Is there an LGBT Retirement Problem?
There’s one critical tool to financial success that many LGBTQ+ Americans don’t have. Find out what it is and how to fix that on this Queer Money. If you want to reach financial sustainability and financial independence, start here by getting rid of any credit card debt with the free, 7-Step Credit Card Debt Slasher.
LGBT retirement concerns
What does the data show about LGBT retirement?
“Yikes! 28% of LGBTQ+ Americans don’t have access to an employer-sponsored retirement account per the recent TMF/DFG LGBTQ+ Money Study.
What is an employer-sponsored retirement account?
An account that lets you save for retirement and often your employer contributes to it too. Examples include 401(k)s, 403(b)s (for non-profit folks) and 457s for government jobs.
Why’s this a big deal? Because 80% of 10,000 millionaires attributed their millionaire status to their 401(k), not an inheritance, not a 6-figure job, but their company-sponsored retirement plan.
A former boss once told us, “Find out what successful people do and do that.” So, let’s do this!
What should you do if you don’t have access to such a plan?
- Pressure your current employer – financial security/reduced financial anxiety improves worker productivity, reduces sick and mental health days and is the right thing to do.
- Find a new job – this is a great time to be in the market for a new job – use this opportunity.
- Start your own business for the tax benefits, reduced reliance on an employer and creativity, then open a solo 401(k) and contribute as both the employer and employee but talk with an accountant first
- Open another type of retirement account, such as a Traditional and Roth IRA