I've got an elderly realtive whos got some savings (not a fortune) and also owns his own house. They are concerned that this will be taken from them if they ever need to pay for care.
Are there yearly limits as to what can be given away as gifts before its considered a deliberate disposal of assets? Where can I find the laws/rules/guidelines for this sort of thing?
The situation is usually far more complex than what can be given away..
Part of the equation is the need to allow for "top up" fees - as it is very likely that the care home of first choice has fees in excess of what the LA will pay.
Age Concern have lots of factsheets and are generally a good source of advice on this. They have local offices almost everywhere - where you can go for a chat and discuss the options. Including the alternatives to residential care..
Sue,
Thanks. There does seem to be a myriad of myths, urban legends out there as to what is allowable etc....
Take a look here Sue.
Peter Crosland
I was just going to add a footnote to my post that the "local offices" bit was important as things do vary across the Country - but saw that you had covered it.
My normal first thought is to suggest going to CAB - but on this topic I think Age Concern have a deeper understanding of the issues involved and can explain things better. Of course that could also vary from area to area! We get so many people coming down to the South West to retire, it is a subject that comes up time after time after time. So a good deal of expertise is to be had..
In message , paulfoel writes
Homes are not 'taken from them'.
This post assumes the relative is single.
What actually happens is that when assessing if a person qualifies for assistance with the cost of care then all that person's assets are taken into account.
It is expected that the person's assets and income will all be used towards the cost of their upkeep subject to certain minimum threshold value of assets.
If the total assets exceeds the threshold, then no assistance is provided.
However, if the assets are largely represented by the person's house then the local authority will expect it to be sold by the person to fund the cost of the care. As houses dont sell instantly then the LA will lend the person the money to pay the fees until the house is sold. When that happens the LA is repaid from the sale proceeds. The LA will likely take a legal charge over the property. The LA will expect the house to be actively sold.
This is a far cry from the house being 'taken from them'.
No.
Try Age Concern.
Why not let the house be sold and use the money to buy some decent good quality private care?
Tricks to get the LA to pay for it all can condemn the person to live in a poor quality home.
Surely using the persons capital to enable them to live in a really nice quality home is what matters.
Lots of people say they rain for a rainy day but fail to notice that it's p'ing down.
In message , John Boyle writes
Honestly, it isn't that far a cry.
In message , Mike_B writes
What makes you think that then?
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