Deed of Variation for someone mentally incapacitated

Drumpound

Hi, my question is:

Would a Power of Attorney, carrying out a 'Deed of Variation', be seen as a 'Deliberate Deprivation of an Asset' and Acting Unlawfully?

I wonder if anyone can help me with (or has a similar history) with the following conundrum:

My mother has Alzheimer's and is just about to clear Probate and inherit a property from her Late Aunt, worth £350k.

I have 4 siblings, each of whom, and myself are equal 'beneficiaries to be', from my mother's will.

We all want to keep my mother at home  and out of the care system, as long as possible. 

(We have had too many bad experiences with carers whom we have employed so far).

Our desire is to have one of us, give up our jobs and become a full time live in carer. Then, be paid by all the 'beneficiaries tobe', retrospectively, once they inherit. 

I believe that the going rate for a 24hour (24/7) live in carer, appears to be circa £55k per year.

If we retripectively paid a family member £45k a year to look after my mother, the estate she inherits would depleted in around 8 years.

Therefore, once my mother ,receives over 4 years of care, we are in a position where we cannot guarantee that the family carer can be paid what is owed.

We have been told, that we can solve this,  by carrying out a 'deed of variation'.

That way, payment to the family carer is guaranteed,  up to 8 years.

Our intention is not to put her in care, but if we have to, we sell the transfered property and pay for her care from the proceeds.

Any advice would be much appreciated.

Thank you.

getmore4less

Not clear what variation you are planning to do here that magics up money?

Drumpound

Thank you very much for your reply.
I was thinking thid myself,  other than my mum has abd still does continually express a wish not to be put in a care home, or have a stranger living and looking after her, in her own home.

I was wondering if that could be sufficient justification in acting in her best interests?

Mojisola

Drumpound said:

If we retripectively paid a family member £45k a year to look after my mother, the estate she inherits would depleted in around 8 years.

Therefore, once my mother ,receives over 4 years of care, we are in a position where we cannot guarantee that the family carer can be paid what is owed.

We have been told, that we can solve this,  by carrying out a 'deed of variation'.

That way, payment to the family carer is guaranteed,  up to 8 years.

Who has told you this and just how it is meant to double the inheritance?

gizmo111

Why can't your mother just pay for her care out of her own funds that she inherits?  

bouicca21

Looking after someone with Alzheimer’s is exhausting. It also requires expertise.  A nursing home is a way better option.  

Drumpound

Thanks again, solicitor of one of the family members told us its legal, but I  dont see how.

It doesn't double the inheritance,  but if the current rate of property increases, every 3 years appreciation, pays one more year care.
None of us are registered carers, and not sure whether we would get approved to charge 45k per year.

Thanks again all.

naedanger

Is your mother currently living in the property she is about to receive as an inheritance? 

If not then I don't really understand why the money she inherits isn't just used to pay for the carer as the care is provided.
I also don't understand why the £350,000 cannot pay for seven to eight years of care at £45,000 p.a.

[At the moment without further explanation I would be of the view the deed of variation is not in your mother's best interests as there seems to be better ways of financing the care you wish to provide for her.]

Drumpound

I am of the same opinion as the forum.
I am at odds with my siblings,  who have taken the side of the solicitor. 
I was hoping that someone could convince me otherwise. 

I really appreciate all the input. 

naedanger

If you get more information that changes what you think is being proposed (or your opinion) then you could post again with the new information.

Drumpound

getmore4less said:

Not clear what variation you are planning to do here that magics up money?

I didn't  communicate or elaborate sufficiently, its along the logic that if the payment for care is as you go, instead of retrospectively,  the appreciation in the asset is likely to increase. 
The moment the assest is sold and used for payment on the go, the rate of decline is greater, thus less able to facilitate a longer run of paid care in her home, and inevitably,  less funds to provide a better Nursing Home,  when that time inevitably comes.