Synopsis
This issue brief details how current estate and inheritance laws fail to recognize LGBT people's relationships, contributing to LGBT older adult's financial insecurity.
Unlike their heterosexual counterparts, unless an LGBT elder has specific legal documents in place upon their death, state laws generally hand over financial decision-making and inheritance to spouses or blood relatives rather than domestic partners or families of choice. This means that surviving LGBT partners or other loved ones can be totally shut out of an inheritance, resulting in the loss of critical retirement savings, forfeiture of a family home, or impoverishment. Additionally, even when a surviving partner does inherit a deceased loved one’s assets, inequitable tax treatment of same-sex couples can mean paying 45 percent in taxes on an inheritance that a surviving heterosexual spouse would inherit tax free. One of eleven issue briefs based on the SAGE/MAP report Improving the Lives of LGBT Older Adults.
