Kanye West recently claimed in a tweet that he was $53 million in personal debt. After the eye-catching announcement was made, West reached out to Mark Zuckerberg for help by asking him to make a one billion dollar investment in him as “the greatest artist ever.”
Controversy still circles around whether or not the debt is considered debt and whether or not the debt links to his extravagant lifestyle or the large sum of money he has put towards business ventures. One thing that stays the same, is that West’s issue that he is facing has already been faced throughout our society.
West disclosed in tweets about how he needed “access to more money in order to bring more beautiful ideas into the world.” West desires a bigger outcome in a tricky business, the fashion industry. High upfront costs and the ambiguity of whether or not investors will receive more or less of what they invest in a line of clothing or related fashion is not an issue that West has faced only by himself. This brings to light about the industry as a whole that can place individuals into a tricky financial situation that is difficult to recover from.
According to Forbes, Kanye West’s income was roughly $22 million and was $30 million in the prior year of 2014. Like millions of Americans, West is facing an issue that is faced by many students who pay monthly student loan payments or know of a parent who struggles with monthly mortgage payments.
Debt-to-income ratios have increased for young student debtors. According to a report from Pew Research Center, the typical student debtor household has debts equivalent to two years of income.
Students today will face the same situation that Kanye is currently going through, but their individual struggle of paying a student loan off after graduation will not be seen as much in the news in comparison to Kanye’s personal debt struggle and his desire for more resources and money in order to continue flourishing his ideas.
A recent “Get Kanye out of Debt” GoFundMe charity has been created in order to generate the $53 million that he claims he needs to get him out of debt. The biggest issue at play is how and why companies and individuals are actually donating to this charity. For some companies, they see the opportunity to donate as a business endeavor that can increase their customer base.
Currently, there have been 853 donations and 293 thousand social media shares of the page, but the donations that have been made have not been for the purpose of contributing to a meaningful cause. Rather, individuals have been donating in order to gain more attention around their business or charities. A donation of $200 from watchdogjobs.com used its donation to advertise various employment opportunities, such as “Don’t be like Kanye, get a job to get out of debt.”
Using Kanye’s situation as an opportunity to make a profit exemplifies how society commonly abuses the whole charity system. Charitable donations are supposed to go to causes that make a lasting impact and help people in the world who are in need.
Companies could have taken a route that could have assisted those suffering from the bigger income inequality issues that relate in this situation, but instead they continue to search for a personal gain when they see the chance and oversee bigger issues that continue to be overlooked and plague the world.