We bring back one of our favorite CFPs, David Rae of FinancialPlannerLA.com, to finish our Queer Money series on generational retirement planning. You can find our show on Millennials here and GenXers here. Today’s focus is on gay boomers and all queer people in the boomer age group.
Boomers started retiring en masse in 2011. We now have five years of analysis to help this demographic make financial planning decisions.
Who are Gay Boomers?
Rae shares common trends he sees among his queer clients, most evidently bifurcated between “the haves” and “the have nots”. Prudential recently published it’s LGBT Financial Experience 2016-2017 Study, which says that only 11 percent of queer individuals feel confident that they will have enough money to last them through retirement. That means that 89 percent of our community lives with a sense of financial insecurity.
Our conversation highlighted the unique opportunities the queer community now has and the general success of coupled people, regardless of sexual orientation and gender identity, have relative to single people. Rae shares a Treasury Department study that showed single gay men tend to earn less money than their single straight counterparts tend to earn and married gay men tend to earn more money than their straight counterparts tend to earn.
Most queer couples don’t have children and this poses additional problems for the queer community. This affects long-term care and inheritance decisions. Many queer boomers today have been separated from their family because they were shunned. Add to this concern that most states still don’t have protections for queer people in institutions such as retirement centers and nursing homes.
What are Gay Boomers’ Options?
Rae gives a point-by-point guide for gay boomers and all queer people entering retirement or in retirement to help make their money outlive them. There are strategies both sets of boomers can implement to increase financial security.
Auten shares ways to generate additional income, including investing strategies and 68 Side-Hustles for Your Life and Money.