Worrying about paying care home fees? Get the right advice first

Paying for nursing home or care home fees is a big worry for many people.

Typically, the worries are:

>Spending all one’s savings on fees.

>Having to sell one’s home to pay for the fees.

>Not having enough money.

>Protecting savings and house against claims from the local authority.

There are no easy answers. This really is an occasion when you should get good advice tailored to your specific circumstances.

You need expert advice because of the interplay between the individual’s own and the family’s financial resources and commitments, benefits available from the state, pension provision, care home fee levels, likely changes to those fees in the future and the health outlook for the individual concerned.

For many people, the first person they turn to is a financial advisor.

Although often a good place to start, beware those advisors who are simply looking to sell an expensive financial products or who suggest a simplistic solution like “putting the assets into a trust”, to protect assets from the local authority.

Any individual who gives away assets with a view to avoiding a present or later contribution towards care home fees will be assessed by the local authority on the basis that the disposition of assets had not been made.  In other words, there are strict rules designed specifically to prevent people giving away assets so as to avoid contributing towards their care home fees.

It is important to remember that the rules have not been designed to be fair or morally right.  They are simply designed to protect the state’s financial resources.

Remember to ask your financial advisor if he or she is qualified to give advice on care home fee provision.  Not every financial advisor is authorised to give such advice.

Make sure you talk to your solicitor.  Again not all solicitors are experienced in this work. Ask, and if you are not convinced, go elsewhere. Your solicitor should be to give you proper independent advice and is well placed to ensure all aspects of the situation are looked at properly.

Generally, the earlier you start to make plans the more options there are.  No one particularly likes to contemplate their health deteriorating to the point where they need support but for many individuals, annual care home fees in excess of £35,000 or more, will quickly eat into capital and threaten financial hardship.

Finally, it is important that you only seek advice from individuals who are properly qualified to advise and who you completely trust.  It is a sad fact of life that there are many people who prey on elderly people and take advantage of them, particularly where there is no supportive family.  It is surprising how many elderly people in their final years find themselves alone and are then very vulnerable to individuals who strike up friendships with them and take advantage.

To conclude!  Plan early and get good advice from people you trust.

If you would like more information, then David would be happy to give a consultation for a set fee. To book an appointment, please email Marketing Manager, Maureen Edwards  at medwards@bbc-law.co.uk

David Edwards is Managing Partner and Head of Private Client at Burt Brill & Cardens, a well-known firm of Brighton solicitors specialising in looking after people and their businesses. He is also a member of STEP the worldwide organization for specialist Private Client practitioners and is currently President of Sussex Law Society. For more information about David or Burt Brill & Cardens visit www.bbc-law.co.uk