It’s 2025, and a gay financial advisor just might be right for you. If nothing else, they may make financial planning fun enough for you to take the steps necessary to reach financial freedom and enjoy it along the way. The gay community faces a unique set of challenges when it comes to careers and finances that deserve the best advice available to them, and that may mean choosing an LGBTQ+ friend or even, if available, a gay financial advisor.
I’m writing this article during Pride Month, which, despite misinformation circulating on the web, has not been canceled. We also just witnessed the “No Kings Day” protests across the county, reportedly the largest protest in U.S. history. Millions of Americans are ready for change and are often willing to vote with their wallets. Your financial advisor doesn’t need to match your political affiliation or sexual orientation. Still, if they see the world differently than you, it might create financial planning blind spots that could be devastating for your finances when things go wrong.
While I’m proud to be a financial planner, sadly, the demographic truth is that the overall financial industry skews mostly older, whiter, more male and socially conservative than the population as a whole. Mind you, just because your adviser is wearing a Maga hat in his profile picture doesn’t necessarily mean he (and in this case, he probably is a ‘he’) is a big homophobe. But aside from some notable, admirable exceptions, fiscal conservatives aren’t exactly out there speaking up for LGBT rights. Some may be blatantly hostile to them. It’s a double whammy if you are LGBTQ+ and a person of color, an immigrant or the wrong religion.
While no specific data shows how many financial advisors are LGBTQ+, we know that more than 76% of Certified Financial Planners™ are male. There has been a significant increase in racial diversity across the 100,000 CFP® in the USA over the past few years. According to the CFP Board’s Consumer Sentiment Survey — LGBTQ+ Financial Planning Pulse, same sex married couples are more than twice as likely to be working with a financial planner. Nearly ¾ of LGBTQ+ investors would prefer to work with a gay financial advisor or who identifies as part of a financial advisor who is part of the LGBTQ+ community.
What difference does sexual orientation make when it comes to financial planning? Quite simply, the way you spend and allocate your money has everything to do with who you are and how you live. It follows that if someone has a visceral prejudice against your very existence, how can you trust them to have your best interests at heart?
So, here are the top reasons you may be happier with an LGBT gay or gay-friendly financial planner. You might as well have a financial planner who is as fabulous as you are.
The Worldview Of Your Gay Financial Advisor
Every time I attend a financial industry conference or interact with other financial advisors, I can’t help but notice how conservative many of them are. They may be nice guys, but if they don’t think you deserve to exist, they likely aren’t going to give you the best advice to reach financial freedom or have the best options to build your family. I’ve spoken to many women who described their families’ (or husbands’) financial advisors as creepy or even lecherous on a few occasions. It’s not exactly how I’d want to be described, nor is it a skill I’d look for in my financial advisor.
The right gay financial advisors will more likely share your social and political views. Hopefully, this means hiring someone you can trust. If you find that you can more easily trust someone who is gay or gay-friendly, then so be it. We might also appreciate it when you say you want to retire to Palm Springs or spend summers in Provincetown, not to mention not coming back and scolding you for what could seem like an exorbitant travel budget compared to the average retiree.
Beyond the fun aspects, such as where to retire and how much to spend on travel or entertainment as we age, there are several other considerations for gay retirees to consider. A gay financial advisor may have better insights into where you can retire and get the healthcare you need without too much homophobia getting in the way. Likewise, long-term care planning is different for gay couples without children.
Many in the gay community have expressed interest in retiring abroad. The number of people reaching out to me on this topic has skyrocketed since the last presidential election. People I know who were considering retiring abroad have pulled the trigger and are making it happen. Gay retirees are not alone in this desire to escape the U.S. I’ve seen many other people put plans in place just in case they need to move quickly.
The Best Gay Financial Advisor Advantage – Lifestyle Comprehension
Walking down the street in Palm Springs, Manhattan or West Hollywood, it is easy to forget that there are still people in the closet. These days, in many parts of the county, staying in may actually be a matter of survival.
We’d like to think that the closet is history, but in many parts of the country, staying ‘in’ can literally be a matter of survival.
Throughout the last 20 years working as a fabulous financial advisor, I’ve spoken with a wide variety of people across the LGBTQ+ spectrum who were fearful of coming out to their financial advisor. This is a person you are entrusting to your financial future. If they don’t know what truly motivates you and what you are looking to accomplish, how can they offer the best financial advice for your specific goals and the timeframe in which to achieve them?
I’ve also literally reviewed financial plans where the sex of the second spouse was changed to cover the fact that this was a same-sex couple. Two glaring problems present themselves here:
1) The input of both spouses was not included in the financial plan. Financial Planning for couples (gay or straight) is not a solo sport.
2) Healthcare needs and life expectancy differ significantly when a couple consists of two women versus two men. The difference may not be dramatic now, but it can prove quite sizable over time.
Does Marriage Equality Mean The End Of Gay-Specific Financial Planning
The good news is that the LGBTQ community has achieved legal marriage equality. With that equality comes all the rights and responsibilities that come with marriage. When it comes to income taxes and estate planning, this has significantly helped level the playing field for LGBT citizens by granting access to spousal benefits, such as Social Security and additional retirement account options.
There are currently nine states with proposals attacking same-sex marriage. Five of the measures urge the Supreme Court to overturn its 2015 landmark ruling in Obergefell v. Hodges, which granted same-sex couples nationwide the right to marry. While I am optimistic that at least those who are already married won’t see their marriage nullified, our community needs to be vigilant to maintain our hard-fought and well-deserved rights.
Either way, marriage equality does not mean an end to the unique financial challenges facing the LGBTQ+ community. If nothing else, gay seniors may differ in priorities, interests, hobbies and ideal retirement options.
Checklist For Your Fabulously Gay Financial Plan
Choosing the best gay financial advisor is one of the most important decisions you’ll ever make. Here’s what to look for in a financial advisor:
- Make sure your financial advisor provides the services you need to help you accomplish your specific financial goals. They may be great for the guy down the block, but that doesn’t mean they’ll be good for you.
- Upgrade to a person who does comprehensive financial planning as opposed to just hawking products.
- Look for professional designations like Certified Financial Planner™ and Accredited Investment Fiduciary™.
- Make sure your financial planner works on the Fiduciary Standard. This means that they put your financial best interests before their own. Do you want to know if they are working under the fiduciary standard? Just ask.
- If you are approaching retirement, you may also want to consider your advisor’s age. If they are much older than you, will they still be working when you need them most in the later years of your own retirement? If not, is there a younger partner in place to ensure seamless succession?
- Extra credit if they are gay or, at the very least, gay-friendly. Vote with your dollars. With Zoom, you can work with an amazing gay financial advisor, even if you live miles from a big city.
If your advisor was more likely to be storming the Capitol on January 6 than voting for marriage equality, it may be time to think about your financial advisor relationship. The days are gone of having to search for a financial advisor near me and working with the person who is closest to me. Gay business owner? There is a financial advisor who specializes in that. Gay couple looking to retire abroad. Likewise, there is someone who specializes in that. The list goes on, so there is no reason to settle for anything less than fabulous financial advice.
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