Protecting your home and family wealth
All of us during our lifetime pay enough in taxes and national insurance contributions to assume that we will be cared for by the system should we need residential care in the future. However, as we all know, because the public purse is strapped for cash this is no longer the case and the fact that we are living longer is putting further major strain on funding.
If you need residential care and your capital is over the thresholds of £14,250 for the lower limit and £23,250 for the upper limit (2017/2018) and you do not have enough income to pay for your care (average yearly costs of care in Hull and East Riding can vary from £26,000 to £46,000), then your home as well as other assets will get taken into account for care charges. Your home may well then have to be sold to meet these charges.
There are a lot of companies and information in the media stating that if you place your house into a Trust during your lifetime then your home will not be considered for care charges. The public need to be aware that this is not always the case and if the Council feel that you have done this purely to avoid paying care charges, you will still be assessed as owning the asset. You will then have to pay for your care and if you have given away your only asset, you may not be able to raise the funds to pay for this.
There are many ways that are 100% reliable for reducing care fees that people may be able to undertake. This does not mean losing your home or other assets to a Trust during your lifetime. Undertaking care mitigation can be a simple uncomplicated procedure and gives you peace of mind that you still own the asset during your lifetime and can protect the assets for future generations.
If you wish to discuss this matter further then please telephone me to make a mutually convenient appointment to discuss the same.