Financing Retirement Home Living.

Mojisola

slinga wrote: »

The generation of which the OPs mil is a member set themselves a goal of leaving an 'inheritance' for their offspring, however small that might be, and to know that that will be reduced to nothing because of it being paid out to nursing homes or whatever can be quite upsetting.

Sometimes they will have been taxed on the money 3 or more times. Income tax, tax on interest, sales tax, stamp duty, National Insurance etc etc.

Unfortunately that is the way of things.

When our parents had us, they would have been happy to have been able to leave enough to get themselves buried and leave a little for us children.

They were able to get on the property ladder and the value of their house has risen from under £10k to £150k+. They didn't do anything to make that happen apart from living through the period when house prices went crazy.

They never expected to have that kind of money to leave to us; we had no expectations of a big inheritance either. I'm glad that the price rise has meant that I could choose Dad's care home and am happy to use their windfall to do so.

margaretclare

Mojisola wrote: »

When our parents had us, they would have been happy to have been able to leave enough to get themselves buried and leave a little for us children.

They were able to get on the property ladder and the value of their house has risen from under £10k to £150k+. They didn't do anything to make that happen apart from living through the period when house prices went crazy.

They never expected to have that kind of money to leave to us; we had no expectations of a big inheritance either. I'm glad that the price rise has meant that I could choose Dad's care home and am happy to use their windfall to do so.

I agree with the above, with the caveat that the generation before me weren't even on the property ladder and their main concern was having a small insurance policy which was enough to pay for their simple funeral in the churchyard.

I was the first to go to grammar school, the first to be on the property ladder, the first to do a lot of things that they never even dreamed of.

Mojisola

margaretclare wrote: »

I agree with the above, with the caveat that the generation before me weren't even on the property ladder and their main concern was having a small insurance policy which was enough to pay for their simple funeral in the churchyard.

My grandmother encouraged my Mum to start a small insurance policy when she started work, paying 1p (that was one old penny, of course) a week.

She took on another when us children arrived - this time paying out 3p!

It shows how the value of money has changed that those policies would have brought in enough to pay for a funeral at the time.

margaretclare

Mojisola wrote: »

My grandmother encouraged my Mum to start a small insurance policy when she started work, paying 1p (that was one old penny, of course) a week.

She took on another when us children arrived - this time paying out 3p!

It shows how the value of money has changed that those policies would have brought in enough to pay for a funeral at the time.

They were called 'industrial' policies and the local insurance man used to come round on Friday evenings.

It was a bit of a disaster when my granny died in 1938. She'd never been well since Spanish 'flu in 1918/19 which had weakened her heart. My grandad couldn't pay for her funeral all in one go, and he was mortified. He's said to have growled at my mother 'Get that bairn insured'.

mumps

margaretclare wrote: »

I agree with the above, with the caveat that the generation before me weren't even on the property ladder and their main concern was having a small insurance policy which was enough to pay for their simple funeral in the churchyard.

I was the first to go to grammar school, the first to be on the property ladder, the first to do a lot of things that they never even dreamed of.

My great granny who was born in about 1870 brought up four children after her husband was killed serving in the army in India. She was a cook and saw one of her daughters become a teacher, one a nurse and one following her as a cook. I am not sure what my grannys brother did but I know he emigrated to America. I know my great aunt had a hard time training as a nurse. Apparently in Victorian London it was rich girls training as nurses and the fact that they earned very little didn't matter as they would receive an allowance. My poor great aunt had to live on her wages and send money home to help bring up her younger siblings.

As well as bringing up her children great granny managed to buy a little two up two down terraced house. She had to save the money as she couldn't get a mortgage. I never knew her, she died about ten years before I was born, but I have always been proud of her and seen her as an inspiration that a single mother in a working class family achieved so much.

I agree about the insurance man calling for pennies, I remember the man from the Pru calling every Friday/

mumps

Mojisola wrote: »

My grandmother encouraged my Mum to start a small insurance policy when she started work, paying 1p (that was one old penny, of course) a week.

She took on another when us children arrived - this time paying out 3p!

It shows how the value of money has changed that those policies would have brought in enough to pay for a funeral at the time.

I remember my mom struggling to buy my grammar school uniform so when my first son was born I decided to plan ahead. I was only just 18 and started paying into a policy so I would have enough to buy his uniform for grammar school. I think I paid 2s a week and he did go to grammar school and the policy paid for all his uniform. Can't believe I was such an organised teenager.