STUDY: LGBTs Better Prepared For Retirement, Or At Least They Think They Are

A survey sponsored by Wells Fargo & Co. indicates roughly 61% of LGBT investors expect to have saved enough by the time they retire to live the rest of their lives in their desired lifestyle. That compares to 53% for the general population.Wells Fargo We must be a pretty optimistic bunch!

What’s more, only 36% of gay respondents thought they’d be working in their Golden Years.

Okay, now we’re just being delusional.

“The confidence level is built into the fact that they have more discretionary spending and a higher ability to aggressively save, as well as a lower level of debt than the average American,” said Kyle Young, whose team oversees more than $100 million in assets for about some LGBT households.

But is that confidence overconfidence?

Sure, there’s that idea that gays make more money. And, yes, some of us are doing well and don’t cave kids to worry about. But misfortune and financial ruin can hit any of us at any time. And, let’s face it, plenty of LGBTs don’t have an inheritance to cash in on.

But there’s some meat to this study: LGBT respondents have saved, on average, $150,000, or 17%, of the $900,000 they think they’ll need. Most Americans has saved about 13% of their nest egg.

So we have more invested in retirement—but less protections when the time come.  “Many retirement benefits— from Social Security to pensions—still do not have inheritance rights for partners who are not recognized on the federal level as spouses,” says Young.

Still think marriage is just about love?

[Source: Investment News]