Many elderly worry about the rising cost of care home fees. Many of the younger generation are also becoming concerned about how they are going to pay for these fees when they get older. Thousands of residents have been forced to sell their homes in order to pay for these rising costs and these numbers are expected to increase in the future. So how do you cope with the fees? What can you do to ensure that you are ready for your golden years? Here are a few things to consider:
- While many sell their homes in order to pay for long-term care, you may want to think twice before you do so. If you sell your home then you have nowhere to turn if and when your condition improves. Think about the really long-term before you make any rash decisions regarding your home.
- Check into deferred payments. Your local council may offer a deferred payment plan that will allow you to keep your home and still cope with long-term care costs. These agreements are typically offered if you are required to pay for all of your care due to your home being counted as an asset or if you lack the funds to pay for your fees and do not have the income to help offset the costs. Your council will calculate your share of the fees as they would be if your home were not counted as capital. You can get more information about this option from your local council.
- You also have the option of giving away your assets, although you should research this option carefully. If it is proven that you deliberately gave away assets in order to gain financial assistance then you may be required to pay the full amount of your care. Setting up trust may be an even better idea. This allows you to transfer ownership of your assets to someone in your family. Again, speak with a solicitor to ensure that you are following legal guidelines for these options.
- If you are proven to have given away assets simply to avoid paying the full cost of your long-term care, your local council could recover those assets from whomever you gave them to. You could find yourself in a legal battle if this happens so be certain that you are following guidelines on how to properly transfer ownership of any of your assets.
This article was written by Cheselden Continuing Care, the leading review specialists of care home claims in the UK. Visit us at cheselden.co.uk to learn more about continuing health care.