- Today is Meghan Markle’s 39th birthday. It’s her first birthday since she and Prince Harry stepped back from royal duties.
- The decision made it so they no longer receive money from the crown through the “sovereign grant” and are both eligible to earn a professional income. Now, they’re positioned to build a billion-dollar brand, but they’re already worth about $30 million.
- When the couple got married in 2018, however, they forewent a prenuptial agreement and merged their finances.
- Prince Harry’s net worth is at least $25 million, which is made up of an inheritance from Princess Diana and an annual allowance from Prince Charles.
- Markle, a former TV actress, has a net worth of around $5 million.
- Visit Business Insider’s homepage for more stories.
Meghan Markle is celebrating her 39th birthday today – her first since she and Prince Harry stepped down from their royal duties.
They’re reportedly living in Los Angeles and pursuing passion projects. And they’re doing so without help from the Queen. When they gave up their titles, they also gave up a “sovereign grant” provided by the treasury.
Now, they are paying back the sovereign grant for the $3 million, taxpayer-funded renovation of Frogmore Cottage, where they previously lived. Their lifestyle isn’t maintained by the crown anymore, but they never had to rely solely on the crown anyway.
According to Daily Mail royal correspondent Rebecca English, Meghan and Harry are expected to still receive funds from the Duchy of Cornwall, a private fund managed by Prince Charles, which amounts to £2.3 million ($3 million) a year.
Before marrying Prince Harry, Markle was earning close to half a million dollars a year starring in the USA Network drama "Suits," plus a five-figure income from endorsement deals and sponsorships. Money.com reported in 2018 that her total net worth was estimated to be $5 million.
Their combined net worth, however, is more than five times that. Prince Harry's net worth is at least $25 million (£19 million) and as much as $40 million (£30 million), according to 2018 estimates from Money.com.
Here's where all that pre-royal money came from.
Along with Prince William and Kate Middleton, Harry receives an annual seven-figure allowance from his father, heir to the throne Prince Charles, which is used to cover expenses like travel and wardrobe.
Between April 2016 and March 2017, the Duke and Duchess of Cambridge and Harry split nearly $5 million (£3.5 million) in allowance from their father, according to an annual review released by Clarence House.
Prince Charles derives that money, in part, from a private estate called the Duchy of Cornwall, which has funded the royal family's public and private lives for nearly 700 years.
The majority of the British monarchy's wealth comes from inherited lands and investments. The Duchy of Cornwall, specifically, provided a total of $28.8 million (£22 million), including Harry and William's allowance, to Prince Charles and his wife Camilla between 2016 and 2017.
Since age 21, Harry and William have also been receiving a $450,000 a year investment profit from Princess Diana's estate, which they pay taxes on to the UK government.
They received a sizeable inheritance from their late mother estimated to be around $10 million each, which each prince gained access to on his 30th birthday.
Plus, Prince Harry served in the British Royal Air Force for 10 years.
For his service as a helicopter pilot for the Army Air Corps, he earned an annual income of between $50,000 and $53,000, per Forbes.
These factors combined suggest Prince Harry's net worth is at least $25 million.
Source: Money
Meghan Markle, on the other hand, was potentially worth around $5 million herself before she and Harry combined their finances.
Source: Money
Before marrying Prince Harry, Markle was was earning close to half a million dollars a year, starring in the USA Network drama "Suits."
Source: Town & Country
She was also earning a five-figure income from endorsement deals and sponsorships.
Source: Business Insider
When the couple got married in 2018, they chose to skip a prenuptial agreement and merge their finances.
The merging of the couple's finances was expected to "cause tax headaches" and create some "mundane hurdles" for the royal family, as The Washington Post first reported before the wedding.
Markle is a citizen of the US and was purportedly living in the UK on a family visa, according to the BBC. If she eventually becomes a dual US-UK citizen, Markle will have to continue filing her taxes each year with the IRS. If she has more than $300,000 in assets at any point during the year, she will have to file a specific form that details foreign assets, which could include foreign trusts, subjecting the royal family "to outside scrutiny," according to the Post.
"The key for Meghan and her advisors would be to figure out what type of income she will be getting," Avani Ramnani, director of financial planning and wealth management at Francis Financial, told Business Insider before the royal wedding. "Will this income be from the investments of a trust, or 'wages' for any work that she does, or any other type of income? Sometimes, getting one form of income is more advantageous than another."
But, as a royal, the Duchess was not eligible to work professionally or earn a professional income, leaving her beholden to the crown.
The couple's decision to step back from their royal duties changes that, allowing them to pursue becoming "financially independent."
