How does diversity affect individuals and the groups in which they are embedded? This article examines this question using recent theory and research on Identity Integration (II). II refers to an individual's perceptions about whether two distinct social identities, or social groups to which individuals belong, are viewed as compatible (high II) or not (low II). A review of extant research suggests that individuals with high II are better at simultaneously accessing multiple identities and identity-related knowledge and have improved well-being and social outcomes. Expanding on this work, we argue that individuals who have higher II, and social collectives that foster II within their members, are more likely to reap the benefits of diversity.