Parent signing assets over to children to avoid possible care-home costs

[Rain Man]

My widowed mother is nearly 89 and now wishes that she had signed everything ( house and capital) over to me and my sister to avoid possible care-home costs. Does anyone know if this is now legally possible?

[New Judge]

No it is not.

If she does so the local authority responsible for financing her care will consider the value of the assets she disposed of when assessing her means.

[Buenchico]

Relevant link:
http://www.direct.gov...CareHomes/DG_10031523

Chris

[askyourgran]

I wish I knew the ins and outs of this, I not that old, but it is worrying me that me and Mr Ask will have to forfeit our home and savings (not a lot, but we have worked long and hard for it. We would like to pass them on to our family not G Brown esq, or the local council.

[askyourgran]

Just read the link, useful, thanks Buenchico

[bednobs]

i really really dont inderstand why anyone would want to do this. If you have assests that you have worked hard for wouldn't you rathyer they give yourself some comfort in your older age rather than be stuck with no choice whatsoever? Perhaps you will have to share a room with a dribbler and no home comforots simply because you cant afford a little luxury?
i haven't read the link but as far as im aware there is no time limit on these sorts of things as there is on inheritance tax.
Plus who do you think pays for "council" homes? Me you and all other tax payers - so i am getting poorer so your children can get richer - nice!

[New Judge]

Quite so bednobs. But the difficulty is that many people believe (rightly or wrongly) that their long term care should be paid for as part of the “health” service for which many of them have paid during their working lives.

The main cause of discontent with any of the various schemes that have been put forward is the fact that people have been prudent throughout their lives, perhaps ultimately owning a property and having a few quid in the bank, are forced to pay considerable sums to fund this care. Meanwhile the feckless and workshy, having urinated their money up the wall all their lives, move smoothly into State-funded care because, it seems, they are somehow “disadvantaged”. So whilst it may seem that you are getting poorer whilst others are leaving money to their children, in reality everybody with funds of any sort is being impoverished to pay for those who have made no provision for themselves.

The latest wheeze which suggests that people may be “invited” at age 65 to make a one-off payment of £8,000 to fund their care (whether they need any or not) is promoted as an insurance policy and is said by its supporters to be “fair”. It does nothing, however, to address the iniquity I have outlined. The principle of insurance as I know it is that only those who have paid their premiums can make a claim. The proposers of this scheme make it clear that the “disadvantaged” will not have to pay, but they may still take advantage of the full benefits. That is hardly “fair” to those who have stumped up eight grand.

People who have worked all their lives have paid enormous sums in tax and NI. It is hardly fair to expect them to pay even more for services which others who have paid nothing at all receive free of charge.

[bednobs]

personally, i don't agree. i work for the local NHS and the money that the government gives us to pay for all health care for all people within our area (including doctors, dentists, a and e, ambulance, operations, mental health, consultant appointments, maternity services, community services, district nurses, physiotherapy and prescriptions) equates to about £1000 per person per year. When you consider that, for example even simple/common drug like omeprazole can cost £60 per month, and at the most the nhs will only be getting a prescription charge back (meaning actual cost = about £50 per patient per month) and that a hospital stay costs between £250-300 per night, rising to much more for itu and that an OPA costs about £150 per person, you soon see that the £1000 gets eroded pretty quickly. Added to that the fact that residential care costs between £500-£1000 per week i can't understand where people get the idea it should be paid for for them. If they were in care for a year, that would be approximately 52 years worth of their allocation of health funding(taken at the upper estimate of care fees), and really who among is can say that we haven't used any health services for 52 years? It really really makes me annoyed when people moan about prescription charges too!

[ummmm]

My Grandad pays £264 a week for my Nans care home. He also pays £500 a month for a carer to come to his house twice a day for half hour a time. That's a lot of money.....

[bednobs]

yes, and if the NHS had to pay for that people would be being denied cancer treatments and hospital stays etc

[ummmm]

He doesn't begrudge (kind of) as long as she's looked after. He has the funds to pay it. In many cases the money would run out pretty quickly. After working hard all their lives I can understand why people would like to leave the money to their children. I'm not saying it's right though.

[joannie10]

not sure if it is different in Scotland but a friend of mines father recently went into a care home and they are paying close to £500 a week for him. It is money her parents have saved and she just wants her dad to be comfortable and happy. He has dementia but could be around for several years yet. She has been told that once the money runs out the state will start paying. I don't believe she intends to do this but the social worker advised her to buy only the best for her dad so that the money does run out quicker - ie if he is needing new underwear get him the most expensive she can find! Don't really see the point of this - it is still whittling away the money.

[Wak]

It's too late when there is only one parent left but the following makes interesting reading if both parents are still living.

http://www.thisismone...=404318&in_page_id=78

There are many other sites which explain about "Tenants-in-Common"/ Wills, etc.
You can contact the Land Registry for the FREE official forms and become T-in-C in a few days. A Will leaving the two halves of the house to the kids will also be necessary.

I don't think Bedknobs will agree with this but the Council can still take your house if you are a single (bereaved) parent needing nursing home facilities and STILL stick you in a double room with a demented dribbler.
And how long is the value of the house going to last when you consider the cost per week of a private nursing home???
If the money runs out you would then be transfered back to a Council run nursing home for the rest of your days.

[bednobs]

i do agree, hence my point, wouldn't it be better to sell the house, and get the care you want/deserve even if it is until the money runs out/

[RATTER15]

You want to avoid these charges!! this so that I have to pay to keep your mother through my taxes??

on your bike sunshine!!!!