After the needs assessment, if the council decides you have eligible needs for residential care, they will then carry out a financial assessment (also known as a ‘social care means test’). The local authority will view it as follows: If you have assets above £23,250 no contribution will be made by the local authority as you are considered able to pay it yourself. If the total is between £14,250 and £23,250, your parents will have to pay £1 for every £250 of capital between these amounts. Your home will not be included in the means test if any of the following are still living there: Your home may also be excluded from the means test if someone who has been your long-term carer is living there. However, if you have what is considered as continuing care needs, then NHS continuing healthcare may still be able to fund all your care. The amount of capital and income you have will determine how much of the care you’ll need to pay for. Your ability to pay for care will be determined through a means test called a Care Needs Assessment. Depending on your financial position you may need to sell your home to pay care home costs. If you live in either England or Northern Ireland and have capital valued at less than £14,250 (based on 2019/20 rates), you will be entitled to maximum financial help and support. Costs average around £600 a week for a care home place and over £800 a week for a place in a nursing home. Avoid expensive care home fees by using equity release. Therefore, your home would not be counted towards the cost of your care. You can read more about that here. o live in a care home o pay some or all of the care home fees yourself, and o have eligible care needs. If you have social care needs, your local authority (or Health & Social Care Trust in Northern Ireland) may help find and fund the care. If the Local Authority allows you to defer paying for your care against the value of a property, used as security (Deferred Payment Agreement), you may keep up to £144 per week. The value of your savings, as well as any interest you earn from those savings. You will also need to contribute all of your income towards the fees, except for the personal expenses allowance. Use the calculator below to see see how much you could get out of your house. Your local council might increase the amount it’s willing to pay if: It is really important that you first ensure you are getting all the support, benefits (eg. If you have between £14,250 and £23,250 in capital, you have to pay towards your fees. You can speak to an equity release specialist on, Leave your contact details below and we will call you to help, You can book an appointment for a specialist to call you when it's conveniant for you, All equity release advice is provided by Key Advice, Speak to an equity release specialist and have a free consultation. The value of any private and state pensions. You will be asked to contribute part of your income if it, your capital and savings are less than £14,250. Use our directory to find local residential and nursing care homes across the UK. This is a fact sheet which explains the rules for eligibility for NHS and local authority funding to pay care home fees. For example, if your local authority will only pay £500 each week but the home you have chosen is £700, then you will need to arrange for someone to pay the additional £200 in care fees. Receive expert guidance on caring for older people. The reason why these schemes are popular, and in particular Lifetime Mortgages, Drawdown Lifetime Mortgages and Home Reversion Plans, is because they: Rob writes and edits the content produced by the rest of the team. For those needing residential social care, if you have very low levels of savings, a local authority may pay some or all of your care home costs up to … But this will depend on the specific circumstances. Anyone receiving full local authority funding will have to contribute all of their income (including benefits, which they must claim) to the local council, except for the personal expense allowance. This is the difference between what the care home of your choice charges to a self-funder and the amount the local authority will pay. You can also call their helpline for information and advice. They will only do this in situations where the resident cannot be moved to a cheaper care provider for health reasons. If you cannot afford to pay for long term care privately then the local authority must fund your care. How much you pay depends on how much money you have: If you have more than £23,250 in savings and assets (capital) then you’ll pay for the full cost of your care. Pros and Cons of Equity Release and the pitfalls, How Much Can You Borrow From Equity Release, What Happens When You Die With Equity Release. An alternative option to consider is receiving care in the home from a home care services. If you’ve been receiving Attendance Allowance, you’ll need to inform the benefits office once you move into a care home and let them know that the local authority is contributing to the cost of your care. However, if your spouse, partner or a disabled relative continues to live in your home after you move into a care home, it’s value will usually be disregarded from the financial assessment. Mental Health Act 1983 and your care an equal split type of homes. 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