Care Homes Costs
- Thread starter sukpmp
- Start date
This leaflet form Age UK has most of the info you need.
Between £23,500 and £14,000 the LA part fund care along with state benefits like pensions. After £14,000 the person pays their pension toward their care minus a personal weekly allowance of around £24-30. This is in England , the other nations have different funding criteria.
Sorry, I meant that minus any pension contributions the LA pays the rest. But it is applicable to savings plus assets, unless the person in care has a partner who lives in a property they jointly own, in which case the property is disregarded.
between £14,250–£23,250 – you'll have to contribute most of your weekly income towards your care home fees. You'll also pay an assumed extra income of £1 per week for every £250 of capital you have between these two amounts. under £14,250 – you won't have to use this to pay your care home fees.
If these figures had been adjusted for inflation the upper limit should be something like £33,000 now.
It is correct that you may be asked to pay a Voluntary contribution, but the clue is in the name....'Voluntary'.
Thanks. I realise you have to contribute most of your weekly income towards to the care fees. I'm just wanting some confidence that I've done my calculations correctly. I worked out (presuming no interest paid on it) that you'd been to pay just under £5 from your savings each week. Does that sound about right?
The Local Authority stipulate a notional income of £1 for every £250 or ( £4 for every £1000) in savings.
£23250-£14250 = £9000.
£9000 divided by £1000 = 9
9 x £4 = £36 per week assumed income from £9000 savings ( a fantastic interest rate which is not available anywhere , only in the minds of the Local Authority ).
But approx. every 7 weeks savings diminish by £250 which will reduce the amount of notional income by £1 per week.
Is the £36 not offset by personal expenses allowance of £30.15 meaning net spend £4.85.
I believe personal expenses allowance comes from pension income. As I understand it the council would reduce their contribution by approx £36 per week ( reducing £1 every 7 weeks ). So I guess you could say that net spend is £4.85.
Either way, its disgusting.
Very new to this! So are the worst things freezing the upper limit at £23,250 and using an unrealistically high implied interest rate?
In my opinion, the worst thing is that CH residents who are self funding have to pay extr to make up for the shortfall of LA residents because the LA pay less than the actual CH fees.
Example: my self-funding mum paid £200 per week more for her room than the council paid for the lady in the identical room next door. It is standard practice for care homes to 'claw back' money in this way. So my mother had paid tax all her working life, continued to pay tax on her pensions and had to fund 100% of her own care home fees, as well as subsidising the council-funded lady next door.
Do the care home fees tend to go back to the council rate, once your savings go under £23,250.In my opinion, the worst thing is that CH residents who are self funding have to pay extr to make up for the shortfall of LA residents because the LA pay less than the actual CH fees.
Example: my self-funding mum paid £200 per week more for her room than the council paid for the lady in the identical room next door. It is standard practice for care homes to 'claw back' money in this way. So my mother had paid tax all her working life, continued to pay tax on her pensions and had to fund 100% of her own care home fees, as well as subsidising the council-funded lady next door.
The average rate that councils will pay is £600-£700 per week + all residents weekly state pension less personal allowance and may get the weekly Care Home fee to £800 or £900 per week leaving most care homes short around £400 per week ( average Care Home rate £1300 - £1400.)
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