Examples of financial assessments
Michael is a resident in long term care. He has savings of less than £14,250 and owns no property. Michael has been assessed by a social worker as needing long term residential care. The cost of his care is £674.81 per week.
Weekly income
- State Pension: £198.00
- Private Pension: £20.00
- Total income: £218.00
Ignored amount
- Personal expenses: £28.25
- Total ignored amount: £28.25 (£218.00 - £28.25) = *£189.75
- Financial Assistance Michael qualifies for: £485.06
- Michael pays: *£189.75
- Total care costs: £674.81
Grace is a resident in long term care. She has savings and investments of £18,436 and owns no property. Grace needs long term nursing care in a specialist dementia care placement. The cost of her care is £770.67 per week.
- State Pension: £195.24
- Private Pension: £42.78
- Tariff income from savings: £17.00
- Total income: £255.02
Ignored amount
- Personal expenses: £28.25
- Total ignored amount: £28.25 (£255.02 - £28.25) = *£226.77
- Financial Assistance Grace qualifies for: £543.90
- Grace pays: *£226.77
- Total care costs: £770.67
Value of my home
If you are temporarily in a care home, the value of your own home is ignored. If you are residing long term in a care home but your partner still lives in the property, your share of the value of the property is ignored. In certain other circumstances the value of the property may be ignored but this depends on individual circumstances which will be considered.
12 weeks property disregard period for long-term residents
If you move into a care home long-term and you have less than £23,250 in savings, we will not include the value of your property in your financial assessment for 12 weeks. This is called a 12-week property disregard. The 12-week property disregard is designed to give you breathing space to prepare the property for sale or decide whether you want to sell. We will pay your care home fees for these 12 weeks, or until your property sells, if sooner.
How to fund your own care costs
During your first 12 weeks in long term care you will be asked how you intend to fund the cost of your care from week 13 onwards. For example, to sell your property, or perhaps to consider a Deferred Payment Agreement.
The value of your property will be counted if you have previously been funding all of your own care costs but then need to apply for financial assistance. In most cases, you are unlikely to qualify for the 12 weeks property disregard period if you later apply for financial assistance because you will already have been in long term care for more than 12 weeks.
Cost of care without financial assistance
Your care home will tell you how much your overall weekly fees will be. You will be liable to pay the rate agreed between you and your care home. Your agreement with the care home will become a private contractual agreement with no involvement from the Council. You are advised to check the private rates charged by care homes as these could be substantially higher than the council's contracted rate.