My Son's Savings

[Eliza22]

My son is 11 and has autism. He's an only child. I was a mature mum (38) and have always saved for him. Even when I had very little as a single mum, I continued to save for him. Grandparent's saved when they could and as he had little or no interest in gifts at Xmas/Christmas, we'd receive money for his "money box". It's accumulated to a small pot, which I never touch. He has £15k+ squirrelled away.

A couple of weeks ago, I met up with a friend who's son is blind and autistic. They have lost certain benefits as he has savings of more than £8k. I'm shocked and cross. Because I'm an older mum and he has no other family, I've saved for him and gone without for myself. My big fear is that when I'm not here, he'll have nothing.

I used to do extra night shifts and put whatever I earned from that, into his account. Am beginning to think it was a bloody waste of time. The harder you work, the more you try to do for yourself and family, the more they bloody take off you!

Anyone else in this position?

We are in the same situation as you and we have just set up a trust for DD2. A child can have up to 5k before losing their benefts so make sure he doesn't have any more than that.

We set up a trust as part of our will and then nominated 4 people who know DD2 and will make good choices for her as to how and when she receives money eg for a holiday etc. If a house is needed then it should be bought under the trustees as this also counts as money they have.

By setting up a trust (we chose a discretionary trust) it doesn't affect their benefits.

HTH

Sorry, they don't lose benefits but if they have over 5k the benefit is affected. Try to keep their accessible cash to under 5k

I am not in your position, purely and simply because we were advised of this 'pitfall' early on!!. We made Wills and in the event that my DH and I both die before DD, then all our assets will go into a Discretionary trust, which DD can benefit from (per instructions/guidance given to the named trustees), but the money is not hers. We also have a DS, and he will also benefit from the trust (which only kicks in if we both die) but upon the demise of both of us and DD, the trust would be dissolved and any remaining funds pass to DS (DD's life expectance is limited by her disabilities)

With regards to DDs DLA and any birthday/christmas money she has received, we have always made sure that these are spent on her, or saved up for a specific large/expensive piece of equipment, but have never amassed thousands on her behalf.

DD is shortly turning 18, and we are going through those very assessments that will determine if she has to contribute towards her own care. Her only income is benefits, and her small amount of savings is either from benefits or presents from relatives - neither of which I intend to pay over to the Local Authority!!! Some may think this is a mercenary approach - but most who think that will not be in our position.

SO my advice to you is - It is far better to use the money for his benefit NOW

We have been told, and I'm not sure how true this is, that you can get Legal Aid for SEN Tribunal if they have savings under 3k? As I say I don't know if this is right, but as we are having to take this route it would be good to know!!

Hmmm....I can see I need to take some advice on this. I haven't "hoarded" ds's DLA but, his condition makes it difficult to spend on him when his OCD is bad. Tat doesn't mean he doesn't deserve it or ought not to receive it. We have bought equipment for him, and as I say, a good amount of it was given by family. He has £4k from his grandad, when he died and the other grand kids have spent most of theirs but, ds rarely WANTS anything. This has never bothered me before as I felt it was being saved for his future but, it's kind of a waste now.

His allowances shouldn't be cut back because he had a grandad that left him money and worried for his future, as much as I do. Neither should he suffer cutbacks because his mum saved like a crazy woman for his future.

Scandalous.

It won't affect his DLA but could affect means tested benefits; which is why it would be best to get it into something that will be protected. It is also important that this is done ahead of hinm turning 18 - if a person gets turned down for benefit because of savings and then spends the savings then it can be regarded as if they still have it for benefit purposes depending on what it has been spent on.

One of our worries now (with both sets of Grandparents in their 80's) is that if any of them leave money to grandchildren then we know they will do it equally between all their GC - including our DD. This will be doing her no favours really - but not sure how to broach it with them really as a) don't know if they are leaving money to their GC & b) they would no doubt have to go to the expense and hassle of altering their Wills (to leave DD's money in trust. I am just hoping they only leave anything they haven't managed to spend to their children or the dogs home!!! (Rather the dogs home had it than the LA take it from DD)

Discretionary Trust is the way to protect him from this.