If a parent goes into a care home will the LA come for some of the money from the sale of their house?

[Thebluespoon]

Once the remaining partner (who is currently living in the house) dies?

I am not sure if I should have placed this thread in the Money matters section but thought there may be some people on here who have gone through this.

I am a bit confused following a meeting with my parents finanical advisor.

Mum has Alzheimer;'s, it's been 7 years since her diagnosis. She lives at home with my dad and between my dad, my sister and myself we have been helping to look after her. However, following an awful fall in June and subsequent hospital stay mum's dementia has progressed rapidly and she is now double incontinent and can only walk aided and even that is tricky. We now have private carers who come in 3 times a day.

We are hoping to keep mum at home for as long as possible but we are aware we are on borrowed time and there will come a point when the home carers are not enough and we will not be able to cope, at this point we will have no choice but to look into care homes.

Mum and dad have investments. Because of mum's recent change in circumstances Dad and I had a meeting with his financial advisor yesterday. My parents investments were changed after mum's diagnosis in 2018 and most of them are now in dad's name (all done under the financial advisor's advice). There is a fairly good chunk under mum's name but this wouldn't last too long if mum went into a care home tbh.

The financial advisor said as soon as mum's investments fall to below the £23,250 threshold the LA will step in and pay (obviously that will be after a full assessment).

Mum and dad own their own home and I know the LA can not force any sale of the house whilst dad is alive and resisding there but I was under the belief that if dad were to die or mum ran up a care bill which exceeded the amount she has in investments then the LA can take the remainding figure from the sale of the house (after dad passes away or if he were to die whilst mum is still in care). The financial advisor says this would not happen.

I am a bit confused as I hear constant stories of people in care homes having to sell their homes to pay for the fees or a large chunk taken out from the sale of a house once the remaining partner passes away and leaves the house empty.

Does anyone have any experience of this sort of issue?

Should also add that my dad's side of things are all in trusts, this was set up by their solicitor.

Don't let these posters bug you. It is very clear that the financial shenanigans are nothing to do with you and emanate from your father and are his responsibility.
I am so sorry to hear of the toll all this has taken on you. When your mum goes into her home, do take some time for yourself ... you both deserve and need it.

This.

I do agree with your sentiment. But pip isn't a means tested benefit so when people go after PIP claimants they are literally just going after the disabled. You could be a multimillionaire and still claim PIP.

Oh the irony of that two posts above, one after the other

aren’t some people total dicks on the internet?

OP didn’t do herself any favours in the wording of the thread title.

You could tell your dad about my mum’s neighbour Edith whose financial advisor hid her money and who then fell, hit her head and broke a hip between the taxi and the front door. She was coming back from fenwicks where she had been buying two shades of Clarins foundation as she was between shades so mixed her own.

She went from hospital to a cheap care home and once she was in her son wouldn’t release any money to get her out. She was hauled around by untrained staff. There was not to do but daytime TV.

She spend her last months desperately trying to leave and drinking tea from chipped mugs. She died, miserable and her son got all her money and spent it all on an internet bride.

@GingerPants blimey that’s a very sad story - what an absolute arse !! It’s why I also posted earlier about trusts, my friend is having a really torrid time now they actually need to access some money - and they used trusts . Not what they expected at all

Your own words

"My parents investments were changed after mum's diagnosis in 2018 and most of them are now in dad's name (all done under the financial advisor's advice). There is a fairly good chunk under mum's name but this wouldn't last too long if mum went into a care home tbh."

Moved investments into dads name so no care fees paid from her investments. Its legal tax avoidance. Now you want to avoid paying care costs for your mum going forward. Hence let someone else (poor taxoayers) pay for your mum. It is what it is. Own it, get advice and let others pay going forward.

Well said. Listen to this OP.

My dad is self funding care and we had to sell his home as my mum predeceased him. However, the local authority can choose to ignore the property if a dependent spouse or carer is resident.
If they choose not to ignore it they can place a charge on the property to be settled after the resident dies. AGE UK are a brilliant resource as are Alzheimer's Soc.
www.ageuk.org.uk/information-advice/care/paying-for-care/

Slow handclap for your tone deaf insensitivity

pat on the back for you, what a marvellous person you are

Insensitive to point out that someone else pays when you make plans to move money to avoid paying for parents own care when they can easily afford it, or factually correct. Too many people with lots of money wish to avoid paying their way snd letting the taxpayers pay will also denigrate people on benefits. The country cannot afford everyone moving money yo avoid paying fir their own care needs. I'll own my opinion because its what they are doing avoiding paying for mum.

