I know this has been covered many times - and this is theoretical, and involves a lot of 'if's' but I'd like to ask peoples opinions. I'll try to keep it simple!
MIL (80) is selling her house and moving to rented sheltered accommodation. She has a healthy pension income from my late FIL. She currently self funds her carers and will continue to do so when she has moved.
Lets say the house sale generates £150,000.
She wants to give some money to each of her 4 children from the proceeds, rather than (in her words) 'everyone having to wait until I'm dead' so we'll say shes going to give them £20000 each - that leaves her £70000.
If she becomes incapable of looking after herself within a couple of years and has to go into full time residential care, she will still be self funding until her assets drop below the threshold (whatever that might be at the time)
IF she lives long enough for her assets to drop below the level at which point she becomes eligible for LA support, (this is the crux of the matter) how long will the LA look back at her accounts to see how much money she USED to have, and whether the assets have been intentionally reduced to avoid paying for her care?
MIL (80) is selling her house and moving to rented sheltered accommodation. She has a healthy pension income from my late FIL. She currently self funds her carers and will continue to do so when she has moved.
Lets say the house sale generates £150,000.
She wants to give some money to each of her 4 children from the proceeds, rather than (in her words) 'everyone having to wait until I'm dead' so we'll say shes going to give them £20000 each - that leaves her £70000.
If she becomes incapable of looking after herself within a couple of years and has to go into full time residential care, she will still be self funding until her assets drop below the threshold (whatever that might be at the time)
IF she lives long enough for her assets to drop below the level at which point she becomes eligible for LA support, (this is the crux of the matter) how long will the LA look back at her accounts to see how much money she USED to have, and whether the assets have been intentionally reduced to avoid paying for her care?