Money management is essential to aging well - learn how the SAGECents app can help

Saving money is challenging at any stage of life, but it's crucial for aging well, especially when income is limited or you're retired. SAGE, the world’s largest and oldest organization dedicated to supporting older adults in the LGBTQ+ community, recognized that this can be particularly difficult for their demographic.

David Vincent, SAGE’s Chief Program Officer, shared, “Stats about LGBTQ+ and aging are alarming. When we survey, 50% will have to work beyond retirement age compared to 27% of non-LGBTQ+ retirees. And many of those surveyed (42%) fear they are going to outlive the money available to them (compared to 25% of non-LGBTQ+ surveyed).”

While statistics on the true needs of LGBTQ+ older adults are limited, the available data highlights a significant concern: financial health. It's clear that interventions around financial wellness and financial health are necessary for this community.

SAGE's Comprehensive Support for the LGBT Community

SAGE serves about 4,000–5,000 people annually and partners with 31 affiliates throughout the country (including Puerto Rico) to provide SAGE Centers. These centers function as multifunctional community hubs offering meals, social activities, recreation, care management, and other assistance. Special housing programs are available for those with HIV and other underserved populations to help members age successfully. Additionally, the organization focuses on advocacy to influence policy and educate legislators on issues faced by LGBTQ+ elders. As the national resource center on LGBTQ+ aging, SAGE also provides training on care for these adults in hospitals, long-term care facilities, and municipalities.

Recently, SAGE decided to tackle the issue of financial health and well-being for its members through truly innovative methods.

According to Vincent, “Financial wellness applications are designed for non-LGBTQ+ folks. The elements often don’t align with their lives. We realized we needed an app that spoke to the lives of our older adults.”

Introducing SAGECents: A Financial Wellness App

This need became even more pressing during the COVID-19 pandemic, when many LGBTQ+ older workers in the entertainment or food industry were laid off, further exacerbating their vulnerabilities. Many older adults lack pensions and do not have the savings history needed to age comfortably without worrying about their finances.

Enter SAGECents, an app designed to work with all smartphones, computers, or tablets. SAGE recognized that not everyone has access to Wi-Fi at home, so they designed an app that interfaces with any device when users have access to Wi-Fi.

The tool isn’t just meant to track finances.

“It really focuses on assessing someone’s financial health while building education, and depending on how each person responds, there are immediate pop-ups for local resources,” said Vincent.

The application might highlight a user’s eligibility for rental assistance or other discounted services specific to their region. After completing the questionnaire, users can connect with a free financial coach!

“Our goal was to specifically design the tool for folks over the age of 60, but we are getting people as young as 30 using it,” noted Vincent.

Judgment-Free Financial Planning

Unfortunately, many similar apps created by banks focus on homeownership and saving money, which is not the reality for most people over 60 who are just trying to make ends meet. According to Vincent, many older adults are focused on securing consistent food and medication, not building a nest egg. Traditional bank apps just don’t reflect the real lives of many older adults.

A lot of wordsmithing went into making the SAGECents app judgment-free.

“We spent a lot of time working on the language to try and take out the shame of financial questions. When you say, ‘Do you own a home?’ or ‘How much do you have in savings?’ this can be seen negatively by people who are not close to this reality,” highlighted Vincent.

As a result, SAGECents spent significant time in the pilot phase gathering feedback to ensure that the app’s language was welcoming.

“I think a lot of people don’t fully appreciate that the financial systems we have are tied to marriage. When you don’t have those traditional pieces available to you, the resources are not available. If you don’t have spousal benefits, then you lose a lot of opportunities to build wealth,” said Vincent.

For many in the aging LGBTQ+ community, marriage was not an option in their youth. While the situation has changed for younger generations, the LGBTQ+ community continues to face underemployment and workplace prejudice, making it difficult to build incomes. This issue is particularly pronounced for communities of color and trans individuals. Although change is happening, discrimination still hinders many LGBT people from building wealth for their later years.

SAGECents: A New Tool for Financial Empowerment

That’s why SAGECents launched on August 14, 2020, to help LGBTQ+ older adults manage their finances. With just one month out of the pilot phase, the app already has 400 active users. It will soon receive a nationwide social media boost from SAGE.

Check out SAGECents to see how it can help you with your finances.