money question?

Cacran

Could my dad give his grandchildren an amount of money each month to save for their future? He is 79 and because of the amount he has in the bank and his income, he cannot get pension credit or council tax reduction. He still pays for his dentist and for his glasses. I might add, that he is not rich, just over the limit. My mum has demetia and is in a home which costs quite a bit a month. We are trying to sort out the finances so that when something happens, the authorities do not take all my parents assets.
My mum has a number of other medical complications and if it was any illness other than dementia. that she needed treatment for, this money problem would not exist. It is an unfair system.

mountainofdebt

I think that if the authorities find out that your father has deliberately got rid of his assets to avoid any nursing charges, then he can be assessed as if he still had them - and I'm sorry but I think that they may take this approach in his case.

I guess one way of looking at it is that it is money that your parents have amassed in case of a rainy day and perhaps that rainy day has now arrived?

Cacran

I get what you are saying and can see two sides to the matter.

My parents never had well paid jobs but never wasted their money on themselves or their family. We made do with lots of things and still have the same ethos. Because of this attitude, they have ended up claiming no benefits and live within their means. The amount they have is only just over the limit. I think that there are some people who spend, spend, spend through life and when they get older, the government has to spend, spend, spend on them.

Surely no one can say this is fair.

Any

Cacran wrote: »

I get what you are saying and can see two sides to the matter.

My parents never had well paid jobs but never wasted their money on themselves or their family. We made do with lots of things and still have the same ethos. Because of this attitude, they have ended up claiming no benefits and live within their means. The amount they have is only just over the limit. I think that there are some people who spend, spend, spend through life and when they get older, the government has to spend, spend, spend on them.

Surely no one can say this is fair.

No, it's not.
But what you are proposing to do is illegal and that is the end of story.

It's like when someone kills someone and you know it whilest the authorities cannot prove it. So you kill the person for revenge - you are still a killer, no matter how justified the killing was.

maggied_2

If you go to the Inland Revenue site there will be information about gifting money to your children (albeit with an inheritance tax slant).

I don't know how this would affect benefits so make sure he takes plenty of advice before going ahead with this.

Cacran

We don't want to do anything illegal. My parents have never even given their grandchildren any spending money so it was just a thought that maybe they would be justified in doing this. I am only asking because we don't want to do wrong. I do know that two wrongs do not make a right!!!
My dad is profoundly deaf and we have real problems. It has only just been mentioned to us that he could actually be on some benefit for this disability. amazing as he has been this way for years and he was even struggling to look after mum for a few years before we could actually get a proper diagnosis for her condition. I tell you, we have been helped very little through all this awful process.
My mum has just recently been able to get pension credit and my dad claims nothing. I am doing my best to try to try to help my dad.

iolanthe07

Surely no one can say this is fair.

No it isn't fair - it sucks, but that is Britain today for you. Work hard, live frugally, save for your old age and you receive sod all apart from the retirement pension. Spend, spend, spend. and in retirement you can apply for all sorts of benefits and top-up payments.

funky_snow

If they are only just over the limits - why don't you encourage them to spend it on themselves now - while they can enjoy it. Then its not a gift - and surely they have the right to spend their own money on themselves. (Particularly if its something that doesn't look like purchasing an asset which will pass down to children - and is 'consumed' straightaway)
I'm thinking something like a holiday - and since your mum is ill - you can spend the money on a private nurse to help them on this holiday so that both your mum and dad have a true holiday of their dreams????

cakeordeath_2

I don't think disability living allowance is means tested, so if your father qualified for it with his disability then he would get it. I filled in the DLA forms for my son and don't remember any questions about savings or income.

Katie-Kat-Kins

If it isn't a great deal of money that he needs to dispose of and comes out of his account in smallish cash sums who is going to know????

Do get him assessed for disability benefits though because if he is profoundly deaf he will certainly qualify for something. I'm not sure how long you can get it back dated though.

Cacran

Thanks for all your replies. MY mum is not in a fit state to even leave the home that she is in, so a holiday with her is out of the question. We never even bring her home for the day. I know it sounds awful but she is in a really bad state. The people at the home, which is only for dementia cases, cannot even manage to take her out with the others on trips etc.
I have told my dad to spend his money, He said he will buy a decent train for his model railway (bless!!) He goes away every six weeks on coach holidays. he is going to increase that to every 4 weeks. They do not cost a lot and he gets well looked after. He goes to bed after tea and watches tv. He hates being in crowded noisy places as his hearing aids buzz and drive him crazy. He doesn't drink or smoke. He buys his lunch at Morrisons cafe every day and does no cooking at home.
I have had a chat with him and he says he feels guilty spending money as he has never done so. With Mum in the home he feels as though he is doing her an injustice. It is very hard for him.
A lady from the council office was the one who said that dad ,being in the state he is in with his hearing, should be getting benefits for it. She, unfortunately is away from work due to a major operation. She will be back at work in February and said she will help us out then.