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Getting rid of capital to get benefits
Comments
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Oldernotwiser wrote: »I'm sure you would - you're looking after your inheritance rather than looking after your mother!
Encourage your mother to live as full a life as possible using the savings she's worked for. Tell her you don't want her money and want her to spend it on herself.
Yes - many thanks for your inciteful comments OLDERNOTWISER - what an apt username!!!0 -
My mother has scrimped & saved all of her life. She is over 80 years old and registered disabled. She has £20+ in savings, which she refuses to spend. She wishes to leave it to family members when she dies!
My problem is that she is only just breaking even after she's paid out her basic living expenses on a weekly / monthly basis.
She only receives a basic state pension and also Attendance Allowance. She gets a small reduction in Council Tax payments as she's single. Because of her savings, she seems not to be entitled to any other benefits as most are means tested (even tho' her savings are giving a TINY return).
My question is - if she were to give her savings away as a "gift" now (i.e. before her death) would there be implications to her then applying for more benefits?
I understand the Inheritance Tax implications on the gift if she dies within 7 years etc.
If she really is getting just basic state pension and attendance allowance, she would easily qualify for pension credit - guarantee element even with £20k.
So, either you haven't checked, and are looking at dubious methods that are not necessary and may expose your mother to risk. Or ......0 -
My mother has scrimped & saved all of her life. She is over 80 years old and registered disabled. She has £20+ in savings, which she refuses to spend. She wishes to leave it to family members when she dies!
My problem is that she is only just breaking even after she's paid out her basic living expenses on a weekly / monthly basis.
She only receives a basic state pension and also Attendance Allowance. She gets a small reduction in Council Tax payments as she's single. Because of her savings, she seems not to be entitled to any other benefits as most are means tested (even tho' her savings are giving a TINY return).
My question is - if she were to give her savings away as a "gift" now (i.e. before her death) would there be implications to her then applying for more benefits?
I understand the Inheritance Tax implications on the gift if she dies within 7 years etc.
Or..how about she pays her own way with HER MONEY rather than having the tax-payer (ie. me and most others here), pay her way for her.
I realise that she wishes to leave a legacy, but i shouldn't have to pay for your inheritance which is effectively what you are asking about.
And there is the truth.Oh yes! This is something that we have repeatedly told her over the past 15 years!!!! But to no avail. It's only now that she's realised the implications sadly. She's never been very money savvy and would have probably put it under her mattress if it were left up to her:eek:!
Thanks for your replies. It has backed up my own thoughts on it.
This ISN'T something the mother wants to do.
Its something that the cash-grabbers in the family are trying to persuade her to do!
BTW...she IS more money savvy than you think. Here is why:
1. She has £20K in savings
2. She hasn't been persuaded to hand it over to you.0 -
I thank all those people on here who have given me advice - esp re the Pension Credits (to which I now know my mother is entitled to).
To those who have seen fit to comment on things that they know nothing about - I do not thank. You know nothing of personal circumstances. I could have told you lots more information, but chose not to as all I wanted was some basic advice - not social comment!
FYI - I have begged my mother to spend her money on herself. I have an LPA and could have easily "spent my inheritance" years ago!0 -
So you'll hide all your money and then claim benefits
Yes..if i can,i will. and why? Becuase i have subsidised others to sit on their backsides for decades and I'm sick of it.
I dont want to be in the position,when i retire,that my dolehopping neighbours get everything free or subsidised whilst i,a net contributor most of my life,have to scrimp and save.Feudal Britain needs land reform. 70% of the land is "owned" by 1 % of the population and at least 50% is unregistered (inherited by landed gentry). Thats why your slave box costs so much..0 -
C_Mababejive wrote: »Yes..if i can,i will. and why? Becuase i have subsidised others to sit on their backsides for decades and I'm sick of it.
I dont want to be in the position,when i retire,that my dolehopping neighbours get everything free or subsidised whilst i,a net contributor most of my life,have to scrimp and save.
Whilst the honest, responsible part of me tells me that this line of thinking is wrong.... I have to admit you are 100% right and I am going to do the same myself.
The hard working always get punished to support the lazy scroungers and get nothing in return.0 -
Indeed. Take a lesson from the recent banking crisis. Live for today,not tomorrow. Honesty ,hard work and parsimony will only leave you worse off. Whilst I' out at work tonight freezing my nuts off,there will be dole hoppers sat in nice new housing association properties,warming their backsides and watching their plasmas in surroundings that are far better than i have got.Whilst the honest, responsible part of me tells me that this line of thinking is wrong.... I have to admit you are 100% right and I am going to do the same myself.
The hard working always get punished to support the lazy scroungers and get nothing in return.
The meek shall inherit.....nothing.Feudal Britain needs land reform. 70% of the land is "owned" by 1 % of the population and at least 50% is unregistered (inherited by landed gentry). Thats why your slave box costs so much..0 -
Okay think this is all done now
OP has an answer to his question so its up to them what course they now take.
I would just like to point out that these boards are here to empower people to take responsibility for their own finances not to help them defraud the system in any way. After that their actions and the consequences are theirs to deal with.
Thread closed :cool:Free/impartial debt advice: Consumer Credit Counselling Service (CCCS) | National Debtline | Find your local CAB0
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