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  • FIRST POST
    • Flowerfairy34
    • By Flowerfairy34 17th Sep 16, 9:59 PM
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    Flowerfairy34
    Mother inherited money while in a care home
    • #1
    • 17th Sep 16, 9:59 PM
    Mother inherited money while in a care home 17th Sep 16 at 9:59 PM
    My mother has unexpectedly inherited a substantial amount of money but she is in a care home funded by the council. Should this be declared to the council or could she gift some of it?
Page 1
    • Kim kim
    • By Kim kim 17th Sep 16, 10:01 PM
    • 1,885 Posts
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    Kim kim
    • #2
    • 17th Sep 16, 10:01 PM
    • #2
    • 17th Sep 16, 10:01 PM
    My mother has unexpectedly inherited a substantial amount of money but she is in a care home funded by the council. Should this be declared to the council or could she gift some of it?
    Originally posted by Flowerfairy34
    Seriously!!!
    Should the council tax payers in your county continue to find her while she passes the money to you?
    • Katiehound
    • By Katiehound 17th Sep 16, 10:18 PM
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    Katiehound
    • #3
    • 17th Sep 16, 10:18 PM
    • #3
    • 17th Sep 16, 10:18 PM
    If she was to gift some of it then she is knowingly reducing her assets and thereby trying to 'cheat' the council out of paying for her own care.

    Clearly the inheritance needs to be declared- but I'm sure you knew this already. Gone are the days when folk could give their money away to relatives so that the state could fund long term care- that loophole is closed.
    Being polite and pleasant doesn't cost anything!

    If you found my posting helpful please hit the "Thanks" button!
    Thank You
    • Pollycat
    • By Pollycat 18th Sep 16, 8:16 AM
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    Pollycat
    • #4
    • 18th Sep 16, 8:16 AM
    • #4
    • 18th Sep 16, 8:16 AM
    My mother has unexpectedly inherited a substantial amount of money but she is in a care home funded by the council. Should this be declared to the council or could she gift some of it?
    Originally posted by Flowerfairy34
    That's great news.

    You could consider moving her to a home that may give superior care now she can afford go fund her own care instead of relying on a council funded one.
    • tacpot12
    • By tacpot12 18th Sep 16, 10:15 AM
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    tacpot12
    • #5
    • 18th Sep 16, 10:15 AM
    • #5
    • 18th Sep 16, 10:15 AM
    While moving your mum to a better home is something you can consider, if she is happy where she is, and the staff are taking good care of her, I'd suggest that she stays where she is and pays for it herself. The council will be able to help someone who needs care but cannot afford it if your mum pays for her own care. No reason why some of the money can't be spent by your mum on improving her life though. She should spend what she reasonably can on herself, and pay for her care with the rest.

    She won't be seen as depriving herself of assets if she spends sensible amounts on justifiable expenses.
    • tocsin
    • By tocsin 18th Sep 16, 3:05 PM
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    tocsin
    • #6
    • 18th Sep 16, 3:05 PM
    • #6
    • 18th Sep 16, 3:05 PM
    I tend to agree with the moral situation expressed by most of the posters above.

    However, if the will as written did not take into account the changed situation over the years, than I would suggest googling 'Deed of Variation'.
    • ericonabike
    • By ericonabike 20th Sep 16, 2:20 PM
    • 322 Posts
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    ericonabike
    • #7
    • 20th Sep 16, 2:20 PM
    • #7
    • 20th Sep 16, 2:20 PM
    Dear me. Much moral outrage, not a lot of factual info. If your mother is getting Pension Credit, she may well be on an Assessed Income Period. If so, she does nor have to report changes in capital. These AIPS are being phased out for new claimants, but if she is over 75 and on an indefinite AIP, this will continue unchanged. See https://www.nidirect.gov.uk/articles/changes-assessed-income-periods

    Suggest you have a word with your local CAB. Also worth reposting on the benefits section of this forum as there is more expertise there.
    • p00hsticks
    • By p00hsticks 22nd Sep 16, 11:18 AM
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    p00hsticks
    • #8
    • 22nd Sep 16, 11:18 AM
    • #8
    • 22nd Sep 16, 11:18 AM
    Dear me. Much moral outrage, not a lot of factual info. If your mother is getting Pension Credit, she may well be on an Assessed Income Period. If so, she does nor have to report changes in capital. These AIPS are being phased out for new claimants, but if she is over 75 and on an indefinite AIP, this will continue unchanged. See https://www.nidirect.gov.uk/articles/changes-assessed-income-periods

    Suggest you have a word with your local CAB. Also worth reposting on the benefits section of this forum as there is more expertise there.
    Originally posted by ericonabike
    As far as I'm aware (and you link seems to reinforce) , any AIP would relate specifically to the receipt of Pension Credit, and wouldn't extend to care home funding (which will comes from the local coucil, not DWP as benefits do)
    • p00hsticks
    • By p00hsticks 22nd Sep 16, 11:21 AM
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    p00hsticks
    • #9
    • 22nd Sep 16, 11:21 AM
    • #9
    • 22nd Sep 16, 11:21 AM
    However, if the will as written did not take into account the changed situation over the years, than I would suggest googling 'Deed of Variation'.
    Originally posted by tocsin
    a deed of variation wouldn't avoid any intentional deprivation od assets, since it would require the beneficiary to agree to forego the inheritance....
    • Keep pedalling
    • By Keep pedalling 22nd Sep 16, 12:37 PM
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    Keep pedalling
    I am afraid their is no get out here, a DoV, as has already been pointed out, would be treated as depreciation of assets, as would gifting large chunks of it away.

    The council should be informed of her change of circumstances so a new assessment can be made. Remember that her inheritance will be a matter of public record, as will her estate be when the time comes.
    • teddysmum
    • By teddysmum 29th Sep 16, 12:41 AM
    • 7,175 Posts
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    teddysmum
    Regarding Deed of Variation: refusing the inheritance would be considered the same as giving money away, as both would be construed as a way of evading self-funding.
    • mad_spaniel
    • By mad_spaniel 9th Oct 16, 5:37 PM
    • 97 Posts
    • 65 Thanks
    mad_spaniel
    I think assessed income periods cease for people for changes after 6 April 2016 if certain changes occur, notably a person goes into a care home.
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