What was Michael Jackson's net worth at the time of his death? New court documents reveal staggering debt owed by pop legend

Michael Jackson's estate petitioned the Los Angeles County Superior Court on June 21, 2024, to repay legal and other expenses from July to December 2018. Court documents revealed Jackson had over $500 million in debt before his death.

Despite his record album sales, his net worth was negative $500 million at the time of his death, according to CelebrityNetWorth. Jackson was preparing for his "This Is It" residency, set to start in July 2009, when he died in June at age 50. The lawsuit stated his debt accumulated to $30 million per year, with high interest rates in some cases.

On the other hand, several firms are seeking $3.5 million in legal fees through the petition and there is another pending decision linked to a court case with the IRS back in 2021.

CelebrityNetWorth states that despite his financial condition, Michael Jackson gained recognition as the highest-earning dead celebrity. Jackson's executors also finalized a deal worth $250 million with Sony after his death to sell the rights to his future projects.

Following his demise, the artist's executors supported his finances and even released a film titled Michael Jackson's This Is It. The documentary received a positive response and accumulated more than $200 million at the box office.

---

Michael Jackson's debt amount kept on rising with time: Lawsuit details explained

While it has been revealed that Michael Jackson's debt amount was more than $500 million, his public accountant William R. Ackerman had previously opened up about Michael's spending habits in 2013 while appearing at a wrongful-death trial. The recent lawsuit filed by his estate also states:

"The Executors were able to renegotiate and restructure financing arrangements that existed at the time of Michael's death, at substantially reduced interest rates, enabling the Estate to avoid the loss of any assets to the lenders and ultimately to satisfy the encumbrances that existed at the time of Michael's death."

The court documents also include claims from more than 65 creditors and it says that he had several lawsuits pending in various states and countries. The documents mention that the Executors have meanwhile managed to resolve the "claims and litigation" of the creditors.

The Moonwalker star's debt issues originally started back in 1993 and it increased to $140 million by 1998. As mentioned, Michael Jackson was preparing for the This Is It residency, which also affected his earnings.

Since the event was canceled due to his death, concert promoter AEG was seeking $40 million, and in an interview with Rolling Stone in 2009, the company's former CEO Randy Phillips described Jackson as a "smart marketing person." He continued:

"People say he was feeble and manipulated, but he was powerful and a manipulator. He was ready. He wanted to clean up his finances. He was ready to stop living like a vagabond and settle down and earn money again."

Michael Jackson's estate has been involved in a legal battle for a long time, including a lawsuit that was filed by his son Bigi in March this year. The court documents stated that his grandmother Katherine should not be allowed to use the estate to finance a case with the executors in an unknown spat related to a transaction.