Can we legally join our finances?

[EmmaVictoria]

Hello my husband and I married last year. We have separate bank accounts though I manage all of our money. My POA hasnt come through yet. It would be easier if there was one set of accounts current and savings. Can we get a joint account? My husband is happy for me to do this but I don't want to do anything I shouldn't!
We are currently renting a home - my own home is rented out (it's not suitable for him, me, and a drum kit)! and he sold a property and there is a significant amount of money in an account in his name. I'm self-employed and it's currently difficult to get a mortgage enough to buy the house we live in. We know that should things change we will be able to buy a house and that it will be protected but if we can't then we worry that we will be penniless just because we can't get back on the property ladder.

Many thanks for your thoughts,

Emma

 

[Jessbow]

The first thing a couple should do if one is diagnosed, is seperate their finances!

Be extremely careful if he i now diagnosed and you start shifting monies about, as his POA you are not allowed to profit from his money.

 

[northumbrian_k]

Hi @EmmaVictoria and welcome to Dementia Talking Point our supportive and friendly community. My wife and I have always had separate bank accounts, savings and investments. Our house is jointly owned. All of this made things much simpler when it came to financial assessment by the local authority. I would say that combining finances in your situation may not be a good idea if at some point you need a financial assessment and LA contribution to any care costs.

 

[DreamsAreReal]

This is a trickier question than it first seems. It sounds like OP’s husband has the majority of their money in his sole name and he is the pwd. OP doesn’t have POA yet, but it’s in the pipeline. So she wouldn’t be profiting from being a POA, until it’s registered (is that correct? Anyone know?). But if hubby needs care and council do a financial assessment they could potentially view the moving of money into a joint account as deprivation of assets.

@EmmaVictoria you might want to get some professional advice about this.

 

[Jessbow]

This is a trickier question than it first seems. It sounds like OP’s husband has the majority of their money in his sole name and he is the pwd. .

Is it Theirs or his though? he has sold his house, she hasn't. So in fact it probably IS his.

 

[EmmaVictoria]

I think legally the money is his he sees it as ours because we are married. Currently I with his permission of course move his money into my account as a contribution to all our bills. All our banking is done online. I’m a former lawyer so don’t want to be in the position of deprivation of assets but equally want to be smart with the funds others I may end up in poverty if at some point I’m earning less and all funds have been used for care. It’s not that we don’t want to pay for care - we’ve spent £20k getting to diagnosis privately and pay for additional help in the house but the funds won’t last long and I’m panicking about the future if we cannot get a mortgage. There’s a 20 year age gap between us and at the moment I feel like I’m may face a life of poverty if I have to stop my business to help care and the funds disappear yet if we buy a home they won’t. I think I’m right? Neither of us have children so on my death (I’m only 48) it doesn’t matter if there’s nothing left!

 

[canary]

Will his savings cover the cost of buying a property?
If so, then I would do it soon while he is able to do it. So long as the property deeds are in his name then it will not be viewed as Deprivation of Assets. There may be complications if you have to use POA to do it, or if a mortgage is required, though (Im not a lawyer, so dont know, but could imagine it would get complicated)

 

[MartinWL]

To answer the original question, yes you can. But it wouldn't be wise. You could have a joint household account to which you would both contribute but only keep what you need in it. He can't give his funds away that's deliberate deprivation of assets.

 

[Palerider]

Hello my husband and I married last year. We have separate bank accounts though I manage all of our money. My POA hasnt come through yet. It would be easier if there was one set of accounts current and savings. Can we get a joint account? My husband is happy for me to do this but I don't want to do anything I shouldn't!
We are currently renting a home - my own home is rented out (it's not suitable for him, me, and a drum kit)! and he sold a property and there is a significant amount of money in an account in his name. I'm self-employed and it's currently difficult to get a mortgage enough to buy the house we live in. We know that should things change we will be able to buy a house and that it will be protected but if we can't then we worry that we will be penniless just because we can't get back on the property ladder.

Many thanks for your thoughts,

Emma

I had to go into this when my dad was dying and asked about seperation of estates because he knew mum might have to go into care. I also asked about my income joining mums to help out. I was told under no circumstances despite my good intentions not to become involved in my mums financial affairs as a contributor because it then becomes difficult to unravel if circumstances change. My dad had good intentions because of prior committments, I also had good intentions of helping my mum out when my dad died and her balance shrank considerably.

As things stand with dementia in the picture my understanding is to leave matters as they are as that would be easier when circumstances change. Your LPA (POA) will enable you to do what you need to do for your hubby without combining legally your finances

 

[EmmaVictoria]

We will need a mortgage but as he’s retired the majority of that will relate to my income so we will own jointly. I guess I need more advice I’m not sure whether it’s legal or whether a financial adviser can help. I think we need to own together but as tenants in common. Thank you all for your thoughts. I wish we’d sorted this the minute we started living together it was never an issue until now! You live and learn. The thought of care fees being £1000 per week is terrifying!

 

[Palerider]

We will need a mortgage but as he’s retired the majority of that will relate to my income so we will own jointly. I guess I need more advice I’m not sure whether it’s legal or whether a financial adviser can help. I think we need to own together but as tenants in common. Thank you all for your thoughts. I wish we’d sorted this the minute we started living together it was never an issue until now! You live and learn. The thought of care fees being £1000 per week is terrifying!

I think seeking a consultation with a decent solicitor would be a good idea so that you then know what options are available to you that are the most sensible. Its a huge worry and certainly something that needs to be resolved to put your mind at rest.

 

[MartinWL]

Looking at this again, you are only 48, a professional person so have years of salary ahead. You could probably get a mortgage in your name. Your husband sadly has a terminal illness and is retired, so not a good prospect for a mortgage. How about buying a house 50/50 using his funds to buy his share, and you getting a mortgage for your share? Buying property to live in is not deprivation of assets. You should get personal legal advice though especially as regards the status of the house you will own if and when he needs local authority financial support for care. Some of this depends on the exact figures.

 

[EmmaVictoria]

Thank you all for your thoughtful responses- it’s really helpful and I feel much calmer. ?