LGBTQ+: Financial Plans and the Potential Cost of Waiting

I was talking to a colleague recently who said, “It’s such a good feeling to look back and know that I did something for my future self—the person I am today.”

That idea stuck with me. For most people, financial freedom doesn’t arrive in one big moment, but over a period of time. It’s built quietly, through decisions made before actually feeling “ready.” For many couples in the LGBTQ+ community, waiting to take the big plunge regarding shared planning isn’t just about confidence—it’s about uncertainty, history, and sometimes even self‑protection. Before we look at the risks of waiting to start financial-related planning, let’s consider some telling data points that help illustrate the challenges at hand for the LGBTQ+ community: 

• According to a report by the CFP Board, 74% of LGBTQ+ investors trust their own research first, above all others, when it comes to financial planning advice¹
• 30.8% of LGBTQ+ adults have experienced discrimination in financial services, contributing to avoidance and delay²
• LGBTQ+ save less in retirement accounts compared with the general population (20% to 25%)³
• According to a survey by Prudential, LGBTQ+ respondents said they were less likely to save for retirement with investment tools like savings accounts, 401(k)s, pensions and stocks³

What gets missed by waiting

For younger LGBTQ+ couples, delaying the planning process often feels reasonable. Careers are ramping up, incomes are growing and retirement feels distant, especially when life feels full of dinner reservations and travel plans. Many couples assume there will be plenty more time to get serious once things settle down or feel more permanent.

On the contrary, this stage of life is often the most valuable planning window for finances. Early decisions don’t need to be perfect in order to be powerful; they simply need to exist. Waiting until everything feels settled often means giving up the very advantage that makes planning for younger couples easier in the first place: time.

Unprotected partners and chosen family

For LGBTQ+ couples, the absence of planning can be especially consequential, particularly when a relationship isn’t legally formalized. Without clear estate documents, unmarried partners can be treated as legal strangers. Medical decisions, inheritance and beneficiary designations must be intentionally put in place because they cannot be assumed. Chosen family plays a critical role for many in the LGBTQ+ community, yet from a legal standpoint, it is rarely recognized by default.

Missed tax and benefit opportunities

Significant progress has been made through marriage equality, but sound planning is still required. Tax efficiency, retirement account strategy, healthcare decisions and survivor benefits all require forward‑thinking alignment to help maximize their usefulness.

Lack of long-term alignment

One of the most overlooked costs of delay is the absence of a clear, shared direction. Without a defined framework for financial independence, decisions remain reactive rather than intentional.

Delays affect everyone equally. Whether a household earns $500,000 or manages $30 million, time works the same way. Starting later means fewer years for compounding growth potential and fewer strategic options. Starting earlier creates flexibility. It gives you room to pursue opportunities and passion projects that may not go your way. The ability to pivot is one of the most powerful advantages that early planning provides.

Rethinking the role of an advisor

Many people assume advisors are only for the ultra‑wealthy. Others assume that they can do it themselves, especially with so much information and “expert” advice readily available online these days.

This is where the perception often needs to shift. Working with a professional advisor isn’t about handing over control. It’s about gaining clarity, structure and guidance. A trusted advisor helps protect individuals and relationships as they grow into families (or chosen families) and move through different stages of life. Ultimately, this is about creating alignment around the life you want to build.

High income, no plan

Consider a couple who has built a beautiful life together. They earn good incomes, share expenses and align on long‑term goals and values. On the surface, everything looks solid. But without formalizing key financial and legal decisions, gaps begin to form—maybe quietly at first. These gaps emerge during job changes, health events, relocations, family transitions or unexpected losses. Over time, what once felt manageable becomes increasingly harder to untangle. Planning is about ensuring that year after year, you choose to have your own back.

While marriage equality unlocked many important spousal benefits, structural planning is essential for estate alignment, succession, multi‑jurisdictional assets and long‑term family governance.

A tool for confidence

One way to begin is by building simple budgeting and saving systems that create visibility and momentum. Sharing a spreadsheet can help individuals, couples and families understand cash flow, and align on priorities and additional spending. Budgeting is less about restriction and more about visibility and the confidence created by shared understanding about finances.

It’s time to take action

Financial freedom isn’t simply about accumulating wealth, although that’s an important part of the equation. It’s about living the life you think about when you wake up in the morning and when you go to sleep at night. It’s knowing that the people you love are protected, that your choices align with your values, and that your future isn’t left to chance.

Peace of mind is priceless. Most people don’t start planning because they feel ready. They start because they made a decision—clarity typically comes after action, not before. Talk to a Corient Wealth Advisor and take the first step toward planning for today and many tomorrows ahead.

Sources: 

1. https://www.cfp.net/-/media/files/cfp-board/news/2023/LGBTQ-Results.pdf
2. https://www.cnbc.com/2022/06/28/30percent-of-lgbtq-adults-experienced-discrimination-in-financial-services.html
3. https://www.sageusa.org/news/lgbtq-individuals-often-face-bigger-retirement-hurdles/

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