I do wonder OP what your opinion was when, back in 2018 after your mum was diagnosed with dementia, most of your parents investments were moved to your father’s ownership?

Yeah, you’re virtually a super hero for bullying a woman with a sick mother on the internet

your family must be very proud

I'm so sorry about your mum
Make sure you get support too

You can't control what your parents do for themselves financially.

Perhaps let your father do the personal care rather than leaving it to you? And deal himself with the accountant rather than involving you in murky tax dodging?

A lovely old chap who visited his wife every day at my DM’s (dementia) care home, told me that the costs of her care were being ‘rolled up’ and would be claimed by the LA from the sale of their house, after he either died or needed himself to move to a care home.
They had no children, and he was perfectly happy with this.

My father does help me with the personal care of my dm. There is no way one person can change the nappy of an 83 year old alzheimer's patient who will go as stiff as a board when you try to clean them up (do you actually have an idea what this involves - I suspect not). He is 84 years old and is doing the best he can in very difficult circumstances. His wife of over 50 years has, in all sense and purpose become his toddler child.

Everything he has done regarding his finances has been done under the advice of his solicitor and FA, all above board and completely legal in this country. He has worked a manual job paying his taxes into this country for over 60 years. He is so very far removed from the tax 'dodger' you claim him to be.

Of course what he did was entirely legal and above board.

It may however come to light when/of your Mother moves to a care home and they enquire about how her place will be financed.

The fact her assets were moved to your father's name after her diagnosis will have implications. What were the FA's reasons for moving your Mother's assets into your Father's name?

Having re-read my op I realise it may have been misleading and confusing.

To clarify - Mum's investments have not been moved into my father's name, he already had his investments in his name and mum's in hers. When she was first diagnosed with dementia the solicitor and FA advised my dad to keep his side of the investments in his name but to place his side of their house into trusts (re-reading my op this does look as though I have stated dad moved mum's investments into his, sorry that was not the case). When I say their investments 'changed' after the diagnosis I do mean regarding the house and dad's side of things, not so much the actual investments. I can see now how that looked on my op. Mum still has her investments in her name which are currently being used to pay the home carers and will be used to pay care home fees should she go into care.

My original question was to ask if and when mum goes into a care home and her investments run down to £23,250 will the LA place a charge on mum's side of the house when dad dies. I put this question to the FA this week and he said no, the house will never be touched for care home fees, even once dad has died he said if mum's investments fall below £23,250 the LA will cover all costs and not include mum's side of their house. For clarification, I asked him several times if they would take any remaining costs from mum's side of the house and he was adamant they would not. I feel this was incorrect information and was asking on here for advice from others who may have been through this. I want to get everything straight so we know what we are dealing with before mum goes into care.

Oh well that's quite different from your other posts.

If you want to support your parents then a sound knowledge of their financial situation is needed. I don't think MN can advise you on what might happen down the line if you don't have a clear picture of where all his and her assets are etc.

I think you need a FA with specialist knowledge about care homes and local authority practices.

I put this question to the FA this week and he said no, the house will never be touched for care home fees, even once dad has died he said if mum's investments fall below £23,250 the LA will cover all costs and not include mum's side of their house.

We don't know how things have been set up by your parents (well, your dad) so the solicitor may know more than us.

But I am not sure why your are so worried about it, because you say you are not worried about your inheritance, and that is the only thing it would affect - how much there is left to inherit.

You are also worrying about something several steps ahead. For it to be an issue your mother would have to outlive her funds, and then also outlive your dad. I know how stressed you must be having cared for your mother for so long, but worrying about this particular issue is pointless, what will happen will happen, there is nothing you can do about it.

I wish you all the best finding a good care home for your mother, I hope she lives out her days comfortably.

The LA will ignore the asset of Mum's share of the house as long as your Dad is living in it. After that it will be included in the calculations - i.e. if he dies and the property is left to your mum, it will be considered an asset belonging to her.

If he goes into a home the expectation is that the house will be sold and his share will count as his asset, and hers as hers - both will be taken into account when calculating their contribution to care fees - realistically they will each have to pay the full fee till their assets dwindle.

You should check whether the property is owned as joint tenants or tenants in common as well OP. Doesn't affect things now, but it does affect what happens when the first one dies, whether their share automatically goes to the other or if they can will it to someone else (if anything is left).