ARTICLES OF INTEREST
Beyond The Obvious: LGBT Families Share
Similar Financial Concerns as Traditional Parents, but at Elevated Levels
MassMutual study shows more LGBT parents struggle with caring for parents and question their own long-term planning
Springfield, Mass., Jan. 10, 2012 -- The census* has shown that the makeup of the traditional American family is shifting, and as more Lesbian, Gay, Bisexual and Transgender (LGBT) families show up in suburbs across the country, their obvious differences may be hiding many more similarities with their neighbors. In fact, LGBT parents share many of the same financial concerns as traditional parents, and are even more keenly attuned to these issues.
More LGBT parents are sandwiched between caring for their parents and their children (more than four in 10) than traditional families (less than three in 10), and even as they show higher than average ownership of long-term financial products, more struggle with doubts about the soundness of their long-term plans. These are among some of the key findings released today in the second nationwide study in Massachusetts Mutual Life Insurance Company’s (MassMutual) State of the American Family series.
Caring for parents and in-laws
Forty percent of LGBT families feel they are expected to take care of their parents when they can no longer care for themselves, versus 36 percent of the traditional families. Overall, LGBT families are significantly more involved in assisting their parents and in-laws. Of those surveyed:
But even while they care for their aging parents, they do not want their own children to be burdened with the same responsibility. Close to three-quarters (74 percent) do not want their children to be burdened by caring for them when they get older, which is very similar to the 72 percent of traditional families who indicated as much.
To retirement and beyond
LGBT families have purchased more long-term financial products than traditional families, yet they are more likely to be unsure of their preparedness for retirement. Close to half of LGBT parents indicate that they are worried about outliving their retirement savings, while only about a third of parents from traditional families share that same worry. Perhaps that is because LGBT parents indicate that they will travel in retirement (57 percent vs. 45 percent) and why LGBT parents plan to work in retirement (34 percent vs. 16 percent) than parents in traditional families.
“Even with more states legalizing marriage between same-sex couples, it’s still true that they now should plan even more so for their long-term finances. With the new laws passing, certainly there are more tax advantages and even may include healthcare and social security”, said David Piscitello, a financial services professional with MassMutual’s Buffalo Agency who works extensively with same-sex couples on their long-term finances. “Updating wills, health care proxies, powers of attorney, insurance planning, estate planning — with all of these, the possibilities are endless.”
To learn more about State of the American LGBT Family and access tools and resources to start planning for your family’s financial future, visit massmutual.com/familyfinances.
Methodology
State of the American Family: Families, Financial Attitudes and Planning, LGBT Findings was conducted by Forbes Consulting group for MassMutual and involved a 20-minute online questionnaire administered to 1,143 respondents (104 in GLBT relationships and 1,015 traditional relationships) from January 4 - January 20, 2011. The sample included parents, ages 30-64, with household incomes of $100,000 or more, with slightly different requirements for ethnic minorities. All respondents contributed to financial decision making in their household and were financially responsible for at least one child. Data was weighted to age, gender, ethnicity, region and same-sex married/partner couples. The margin of error is plus or minus 3 percent, when looking at the results for Total General Population. It is plus or minus 10 percent when looking at the total LGBT sample.
*The Williams Institute, United States Census Snapshot: 2010, September 2011.
MassMutual study shows more LGBT parents struggle with caring for parents and question their own long-term planning
Springfield, Mass., Jan. 10, 2012 -- The census* has shown that the makeup of the traditional American family is shifting, and as more Lesbian, Gay, Bisexual and Transgender (LGBT) families show up in suburbs across the country, their obvious differences may be hiding many more similarities with their neighbors. In fact, LGBT parents share many of the same financial concerns as traditional parents, and are even more keenly attuned to these issues.
More LGBT parents are sandwiched between caring for their parents and their children (more than four in 10) than traditional families (less than three in 10), and even as they show higher than average ownership of long-term financial products, more struggle with doubts about the soundness of their long-term plans. These are among some of the key findings released today in the second nationwide study in Massachusetts Mutual Life Insurance Company’s (MassMutual) State of the American Family series.
Caring for parents and in-laws
Forty percent of LGBT families feel they are expected to take care of their parents when they can no longer care for themselves, versus 36 percent of the traditional families. Overall, LGBT families are significantly more involved in assisting their parents and in-laws. Of those surveyed:
- 33 percent are primarily responsible for managing parents’ or in-laws’ finances (vs. 21 percent for traditional families).
- 23 percent currently provide hands-on personal care assistance to their parents or in-laws (vs. 9 percent for traditional families.
- 36 percent currently do hands-on, routine chores for parents or in-laws (vs. 22 percent for traditional families).
But even while they care for their aging parents, they do not want their own children to be burdened with the same responsibility. Close to three-quarters (74 percent) do not want their children to be burdened by caring for them when they get older, which is very similar to the 72 percent of traditional families who indicated as much.
To retirement and beyond
LGBT families have purchased more long-term financial products than traditional families, yet they are more likely to be unsure of their preparedness for retirement. Close to half of LGBT parents indicate that they are worried about outliving their retirement savings, while only about a third of parents from traditional families share that same worry. Perhaps that is because LGBT parents indicate that they will travel in retirement (57 percent vs. 45 percent) and why LGBT parents plan to work in retirement (34 percent vs. 16 percent) than parents in traditional families.
“Even with more states legalizing marriage between same-sex couples, it’s still true that they now should plan even more so for their long-term finances. With the new laws passing, certainly there are more tax advantages and even may include healthcare and social security”, said David Piscitello, a financial services professional with MassMutual’s Buffalo Agency who works extensively with same-sex couples on their long-term finances. “Updating wills, health care proxies, powers of attorney, insurance planning, estate planning — with all of these, the possibilities are endless.”
To learn more about State of the American LGBT Family and access tools and resources to start planning for your family’s financial future, visit massmutual.com/familyfinances.
Methodology
State of the American Family: Families, Financial Attitudes and Planning, LGBT Findings was conducted by Forbes Consulting group for MassMutual and involved a 20-minute online questionnaire administered to 1,143 respondents (104 in GLBT relationships and 1,015 traditional relationships) from January 4 - January 20, 2011. The sample included parents, ages 30-64, with household incomes of $100,000 or more, with slightly different requirements for ethnic minorities. All respondents contributed to financial decision making in their household and were financially responsible for at least one child. Data was weighted to age, gender, ethnicity, region and same-sex married/partner couples. The margin of error is plus or minus 3 percent, when looking at the results for Total General Population. It is plus or minus 10 percent when looking at the total LGBT sample.
*The Williams Institute, United States Census Snapshot: 2010, September 2011.
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