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These 5 LGBTQ+ specific financial tips could change your life for the better – Queerty

Two gay men stand in front of a pink background holding stacks out $100 bills in front of their faces splayed out.

Our favorite Swedish pop supergroup once said, “Money, money, money, must be funny in a rich man’s world.”

But despite our best efforts, we are not living in an ABBA song and we’ve got to figure out our finances on our own.

Moreover, the LGBTQ+ community often faces unique challenges in banking, budgeting, and planning a financial future.

According to LGBTQ+ Financial Landscapes, a research study from U.S. Bank, LGBTQ+ people typically achieve financial independence at a younger age, especially those in communities of color. And with the freedom to live by our own rules, we tend to discuss our financial aspirations 30% more often than our straight counterparts.

That being said, achieving goals like homeownership, family planning, or gender-affirming care comes with obstacles.

Per the report, 52% of LGBTQ+ people had a difficult time getting a mortgage with a higher credit score, 90% of gay adults used credit cards to finance building a family, and more than half of all queer respondents indicated “extreme or moderate stress due to medical care access.”

Thankfully, U.S. Bank is committed to supporting the LGBTQ+ population in reaching their financial goals.

We can’t promise winning “fortune in a game” –– sorry, ABBA! –– but with these tips, you can start improving your life.

1. Having an estate plan is crucial.

A gay Black couple sits on a couch in their living room and smiles lovingly, looking into each other's eyes.

Whether your estate is big or growing, having a comprehensive plan is the only way to ensure your wishes are fulfilled after passing. It’s an especially important consideration for LGBTQ+ people who sometimes lack family support, have children, or are in domestic partnerships. (And you wouldn’t want your prized vinyl collection to fall into the wrong hands!)

It’s an understandably sensitive topic. But starting by establishing a will, creating advance directives, and naming beneficiaries is easier than you’d think.

2. Find the right team, and homeownership is possible.

A young gay couple stands smiling around cardboard boxes that need to be unpacked. They read off a credit card number while working on a tablet screen.

According to a study by Iowa State University, only 49% of the LGBTQ+ community owns a home compared to nearly 64% of the total U.S. population. That being said, homeownership can be less challenging than snagging Madonna tickets with your finances in order –– and the right team.

With this helpful homebuying guide from U.S. Bank, you can learn the qualifications and documents needed to approach a mortgage lender and find the right real estate agents and lenders to smooth the process.

3. Make a financial plan for your future.

A lesbian couple smiles looking at an iPad next to their two young kids while sitting at a wooden dining table.

We hate to break it to you, but “putting it on the plastic” is not sustainable. You need a personalized plan to work toward your financial goals. With helpful planning resources from U.S. Bank, you can more easily assess spending and expenses and turn your sight toward the future.

Starting with analyzing your situation and expenses, you can set up financial goals –– from travel to homeownership to starting a family –– and from there, budget to fund them with savings and investments. Puerto Vallarta (or Disney World), we’re coming for ya!

4. If you’re interested in parenthood, consider all your options.

A nonbinary couple sits on a yard chair in a grassy and beautiful backyard. They stare at each other lovingly.
Transgender couple enjoying the hotel’s green spaces

More LGBTQ+ people are starting families than ever before. 77% of queer millennials have already started or plan to have kids, according to a 2019 Family Equality study. That being said, LGBTQ+ parenthood often means charting a non-conventional route. And that can be pricey!

With this family planning guide from U.S. Bank, you can understand financial obligations associated with adoption, surrogacy, or assisted reproduction technology like IVF. From there, creating a savings plan or exploring additional options with a U.S. Bank banker or goals coach can help you achieve your goal.

5. Know your rights and protections.

A young woman with bright red hair stands smiling in front of a yellow background. She has rainbow-tinted sunglasses and holds a wad of cash as she looks off thoughtfully.

Whether building wealth or starting a family, having your name on an account or birth certificate might not be enough. Between state and national laws, planning and protecting a future can be fraught with complications for queer people.

That’s why, as members of the LGBTQ+ community, it’s important to know your rights in protecting both your family and estate, including adoption rights, surrogacy protections, powers of attorney and will and trust creation.

Learn more about how U.S. Bank is supporting the LGBTQ+ community through a commitment to education and helping you in all stages of life.

Investment and insurance products and services including annuities are:
U.S. Bank and its representatives do not provide tax or legal advice. Your tax and financial situation is unique. You should consult your tax and/or legal advisor for advice and information concerning your particular situation.
U.S. Bank does not offer insurance products but may refer you to an affiliated or third party insurance provider.

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