LGBT Adults Have Better Financial Picture

Three in five (59%) report they feel financially comfortable, compared to 51% of all U.S. adults. Two-thirds (66%) are confident in their financial future, versus 52% of all U.S. adults.  

In addition, LGBT adults appear to be taking more steps to better save and prepare for retirement. On average, nonretired and retired LGBT adults report higher median net savings than the overall population. More than half (55%) of LGBT nonretirees  report having a detailed retirement savings plan in place, compared to 42% of all adults. These LGBT respondents are more likely to have developed plans with a paid financial adviser (42%), while an additional 22% used web-based tools and calculators to assist in the process.   

LGBT adults with children consistently report more financial challenges, including preparing for retirement, than LGBT adults without children. LGBT adults with children feel less financially comfortable than those without (42% vs. 61%), and reported less confidence in their financial future (40% with children vs. 68% without). LGBT adults with children are also twice as likely to report that high living expenses are limiting their ability to save for the future (51% with children vs. 26% without).   

Despite heightened attention to same-sex marriage and civil unions, confusion remains about transfer rights and benefits for same-sex couples, the survey found. Nearly half (44%) of LGBT respondents did not know that Social Security income and benefits are not transferable to the spouse or partner in a same sex couple. Similarly, fewer than half (41-47%) of LGBT respondents correctly answered that other assets and benefits like real estate (47%), life insurance (44%) and retirement savings (41%) may be transferable depending on the state in which the same-sex couple resides. Only 36% know that Federal taxes on survivor assets or benefits are different for the spouse/partner in a same-sex marriage than in a heterosexual marriage.