Is £150 a week enough to live on?

[InsideNumberNine]

My Dad died recently. My mum was his full time carer (dementia and Alzheimer's) so she was financially ok. She's 67 and started claiming her state pension in April.

No debt but no assets and lives in a three bed council house. She's just trying to sort her claim for housing benefit and this should mean her rent and CT is covered. We're still doing sums but think her outgoings will be about £400 a month. Her pension will be £716.

My sister and I have discussed supplementing her pension to the tune of £150 a month each taking her incomings to £1016, leaving her with around £150 a week once everything is paid for. She doesn't drive.

Is this enough? I don't think I could afford much more than this but I don't want my Mum to be short of money in her old age..,

@AdaColeman

She will be able to claim a reduction of 25% for her Council Tax, as she’s now a single occupant.

She will be claiming CT benefit so she won't be paying.

I think this is a lovely thing for you both to do. It may raise some questions when claiming the housing/CT benefits though as her income is obviously more than if she was simply on a pension.

With all bills paid and no car to have an unexpected big bill what sort of lifestyle do you think she will want? Everyone is different but this is the sort of life my sister had after being widowed in her early sixties.

She had been her husbands carer for a few years so had been restricted in anything she could do. She ended up joining slimming world, a poetry class, dancing lessons and getting a PT job. She did have a financial wobble but sold and downsized and the job gave her a big boost. She re decorated her entire house before putting it on the market,

Unless someone has plans to travel quite a lot or take up an expensive hobby. You don’t need a lot after outgoings but what your Mum will need when she feels up to it are things to fill her time.

I’m sorry about your Dad.

Whether or not her existing income is enough depends on expectations.

For some people it will be loads, others will struggle, but if her rent and council tax is covered, she still has quite a bit left over after essential food and bills. I think she will also get the winter fuel allowance, but maybe they already had that or it might need reclaiming if it was in your dad's name?

If she gets £177 pw, that's actually £770 pm, which is a little more than you say. It's nice that you and your sister want to help her, but don't do this to detriment of your own finances, especially if your DM is one of those people who spend loads of money on crap she doesn't need. On the income she has, she's enough to put the heating on, buy food and have a decent amount for discretionary spending.

If she's happy to downsize, that will help to keep the heating bills affordable, and the property easier to manage as she gets older. You never know, some councils offer financial incentives to underoccupied tenants to free up larger properties for families, so something to look into.

My DM is in similar circumstances. Her income is around £900 pm so slightly more but pays pay council tax, she's a homeowner, so no rent to pay anyway. I don't think she gets pension credit, as she gets most of the state pension - she was a little short on NI contributions, but gets nearly all of it, plus she gets a small widow's pension. She has plenty of money to be honest, but modest tastes and doesn't spend extravagantly. But she does buy things for the house, gifts for grandchildren, does her food shopping in M&S and Sainsburys and has pets.

I’m single and budget £150 per week to cover petrol, food and fun money. I live quite comfortably off that and do have a terrible habit of buying takeaway coffees, lunches out and a weekly takeaway. I keep thinking I need to cut those out and challenge myself to just spend £100 per week!
I’m sure without petrol costs, £150 per week would be more than enough. I do put a lot of money into savings however, and so don’t have any worries about unexpected costs and do treat myself on occasion. Maybe you could help her build up an emergency fund?

So is it just for food, clothes, socialising/fun etc and not for any bills? If so it should be plenty. We spend about £40 a week on food for two of us, and as a pensioner she can get discounts at things like the cinema and attractions.