Discetionary Will Trusts

[denis567]

Has anyone any knowledge/advice on setting up a Discretionary Will Trust as a means of protecting an investment from being taken by the authorities in the event of my wife or self, having to go into a care home, in the future?
I would be grateful of any help/advice (England)

[woofgang]

I think if you want to do this you are best off getting paid advice from an expert. They will know the current law, pros and cons and you can explain all of your reasons and private details.

[factor-fiction]

Hi. What is the investment, denis - is it your house? If so, if one goes in ahome I'm sure the home doesn't have to be sold while the other is alive. Do you mean so that if one goes in a home and the other one dies the investment won't be sold to pay care fees?

[denis567]

factor30. No the investment is from the proceeds of the sale of our house after we had gone to live with one of our daughters. So there is no property involved. We have a financial adviser coming on Friday, but I wondered what other peoples experiences were.

[Barmaid]

First of all read CRAG - Charging for Residential Accommodation Guide.

Secondly, you WILL need not only financial advice, but legal advice. I'm afraid I can't really help since each case is fact sensitive. However, there is no time limit in how far back the LA can go in looking at dispositions which are intended to avoid care home fees if that is a "significant reason" for the disposal. You will have to be careful to ensure that neither of you have an interest in possession and also that there are other beneficiaries. You will also need trustees that you can trust. You may like to consider issuing a letter of wishes to the trustees as well.

[denis567]

Thank you barmaid for your answer.
I have quickly had a look at CRAG but it seems very complicated.
It certainly looks as though I am going to get professional advice before taking it further.