expensive purchase but of benefit to both

Discussion in 'Legal and financial issues' started by Tears Falling, Aug 27, 2015.

  1. Tears Falling

    Tears Falling Registered User

    Jul 8, 2013
    637
    If my parents make a large purchase (work to the house) which is of benefit to both (adaptions will allow mum to stay home for longer, depending on how the dementia progresses) is it okay for her to pay half the cost. Or would that be seen as deprivation of her assets. ?
     
  2. Kevinl

    Kevinl Registered User

    Aug 24, 2013
    4,662
    Salford
    You should be OK if it's done for that reason. If she went into state funded care a few weeks after the work was done questions may be asked, but that's about all, the longer the gap between getting the work done and going into care (assuming that she ever needs state funded care) the better.
    Because of a previous thread I looked at some random councils and some ask for a single year's bank statements some only ask for 3 months, you could look at the application form on your council's website and see if it says how far they go back.
    K
     
  3. Tears Falling

    Tears Falling Registered User

    Jul 8, 2013
    637
    Thanks for your comments. When mum needs care she would initially self fund. Probably would have enough to keep her going for about a year maybe 2 dependant on cost. Which I assume would be okay.
     
  4. Pete R

    Pete R Registered User

    Jul 26, 2014
    2,046
    Staffs
    #4 Pete R, Aug 28, 2015
    Last edited: Aug 28, 2015
    I spent £3000 of my Mom's money (a large amount for her) to adapt her home so she could come back after a spell in hospital. She only used it for 5 days before eventually going into permanent care. The financial assessor didn't even want to see the receipts even though it took her capital below the upper limit for funding.:)

    In the New Care Act Deprivation has a whole annexe to itself. Near the beginning it says......

    "People should be treated with dignity and respect and be able to spend the money they have saved as they wish – it is their money after all."

    and then gives a fairly simple definition.....

    "Deprivation of assets means where a person has intentionally deprived or decreased their overall assets in order to reduce the amount they are charged towards their care. This means that they must have known that they needed care and support and have reduced their assets in order to reduce the contribution they are asked to make towards the cost of that care and support."

    So from what you have said I hope the work goes well and your Mum is able to remain at home for many years to come.:)
     
  5. LYN T

    LYN T Registered User

    Aug 30, 2012
    6,967
    Brixham Devon
    I phoned my LA when I had to replace the carpets with laminate flooring -not to ask if it was OK but to TELL them;) Pete was doubly incontinent so there was a valid reason for doing so. Perhaps you could phone the LA? I did this even though Pete was self funding.

    Take care

    Lyn T
     
  6. Tears Falling

    Tears Falling Registered User

    Jul 8, 2013
    637
    Thank you.

    If someone is self funding - or at least would be at some point - does it actually matter what and how they spend their money? I guess in theory it does as having a spending spree could be seen as depriving themselves of assets but is so unfair.
     
  7. Tears Falling

    Tears Falling Registered User

    Jul 8, 2013
    637
    Hi Lyn
    I'm not sure if my parents have any contact with the local authority at this time as they have no assistance apart from what they spend mum's money on in relation to the day care centre when she goes. Did your LA have a "open file" for Pete even though he was self funding?
    thanks for responding.
     
  8. Pete R

    Pete R Registered User

    Jul 26, 2014
    2,046
    Staffs
    No it does not matter if they are going to remain self funding.

    Only if the intention is reduce their future care costs.

    I started a thread last year asking for anyone's personal experience of deprivation and there was not one.
    http://forum.alzheimers.org.uk/show...eprivation-of-Assets-Actual-Experience-Please
     
  9. LYN T

    LYN T Registered User

    Aug 30, 2012
    6,967
    Brixham Devon
    For some reason our LA did a Financial Assessment even though we were self funding-but yes, it was kept open. We received a statement every year. I asked for an assessment because the SW didn't seem to know what was exempt:eek: Pete had some Bonds which were excluded from the available fund total-SW sad they weren't! The 'downside' they then knew what we had to spend! However, it's really difficult to 'hide' any money as they can go back as many years as they want. I suspect that as I was being 'upfront', and as Pete was 'self funding' they only asked for a year's worth of bank statements.

    I was told 'anything for the benefit of the person with Dementia' was ok. In other words if a wet room is installed (legitimate expense) fine. If it's up a winding set of stairs and the DS can't walk up them -no!

    Pete paid for all of his daycare but non residential care was assessed separately. He was only self funding for 6 months then received CHC. He was about to be at the mercy of the LA anyway! I have to stress that all LA's have a different set of rules.

    It maybe that your Parents LA would allow your Mum to pay for all of the things needed to keep her at home-not just half. I wish all LA's had the same rules.:confused:


    Love

    Lyn T
     
  10. Tears Falling

    Tears Falling Registered User

    Jul 8, 2013
    637
    Thank you all. I think this bit is now sorted. Works are underway. Hoping it will have a positive benefit to life at their home.
     

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