Putting home into family trust to avoid nursing home fees

Doc_N

One way round this, of course, is to give away to your children at a fairly early stage as much as you can afford to give.

Avoids 40% tax later (if you last 7 years) and the benefit to your children is likely to be far, far greater than the loss to you of those world cruises you might otherwise have had.

There's also a great deal of pleasure to be had from seeing your children able to afford to buy nice houses they wouldn't otherwise have been able to afford - again, rather more pleasure from that than the fleeting pleasure of cruise ships stuffed with people boasting about 'spending the kids' inheritance'.

seven-day-weekend

We helped our son out by giving him the deposit to buy his (cheap) flat which he would never have been able to save up on a minimum wage job. It makes US feel good to know that he is settled and doesn't have to worry about horrible landlords.

What parent wouldn't, if they had the money.

(We'll still spend the rest of the inheritance though )

mumps

seven-day-weekend wrote: »

We helped our son out by giving him the deposit to buy his (cheap) flat which he would never have been able to save up on a minimum wage job. It makes US feel good to know that he is settled and doesn't have to worry about horrible landlords.

What parent wouldn't, if they had the money.

(We'll still spend the rest of the inheritance though )

I couldn't agree more, bit harder for me with 4 but so far they have had a chunk of our hard earned cash for university but I hope we can help with houses etc when the time comes. Maybe they will need less help if qualifications gets them good jobs but who knows. By the way how is the buy to let project going? I haven't been on much since my youngest was in hospital so haven't heard if you got the mortgage?

John_Pierpoint

It is so important in life to choose the right parents.

seven-day-weekend

mumps wrote: »

I couldn't agree more, bit harder for me with 4 but so far they have had a chunk of our hard earned cash for university but I hope we can help with houses etc when the time comes. Maybe they will need less help if qualifications gets them good jobs but who knows. By the way how is the buy to let project going? I haven't been on much since my youngest was in hospital so haven't heard if you got the mortgage?

We have a verbal offer of a mortgage and the flat we wanted to buy has been reduced.:) We still haven't decided what to do though.

Hope your son/daughter is better now.

mumps

seven-day-weekend wrote: »

We have a verbal offer of a mortgage and the flat we wanted to buy has been reduced.:) We still haven't decided what to do though.

Hope your son/daughter is better now.

Sounds like it is up to you then. If it helps we became landlords, complicated circumstances and not something we planned, but it has been good for us and a nice boost to pension.

He is well on the mend but not looking forward to further surgery in a few months. Hopefully that will be the end of it but the timing has been rubbish, just clashed beautifully with his exams and good chance the next op will be at the start of his third year. Never mind, he is doing well and the uni have been very supportive.

Good luck with the decision.

pollypenny

frugalliving wrote: »

I think it is disgusting for anyone who has WORKED all their life and PAID for everything themselves then to be hit further by having to pay for nursing home fees when they get the SAME care as someone who has done NOTHING all their lives and lived on benefits not saving for their future. I have worked in the administration side of care homes and it really is an unfair system on genuine people who deserve better! If it is funded for one then it should be funded for all, if not what is the use of working at all!

If I move house and live in a new place, I don't expect to keep the old one.

Do you think that people of a certain age should live free and we tax payers keep them so that they can give thousands to their children, who have not earned it?

I'd prefer to fund myself, if I need a home, then I will at least have a choice.

Doc_N

pollypenny wrote: »

If I move house and live in a new place, I don't expect to keep the old one.

Do you think that people of a certain age should live free and we tax payers keep them so that they can give thousands to their children, who have not earned it?

I'd prefer to fund myself, if I need a home, then I will at least have a choice.

So right. People talk glibly of 'the government' funding care for people going into nursing/care homes, whilst those same people are sitting on assets worth £100K - £500K+.

First, it isn't the government providing the funding - it's tapayers. And second, why should hard pressed taxpayers fork out just to allow the children to inherit the house? The welfare system was never designed or intended to achieve that!

John_Pierpoint

The logical development of this thread is that the country seriously needs to debate the laws in uncivilised Netherlands, Oregon, Switzerland..........as they relate to active/passive euthanasia and assisted suicide.
http://en.wikipedia.org/wiki/Legality_of_euthanasia

Here in the UK, we have our famous "humbug and fudge consumed by medics" solution :- "We need some signatures.........." "Hang on one of these is a Do not Resuscitate form".
Some how the name Bodkin-Adams and his "she was dying anyway" quote still resonates in my brain from primary school age.

jennifernil

What I find unfair is that there seems to be 2 different prices in care homes where there are both council funded and self funding residents.

As far as I can make out, the council says what they will pay, and the home has to accept that. They then charge the self funding residents more to make up the shortfall.

I don't have a problem with paying my taxes, or potentially having to pay for my own care, but why should I have to pay extra to subsidise others. This should be spread over all taxpayers.