried out different things in showbiz to recover from her financial losses. She earned a few million from her interviews with Oprah Winfrey. But most of her earnings were used up in covering unpaid debts.
Source: Celebrity Net Worth, Nicki Swift, Nzherald.co.nz, Showbiz Cheatsheet