The Supreme Court’s June
2013 decision to knock down DOMA (the Defense of Marriage Act) helped usher in
more accepting times where same-gender couples in the United States face one
less roadblock to go up against. In repealing the law (in which same-gender
marriages wouldn’t be recognized by the government), a blanket of oppressive
thinking has been removed and in states in which same-gender marriage is legal,
such advantages as employees being able to gain access to health insurance for
their partners has been granted. But what of the other financial benefits? The
repeal of DOMA has also had a significant economic impact as it finally allows same-gender couples to
gain access to social security benefits that any other married (opposite
gender) couple would, which is one of the biggest post-DOMA outcomes of all.
A pillar of a couple’s
plans of how they’ll spend (both in time and in terms of money) their retirement
is that all social security benefits previously allowed for opposite gender
couples would now be granted to those of the same gender. That includes being
able to receive 100% of a deceased spouse’s benefits (if it’s less than their
own) even if the surviving spouse is divorced from their deceased partner. It
also includes Medicare benefits (which are available even if one spouse hasn’t
contributed), disability benefits and in couples where only one spouse is
earning, they can receive a spousal benefit of an extra 50% of the worker’s
retirement benefit while both spouses are alive. Even federal benefits for same
gender couples (which were restricted immediately following DOMA due to lack of
a ‘for’ decision by the President) are now on the table thanks to a ruling from
President Obama last month that made it so. So things are arguably on the up,
right?
Yes and no. These social
security benefits are only a heart-warming symphony to the ears if the same
gender couple in question resides in a state where same gender marriage is recognized
(New York, California, Washington etc.) as for those who may have been married
in one of the same gender marriage allowing states but who live in a state that
doesn’t recognize it, things will sound more like a cacophony to the ears as
their hopes crash around at their feet. That’s because the Social Security Act
states that the marriage has to be recognized where you "domiciled when
you filed for benefits” which is as blatantly exclusionary as it is
unfortunate.
Rep. Mark Takano, a
Democrat from California would like to change that with proposed
legislation that would see couples given access to social security
regardless of their state’s policy on their marriage. While hopeful,
Republicans hold the House majority and are unlikely to support the bill enough
to see it go through, but as a decision has not been fully decided, this could
be a huge step forward in post-DOMA financial benefits yet.
If you
filed taxes in CA, NV, OR or Washington states and are (or were after 2010) Registered
Domestic Partners, try our calculator to see if you may be eligible for an IRS
refund http://www.lgbt.tax/Calculator
