Need help with dealing with inheritence..

fasteddy13

Hi.. I am new to the forum, so first, hi!

I have inherited a flat, worth about 45k, and a sum of money around 27k.
But my situation is that I am a single parent with 3 kids, living in a council house, on jobseekers allowance. I am training for a new career and really do not want this inheritance to affect my benefits at this time. Is there a way for me to deal with this inheritance so that it does not affect my current status at this time?
It's not that I want to stay on benefits, but I have worked hard at training for my new career and although it was nice to have these things bequeathed to me, the timing is awful..
I would love to be able tuck this lot out of the way for about 5-10 years and just carry on with what I am doing..
I have thought about putting the cash into a pension, then letting the flat out through a housing association, but to be quite honest, I really dont know what I can or cant do and am struggling for advice.. As I mentioned, it would be nice not to have to worry about all this for a few years, my new career is important and I have only recently got my life on a decent track..
Any advice would be very much appreciated..

Thanks
Simon..

Paparika

I'm sure some people with far more knowledge will tell you.

But your going to have to declare all this... you can't put it to one side and go back to it later. - sorry

alwaysonthego_2

Welcome to MSE!

You need to inform the DWP asap as you are no longer entitled to JSA, HB or CTB.

You are not allowed to 'get rid' of the money as it would be classed as deprivation of capital and you will still be treated as having it [notional income]

fasteddy13

Thanks..
I know I am going to have to declare it, it is still in probate right now so has not actually happened yet, but will in a few weeks.. At any other time of my life it would be a wonderful windfall, but right now it is a huge disruption to my life which I have spent the past few years putting into order.. I am not looking to hide anything, was just hoping to find ways of not letting it affect me for a few years.
Someone suggested putiing it into trust for my kids, will have to give that some thought though..

alwaysonthego_2

fasteddy13 wrote: »

Someone suggested putiing it into trust for my kids, will have to give that some thought though..

This would be seen as deprivation of capital.

fasteddy13

My problem is this.. I have now, after some very turbulent years, settled nicely into my council home, my kids are settled at school, shortly my career will take off (fingers crossed) and this inheritance looks likely to disrupt all of that.. I am trying to find legal, open and above board ways of not letting that happen. The property is 3 hundred miles from where I live and so it's not an option to live in it.. Selling it seems daft with current house prices..
The entire inheritance does not seem worth the amount of disruption it is going to cause, but to much to ignore.. Am I really going to have to give up everything for this..? I was hoping there would be a way..

McKneff

The only way out is to declare it, sell it (because you will have to have some income) as you wont be entitled to some of the benefits you are claiming.
Benefits are for people who need them. You have got into the situation where you dont.

You should stop and think how lucky yu are, there are thousands of people who would give their right arm to be in your situation.

I dont think you even realise you are asking us to help you to defraud the benefit system.

Kimitatsu

I have to ask why is this a disruption? You have just been given £72,000 and that causes you difficulties?

You will still be able to live in your council house - you will have to sell the flat and regardless of house prices you have paid nothing for it so I dont see the problem? The money you can use to give your kids a better standard of living and start your career off yourself.

Am I missing something?

McKneff

You could even put a deposit down on a small flat and free up a council house.

fasteddy13

Please let me make this clear, I am not trying to defraud anyone, I simply know nothing about any of this... I have never heard of deprivation of capital before, that is why I came to this forum, for advice so that I do not make any mistakes. I have had a huge struggle to get my life right for me and my kids am trying to avoid disruption to what has been an extremely fragile existence until now..
If as you say, I will have to sell the property, then live off the capital, then that is what I will do..
I am one of those that would have given their right arm for this, but as I have said, I have been through an awful time and had to fight very hard to get to this situation I am in, and would have been very happy for it to go in the direction I have striven for..
I just wanted to know what my options are..
If you want to judge me, then try living the life I have had to the past few years first..

alwaysonthego_2

fasteddy13 wrote: »

Please let me make this clear, I am not trying to defraud anyone, I simply know nothing about any of this... I have never heard of deprivation of capital before, that is why I came to this forum, for advice so that I do not make any mistakes. I have had a huge struggle to get my life right for me and my kids am trying to avoid disruption to what has been an extremely fragile existence until now..
If as you say, I will have to sell the property, then live off the capital, then that is what I will do..
I am one of those that would have given their right arm for this, but as I have said, I have been through an awful time and had to fight very hard to get to this situation I am in, and would have been very happy for it to go in the direction I have striven for..
I just wanted to know what my options are..
If you want to judge me, then try living the life I have had to the past few years first..

Nobody is judging you, hopefully from these posts you can do further research; all we are doing is making you aware of any implications.