A Marriage Premium for Whom? Sexual Identity, Relationship Status and Earnings

ABSTRACT Objective This article aims to understand how relationship status is associated with earnings among LGB people. Background Previous research has found that marriage is related to higher earnings for men and lower earnings for women, but has not often considered whether this holds across different sexual identities. Method We use the longitudinal Understanding Society data from the UK to show how the earnings of LGB individuals are associated with relationship status (single, non‐residential partner, residential partner, married). Results Cohabiting or married men generally earn more compared to single men, regardless of sexual identity. However, gay men's earnings only increase after marrying, whereas heterosexual and bisexual men's earnings increase after entering any co‐residential relationship. This suggests that gay men might receive more social support or employer approval after entering a normative relationship form. Heterosexual women start earning less after marriage, whereas the impact of changes in relationship status on earnings is relatively small and non‐significant for bisexual and lesbian women. These results are largely explained by paid and unpaid work hours, suggesting that the division of labor within relationships lowers earnings among heterosexual women but not among LGB women. Conclusion LGB women's earnings depend relatively little on changes in relationship status. At the same time, gay men only receive premiums related to having a partner once they marry.