Chrystal Loyer, left, and Shira Loyer got married in Massachusetts, but celebrated their wedding in New York, where they live. (Photo: Dave Cross)
With New York becoming the sixth state to allow gay marriage, businesses ranging from wedding planners to financial advisers likely will benefit economically from the increase in same-sex marriages.
New York’s decision to recognize marriage between same-sex partners will create more than $391 million in economic activity, revenue and savings in the state during the next three years, most of it from wedding revenue and tourism, according to a report by the New York Senate’s Independent Democratic Conference, a small group of democratic lawmakers. Read the report here (PDF).
New York’s law goes into effect Sunday, July 24. Already, Massachusetts, Connecticut, Iowa, New Hampshire, Vermont and the District of Columbia allow gay marriage; another 10 states have civil union or domestic partnership laws, according to CCH Inc., a Riverwoods, Ill.-based tax publisher and unit of Wolters Kluwer.
“Wedding planners and service providers, officiates, tourist-oriented businesses and restaurants may see substantial and related revenue gains, particularly in the next few months,” said Kathryn Hamm, the president of GayWeddings.com, a website catering to gay and lesbian couples planning to marry. Read more: 5 ways to save thousands on wedding costs.
Two wedding dresses
Shira Loyer, a New Yorker, was legally married in 2008 in Massachusetts. She and her spouse, Chrystal Loyer, then had a big wedding and reception in New York.
“Our wedding involved all the traditional wedding-industry costs — venue, catering, flowers, not one but two dresses,” Shira Loyer said.
A state senate report estimated that 21,309 same-sex couples in New York state will marry in the next three years. It predicted 3,308 couples from nearby states that do not allow same-sex marriage and 41,907 non-New York same-sex couples would have “destination weddings” in New York.
Boon for financial planners, lawyers
But the financial impact of these marriages goes beyond revenue from weddings. It’s likely there will be more demand for financial and legal experts as same-sex couples face unique legal challenges.
“In the last decade as marriage rights became a visible issue, same-sex couples became more aware of the need for specialized assistance,” said Jennifer Hatch, president of Christopher Street Financial that focuses on advising lesbian and gay investors on their unique financial issues.
“Now, as we have rights in some states and not others, it is even more apparent that financial planning is needed,” Hatch said. “We have definitely seen significant demand on these issues.”
Malcolm Taub of the law firm Davidoff Malito, who specializes in matrimonial and family law matters, said everything that’s associated with marriage will see an increase in business from same-sex couples — from buying homes to adoptions.
“There’ll be more lawyers who will step up to the plate and handle these matters,” Taub said.
Lee Badget, an economics professor at the University of Massachusetts in Amherst, said the legalization of same-sex marriage is good news for many. Said Badget: “It will certainly increase the demand for financial, legal and tax-planning experts who understand those issues.”