In 2005, “Baywatch” actress Pamela Anderson was reportedly earning $300,000 per TV episode, and even more money through her book deal, commercials, and an advice column for Elle Magazine. How, then, did Anderson suffer a huge loss of her net worth over the years?

In 2008, Anderson purchased a fixer-upper in Malibu and began a lavish, expensive home remodeling process that she couldn’t afford. After she failed to pay bills, she was hit with legal claims from five construction companies, with one invoice costing $674,043.

The next year, Anderson moved into a mobile home, and stated that was happy living there with her two sons. She attempted to rent or sell her Malibu mansion many times before it finally sold in August 2021 for $11.8 million, after which Anderson moved into her current home in Vancouver.

Pamela Anderson also has a tumultuous history with the IRS, owing the state of California $252,360.39 in 2009 and $493,144 in 2010, and an overall total of $371K in 2021. She even had a spot on California's list of "Top 500 Delinquent Taxpayers."

In 2013, Anderson said that she was “working on” paying off her taxes, and while she doesn’t want to blame anyone, her woes were caused by a "bizarre situation with a former business manager." Today, it’s unclear how much debt Anderson has, but her net worth is estimated at $20 million.