Advice from qualified experts in paying for Long Term Care
Introducing Karen MacDonald – one of our specialists in providing advice about Long Term Care. Karen uses 24 years’ experience in financial services to help clients protect what they have and to build on it. Diploma qualified but working towards Chartered status, Karen is qualified to advise on Later Life Planning and Equity Release.
Care costs can deplete estates faster than inheritance tax costs or any other form of taxation. This is not surprising, because the cost of staying in a care home can exceed the cost of sending your children to Eton!
When it comes to paying for care, any asset that has previously been given away (by way of trust or as a direct gift) may be counted in a financial assessment.
This may mean the person needing care does not qualify for state help. Individuals with assets below £23,250 should qualify for some help and those with assets below £14,250 should get fees paid for them (up to the Social Services maximum limit).
However, using the assets in the best possible way can save you thousands of pounds. For example, you could use some assets to buy a special type of annuity that will pay care fees for the remainder of the person’s life – this will protect other assets and also give peace of mind. This is one of the most common ways of paying for care, as it is simple, guaranteed and for life.
The cost depends on the health of the individual.
Seeking independent financial advice from a specialist financial planner is highly recommended. Be sure that the person you appoint is qualified. Equally importantly, you should feel comfortable that they are considering your best interests – don’t be ‘sold’ to.
Being sure that an adviser is taking the time to fully understand your individual circumstances as a family is fundamental. This is when an adviser relationship can really take the confusion and uncertainty out of a very stressful situation.
At Monetary Solutions, you can book a free initial consultation about any financial matters, so please call us on 020 8655 8488.