Unexpected windfall and in Sheltered Housing

WonkeyDonkey

Hello everyone

My elderly mother lives in sheltered accommodation and has been told that she can not exceed a savings threshold (I’m not sure if this is correct or what amount she has been quoted).

She is Administrator to an aunt’s estate and after a long time has managed to close a shares account, which is the last remaining account relating to the estate. She expected to receive a few hundred pounds but instead has received a cheque for £15k.

She’s now worried about banking this cheque as it will take her over her savings threshold. Can anyone here shed any light on what she could do to avoid putting her sheltered flat at risk?

Can she gift any of this money and, if so, how much?

How long can it stay in her account before MHRC start investigating?

Is she barking up the wrong tree completely?

Sorry for all the questions but it’s causing her distress, rather than seem like a benefit.

Thanks in advance

WD

TELLIT01

She needs to be very careful about disposing of assets as it could be classed as Deprivation of Capital. If that happens she will be deemed still to have the money even if she has given it away.
First thing to do is find out what the savings limit is. For many Income Related benefits it is £16k. She will legitimately be able to replace household items that need replacing and that could make quite a dent in the figure.

sulkisu

Is she in receipt of means tested benefits?

[Deleted User]

I think maybe what the accommodation were talking about was if she had above a certain amount in the bank she'd have to pay rent and services charges, not have it paid through housing benefit and other awards.

If she goes above this amount, she would have a financial assessment again and what she has to pay would be reassessed (I am guessing but perhaps there is some part of the services being paid through social services based on her low income).

However, I doubt she'd lose the accommodation itself. She or you, could ask the accommodation to clarify though.

Tabbytabitha

WonkeyDonkey wrote: »

Hello everyone

My elderly mother lives in sheltered accommodation and has been told that she can not exceed a savings threshold (I’m not sure if this is correct or what amount she has been quoted).

She is Administrator to an aunt’s estate and after a long time has managed to close a shares account, which is the last remaining account relating to the estate. She expected to receive a few hundred pounds but instead has received a cheque for £15k.

She’s now worried about banking this cheque as it will take her over her savings threshold. Can anyone here shed any light on what she could do to avoid putting her sheltered flat at risk?

Can she gift any of this money and, if so, how much?

How long can it stay in her account before MHRC start investigating?

Is she barking up the wrong tree completely?

Sorry for all the questions but it’s causing her distress, rather than seem like a benefit.

Thanks in advance

WD

You say that she's the administrator of the estate but is she also the beneficiary?

Not_a_clue

I think she'd be able to pay for a funeral plan out of it. Maybe somebody else could confirm.

It may also be that it is the limit at the point somebody is admitted into sheltered especially if it is owned by a charity. It seems unlikely (illegal?) to evict somebody for inheriting a not vast sum of money.

Also does she need an electric bed/rise and recline chair that she could reasonably spend money on?

WonkeyDonkey

sulkisu wrote: »

Is she in receipt of means tested benefits?

I’m not certain, I’ll ask her

Thanks

WonkeyDonkey

Tabbytabitha wrote: »

You say that she's the administrator of the estate but is she also the beneficiary?

Yes, she’s the last man standing (so to speak)

WonkeyDonkey

Not_a_clue wrote: »

I think she'd be able to pay for a funeral plan out of it. Maybe somebody else could confirm.

It may also be that it is the limit at the point somebody is admitted into sheltered especially if it is owned by a charity. It seems unlikely (illegal?) to evict somebody for inheriting a not vast sum of money.

Also does she need an electric bed/rise and recline chair that she could reasonably spend money on?

Thanks, those are very good suggestions. I’ll discuss these with her when I see her next

Not_a_clue

Also, if your mum is on pension credit guarantee (the main element, the savings element in itself does not qualify) in an assessed income period then she is passported automatically to housing benefit and such 'windfalls' however large do not remove the right to housing benefit for the duration of the assessed period.