Inequalities in outcomes often result from processes that unfold over individuals’ prior life courses. The literature lacks methodological approaches to analyse such inequalities between groups in a life-course-sensitive manner. We propose to combine the strengths of Sequence Analysis to study the multidimensional complexity of life courses with the Kitagawa-Oaxaca-Blinder decomposition. This approach allows to distinguish the share of inequalities between groups that is due to group-specific life courses from the share that is due to group-specific returns to similar life courses. The combination of the two methods is illustrated with an analysis of work-family life courses and Gender Pension Gaps in Italy and Germany. We contribute to the literature by systematically comparing different possibilities in core analytical choices when combining typologies derived with Sequence Analysis with the Kitagawa-Oaxaca-Blinder decomposition. For future applications, we propose a set of practical guidelines for the Sequence Analysis-Kitagawa-Oaxaca-Blinder decomposition.