Despite facing unique challenges such as a lack of federal marriage and inheritance rights, LGBT (lesbian, gay, bisexual, and transexual) non-retirees reported a higher level of confidence in their retirement savings compared to the general population, revealed a recent nationwide Wells Fargo (NYSE:WFC) retirement survey.
Nearly two-thirds of LGBT non-retirees (61%) felt confident they’d have enough saved by the time they retire to live the lifestyle they want throughout their retirement—markedly higher than the 53% of the general population feeling the same way.
However, LGBT non-retirees are closer to the general population in the percentage that thinks they’ll need to work during retirement so they can afford their current lifestyle, at 36% verses 41%, respectively.
LGBT non-retirees are saving for retirement, but the median amount they’ve saved so far is only 17% of what they believe they’re going to need in order to retire (at least $900,000). Even though they need to save more, 62% of those surveyed haven’t increased the amount they set aside for retirement in the past year.
A small portion (about 10%) of those surveyed were aware of the “Accredited Domestic Partnership Advisor” program that was created to educate advisors about some of the LGBT community’s unique needs and financial considerations.
“Each investor has different priorities, needs, and life goals, and domestic partners and same-sex couples often have added concerns and questions about their unique financial situation,” said Kyle Young, Financial Advisor and Vice-President, Investment Officer for Wells Fargo Advisors. “It’s especially important for LGBT investors to find financial advisors who are acutely aware of the challenges, laws, and regulations that impact their investment planning needs. This additional knowledge affords clients encouragement in knowing that their needs will be heard, understood, and thoughtfully explored.”
Written by Alyssa Gerace