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xchrom

(108,903 posts)
Mon Dec 1, 2014, 08:39 AM Dec 2014

LGBT BABY BOOMERS FACE TOUGH RETIREMENT HURDLES

http://hosted.ap.org/dynamic/stories/U/US_GAYS_TOUGH_RETIREMENT_ABRIDGED?SITE=AP&SECTION=HOME&TEMPLATE=DEFAULT&CTIME=2014-12-01-06-17-16


In this Aug. 27, 2014 photo, Arnim Kiwi poses in his apartment in New York. Kiwi has been struggling to keep this rent-stabilized apartment ever since his partner died last year and he can't afford to move. He's now living on half the income the couple once had, as his partner died before they were able to get legally married. (AP Photo/Seth Wenig)

NEW YORK (AP) -- For Kathy Murphy, the difference between being gay or straight is $583 a month.

Retirement should have been a "slam dunk," the 62-year-old Texas widow says. She saved, bought a house with her spouse and has a pension through her employer.

But Murphy's retirement has not been as secure as it should have been. She is missing out on thousands of dollars a year in Social Security benefits simply because she was married to a woman, not a man.

Murphy fell into a loophole in Social Security that denies survivor benefits to same-sex couples depending on what state they live in. Had Murphy and her wife, Sara Barker, lived next door in New Mexico, a state that recognizes same-sex marriage, this wouldn't have been an issue.
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LGBT BABY BOOMERS FACE TOUGH RETIREMENT HURDLES (Original Post) xchrom Dec 2014 OP
FINANCIAL TIPS FOR SAME-SEX COUPLES xchrom Dec 2014 #1
And this is why Jimmy Carter (for one) is WRONG about it being a state-by-state issue MNBrewer Dec 2014 #2

xchrom

(108,903 posts)
1. FINANCIAL TIPS FOR SAME-SEX COUPLES
Mon Dec 1, 2014, 08:43 AM
Dec 2014
http://hosted.ap.org/dynamic/stories/U/US_GAY_RETIREMENT_FINANCIAL_TIPS?SITE=AP&SECTION=HOME&TEMPLATE=DEFAULT&CTIME=2014-12-01-06-20-56

Here are planning tips for LGBT couples:

KNOW LOCAL LAWS: Even though 35 of the 50 U.S. states and Washington, D.C. allow same-sex marriage, LGBT couples still face significant legal hurtles in many areas that could impact their financial well-being. If you're moving to a state that bans same-sex marriage, make sure you're financially prepared for the fact that Social Security will not be available for your surviving partner. Inheritance laws also vary from state to state.

RE-CHECK YOUR EMPLOYER'S POLICIES: Corporate America's stance on gay rights has changed dramatically over the last 15 years. Ninety one percent of companies in the Fortune 500 have policies banning discrimination based on sexual orientation, up from 61 percent in 2002, according to the Human Rights Campaign. For employees of those companies, it means medical coverage, pension and 401(k) inheritance rights are now fairly common for same-sex spouses. It's worth checking your employer's latest policies.

LONG-TERM CARE INSURANCE: Without children to care for you as you age, it is likely you'll need some sort of assisted living service. Such help is not cheap. A part-time in-home health aide costs around $30,000 a year while a private room at a nursing home could run you as much as $94,000, according to a 2013 survey by John Hancock Life Insurance Co. Those costs are expected to keep rising. Financial planners recommend long-term care insurance, particularly for people without children.

DOUBLE CHECK YOUR DOCUMENTS: It's important to make sure your savings and benefits go to the people you want after you pass away or become disabled. Add your same-sex partner to your beneficiary list for your 401(k), life insurance policies and other accounts. If you own property in a state that does not recognize same-sex marriage, speak to a financial adviser and lawyer about creating as many financial and legal protections as you can.
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