Putting home into family trust to avoid nursing home fees

missile

lessonlearned wrote: »

..... I just hope adult social services pick up the tab if the money runs out and he can remain where he is.
I would hate him to have to suffer the trauma of another move at this stage.

I do hope he is allowed to stay where he is. Some I know have been forced to relocate to cheaper accommodation when their money ran out.

Pollycat

missile wrote: »

I do hope he is allowed to stay where he is. Some I know have been forced to relocate to cheaper accommodation when their money ran out.

Yes, and this could become an issue for all those people wanting to give away their money and house to their children to avoid having to pay care home fees.

Not being self-funding means you don't have a lot of choice where you spend the rest of your days should you need residential care in later life.

And something to ponder on - will those children who have benefited from your money, stump up and top up/pay for your fees?
You'd better be pretty sure they will or you may have a miserable end to your life.

pollypenny

seven-day-weekend wrote: »

We are having a quote and plans drawn up for a conservatory/orangery tomorrow

Didn't like the way the Buddhist thought was worded (depressing), but agreed with the sentiment - Christianity has a similar saying, which is 'Live every day as though it is your last'.

I like the Julian of Norwich quote that you mentioned also, and am glad it helped you.

I've often thought about The Buddha though.....if he was supposed to have got it all sorted, why was he so very morbidly obese?:rotfl:

I'd imagine it was because of the time he lived. Only the well-off could eat well enough to be fat and happy.

Doc_N

Pollycat wrote: »

Yes, and this could become an issue for all those people wanting to give away their money and house to their children to avoid having to pay care home fees.

Not being self-funding means you don't have a lot of choice where you spend the rest of your days should you need residential care in later life.

And something to ponder on - will those children who have benefited from your money, stump up and top up/pay for your fees?
You'd better be pretty sure they will or you may have a miserable end to your life.

Perhaps........though I suppose it depends very much how good your relationship is with your children (and their spouses, of course), what they're like as people, their financial stability, and various other related factors.

It isn't a step to take lightly, you almost certainly wouldn't want to give everything away, and you'd also need to bear in mind the deprivation of assets rules. That would rule it out later in life if you were, as you suggest, trying to avoid care home fees - added to which it would probably be too late then to be of much help to your children, who are likely to need it when they're younger.

Pollycat

Doc_N wrote: »

Perhaps........though I suppose it depends very much how good your relationship is with your children (and their spouses, of course), what they're like as people, their financial stability, and various other related factors.

It isn't a step to take lightly, you almost certainly wouldn't want to give everything away, and you'd also need to bear in mind the deprivation of assets rules. That would rule it out later in life if you were, as you suggest, trying to avoid care home fees - added to which it would probably be too late then to be of much help to your children, who are likely to need it when they're younger.

Isn't that the subect of this thread - avoiding paying care home fees?

For the record, I have no children so nobody who needs help in getting on the property ladder.
If I or my OH need care in the future, it will be in a place that is best for us, not the cheapest place because that's all we can afford.
We've worked hard, saved hard, are enjoying our retirement and will do our best to continue that regardless of what care we may or may not need in the future.

lessonlearned

I think one factor that has to be taken I to account and that is whether or not we have children, and what, if anything:rotfl:, me want to do for thrm.

The other thing is what happens to us in life will often determine our course of action.

Polly you have no children, so your thought processes are going to be very different from mine.

Of course I want to do,the right thing and make provision for my own future needs, be they retirement, nursing home, whatever, but also,as a parent I also want to,see my kids are ok.

I think most parents want to leave something behind to help their offspring.

You all know my history. My husbands illness was our wake up all. Up until,then we were happily planning our retirement, a property in Spain for the winter and a small place here as a base and a bolt hole from the Spanish summer heat.

Ha - what's that saying, Man plans, God laughs......

Well you know what happened, so between us my wonderful, caring, thoughtful and very smart husband and I discussed the matter.

We came up with a cunning plan........::rotfl:

seven-day-weekend

We have already helped our son with a deposit for his flat and will be helping him again to extend the lease.

If we have to go into care (heaven forbid) then we will fund it ourselves to the best of our ability, knowing our son is secure without any inheritance from us.

Our wish, however, is that he will be able to inherit whatever we have left and that we will NOT have to spend it on nursing home fees. But needs must, so we have done our best to help him while we can.

Pollycat

I have no issue at all with anyone helping family. Me & OH have given financial help to my sister (who is in a totally different financial situation to us).
It's the 'I've worked hard and don't see why I should spend my money to pay for my care needs when, if I give it all away, the mug taxpayers will fund it' attitude that annoys me.

The statement below sums up my opinion:

pollypenny wrote: »

Im happy to fund those that cannot fund themselves, through my taxes. However, I'm blowed if I'll fund some selfish git who thinks he's the only one who has worked hard and saved and now wants to leave assets to the family.

missbiggles1

Perhaps we should do as the French do and charge the parents' care to their children - that'd put the cat among the pigeons and no mistake!

lessonlearned

So here's the master plan, the basics were discussed and agreed between OH and I, it was up to me to fine tune the detail, work out a plan of attack and put it all into action.

It was broken down into stages.

He went into a Nursing home. I sold the Spanish property, then the family home. I cleared all our debts.

By this time I had racked up £30k, thanks to our caring system, which left us practically destitute, no income over 18 months. thanks DWP........And of course I had had to buy a lot of his equipment, stair lift, wheelchairs etc and make adaptations to our home. thanks social services......

Anyhoo, Then I moved DS2 and I into rented accommodation, found a property for DS1 who was also renting. Gifted DS1 the deposit and renovation budget.

DS2 moved in with his brother. I couldn't face living on a building site so I rented a small bungalow within the nursing home comlplex which meant I could be nearer to my husband and be more or less at his side most of the day.

Found a house for DS2 gifted him a deposit and a renovation budget.

My darling husband then died.

I moved in with DS2 and helped him with the renovations. I am currently still living with DS2 and have just started thinking about looking for my own house. I have been delayed due to my mums recent death.

The very last words my husband signalled to me (using his alphabet boaed) were "look after the boys".

I'm proud to say I have done exactly that, whilst at the same time keeping back enough money to secure my own financial future and ensure that there would be enough money to fund my own nursing home fees should the need arise.

It has taken me two years, two spells in rented accommodation, and some time living with my youngest son, none of which have been any great hardship.

I don't mind moving house, ,it doesnt faze me. I just roll up my sleeves and get on with it.

It has of course meant living like a gypsy for the past two years but who cares....the end will more than justify the means.

I have provided my sons with funds when they needed it most and given them a leg up onto the property ladder. I will have a secure financial future.

Its not the retirement my husband and I had planned but I will be happy and can build a good future for myself.

I won't be a financial burden on either my kids or the State.

At current prices my money and assets should fund nursing hime fees for about 4 years.

That should be enough, and if I don't need to go into care, then the boys can have the lot with my blessing. :rotfl:

Alls well that ends well.....

Just edited to,add....

I think in a way we 60 something's are probably the first generation to have to,think about these issues.

My parents generation never expected to live until their 90s and probably never even contemplated the need for nursing homes. They just blithely assumed they would get old, die and their estates would pass to their children. Many of them have been shocked by the reality of extreme old age.

We at least have had the benefit of seeing a glimpse of own futures by looking at the issues facing our elderly parents. This does give us the opportunity to plan effectively.

Whether or not we take the opportunity given to us is another matter.

As you say Polly there will always be those who want to have their cake and eat it.