Property Trust

GoingSolo

Can I put my property that I live in into a trust to avoid paying for any 'care home' needs in the future?

I own it outright, no mortgage and no debts

Browntoa

http://www.telegraph.co.uk/finance/personalfinance/insurance/longtermcare/10117822/Warning-over-care-home-trust-schemes-that-promise-to-protect-your-property.html

AnotherJoe

So your aim is, should a home be needed, to go into the cheapest, most manky rundown council funded "care" home in your final years?

There's a fairly recent post here from someone whose mother put her house into such an avoidance scheme, then years later sold the house and the money has gone to the scheme organisers and she cant get it ! Looking like a scam.

Seems to me the position is, either its a scheme run by a dodgy company, so you could lose all the value of the house, or by your children in which case its a clear avoidance dodge and will most likely be ruled invalid.

Bob_Bank_Spanker_2

http://www.bbc.co.uk/news/business-38948369

xylophone

See http://www.thompsonspropertytax.co.uk/state-benefits/giving-away-your-home-to-avoid-care-home-fees-deprivation-of-assets

Deliberate deprivation of assets occurs when someone gives away assets or income in order to claim either means tested benefits or care home fee funding.

This can take many forms such as...........

Putting your assets into an irrevocable trust

Local Authorities have wide powers to decide what is and what is not deprivation of assets ......

G_M

You need specialis independant advice, but the answer is probobly 'no'.

Similar rules apply with Inhertance Tax avoidance. If it was easy to do, everyone would do it and no one would ever pay IT, or care home fees!

AdrianC

Just so that we're clear here, you are asking how to get your fellow local council tax payers to subsidise your children's inheritance?

Bob_Bank_Spanker_2

AdrianC wrote: »

Just so that we're clear here, you are asking how to get your fellow local council tax payers to subsidise your children's inheritance?

Yes. The typical response to this is "I've paid tax for 40 years don't you know!!!" - completely oblivious to the fact that they have enjoyed roads, schools etc. in the mean time.

Mojisola

AnotherJoe wrote: »

So your aim is, should a home be needed, to go into the cheapest, most manky rundown council funded "care" home in your final years?

And it could be worse than that - as care home places are in short supply and it's cheaper for the council to keep someone at home with a 'care package', you could end up isolated and lonely at home waiting for a flying visit from a carer who is expected to change your dirty incontinence pad, provide a meal, sort out your medicines and check your welfare in 30 minutes.

AdrianC

'course, one or more of the kids could earn their free house by moving in and caring for the OP in their dotage, so no care costs need be incurred.

theartfullodger

AdrianC wrote: »

Just so that we're clear here, you are asking how to get your fellow local council tax payers to subsidise your children's inheritance?

+1...........


Surely a truly patriotic citizen will not try to fiddle their contribution in the manner proposed...

Artful: (69 if you were wondering...)