Introduction Previous studies found that perceptions of parental support for sexual orientation was negatively associated with psychological distress, this study aimed to examine whether, how, and when perceived parental support for sexual orientation (PPSSO) contributed to mental well-being. Method A total of 477 (66.5% male; age: M = 26.61, SD = 5.95) Chinese lesbian, gay, bisexual, queer/questioning, and other non-heterosexual (LGBQ+) individuals participated in this study. They provided demographic information and completed measures of PPSSO, parent-oriented interdependent self-construal (POISC), self-esteem, internalized homonegativity, and life satisfaction. Structural equation modelling was conducted for data analyses. Results PPSSO was found to be positively associated with life satisfaction. The positive link between PPSSO and life satisfaction was fully mediated by self-esteem and internalized homonegativity. Furthermore, we identified POISC as a significant moderator. Specifically, high levels of POISC strengthened the negative association between PPSSO and internalized homonegativity. The indirect positive effect of PPSSO on life satisfaction through internalized homonegativity was stronger for participants who endorsed high levels of POISC. Conclusions Self-esteem and internalized homonegativity might be the underlying mechanisms for the positive link between PPSSO and life satisfaction. Parental support may contribute to Chinese sexual minorities’ self-stigma and, in turn, life satisfaction to a greater extent, especially for those who depend largely on their parents to define themselves.