help with my parents care and care home

st

My parents 84 and problems--mother alzehimers and father leg trouble.
They have no property and are tennants but have at least 100k savings.
All now in my fathers nane due to my mother problem.
Whats happens in terms of care if they go full time into a residental home ,will my mother be paid for my the local auhority ??
How much savings ar they allowed to have before local authority will contribute?
Any help or advise apprecited.
Thanks.

margaretclare

Hi st

I think it's either £12K or £20K they're left with.

However, it has been stated on here recently that savings shouldn't be in joint accounts or just in one person's name. This has been discussed before and there are a lot more knowledgeable people than me.

Sorry!

Margaret

Ted_Hutchinson

First make sure that one or other isn't entitled to fully funded NHS care

Also see Factsheet 10, Local authority charging procedures for care homes, if you are going into a home on a temporary basis.

The Help the Aged website Care homes has links to useful information.

margaretclare

Have a look at this thread: http://forums.moneysavingexpert.com/showthread.html?p=3378153#post3378153

In particular, read elliebean's post #5.

Margaret

Limana68

Hi there
Im sorry about your situation, one which I will be coming to soon...... you dont say how well your dad is apart from the leg trouble? I would seriously think about putting the savings in an account in your name, or whoever is going to be responsible for it, and placing the 100K saving in it.
My hubby had the same problem with his folks a while back, both had worked all their life and saved alot, and his mum ended up in a care home and basically eneded up with nothing........ it wont happen to his dad as that money is safe and sound and for his kids which is what it was meant for..... some people wont agree but its just MY opinion.

L

Bogof_Babe

His dad has to survive for seven years after the transfer of monies, otherwise it will be treated as deprivation of capital, and his family may find themselves having to repay it, should his care costs require funding beyond the capital he has retained for himself.

djohn2002uk

I think you are mixing up Inheritance and Care Home Fees.
To avoid paying Inheritance Tax on gifts you have to survive 7yrs but for avoiding Care Home Fees I think it is only 2yrs.

margaretclare

Limana68 wrote:

Hi there
Im sorry about your situation, one which I will be coming to soon...... you dont say how well your dad is apart from the leg trouble? I would seriously think about putting the savings in an account in your name, or whoever is going to be responsible for it, and placing the 100K saving in it.
My hubby had the same problem with his folks a while back, both had worked all their life and saved a lot, and his mum ended up in a care home and basically ended up with nothing........ it wont happen to his dad as that money is safe and sound and for his kids which is what it was meant for..... some people wont agree but its just MY opinion.

Have a look at other threads, in particular there is a suggestion from EdInvestor that this should be looked at from a different point of view. The suggestion is that the person's own funding should be looked at first: (1) pension income, (2) attendance allowance, then (3) buying an immediate-needs annuity, the income from which is paid directly to the care home/nursing home and is then tax-free. Along with all of that, investigate whether health-care needs can be paid for under the NHS (see the Coghlan case).

I would have thought that £100K would buy an immediate needs annuity with money to spare, and this gives choice and comfort, nicer surroundings, a choice of locality, a better quality of life. You say that your FIL meant his money for his kids - we take the complete opposite view. Whatever we have, whatever we may still have if/when the time ever comes for thinking about care home provision, is primarily for OUR needs, our choice and comfort. No way did I work darned hard all my life (and DH the same) for another generation to benefit while the surviving one of us might be pushed into some god-awful place at the mercy of whatever Social Services might think is appropriate. 'The kids' can have whatever, if anything, is left at the end.

I've done shifts in some of these places and there is a huge difference between the best and the worst. It's rather like EdInvestor says, do you want to stay in a good-quality hotel, or not? Because it really is all about 'hotel services', that's what makes the difference.

Margaret