Imagination is a wonderful thing sometimes!
Most of our fears are magnified by our imagination, in the dentist waiting room, fear of flying even dreading doing those jobs you do not wish to do such as your tax return. Mostly, fortunately, the reality is not as bad as our imagination had made us expect. Another factor is fear of the unknown, and this is particularly relevant it appears from the responses I have had to recent articles, on the subject of funding care costs and who to ask for advice. As a result of these enquires I thought it may be useful to give some answers to the most common questions asked.
Regarding who to ask for advice my answer was to seek the help of an accredited later life adviser through the Society of Later Life Advisers. My colleague, Anthony Harper, is one such adviser and he says that client feedback suggests that his advice does make a positive difference to the people that seek his help. “There are a lot of mistakes waiting to be made by well intentioned sons and daughters acting as attorney for mums and dads. Every case is different and it is knowing what to ask and understanding the entirety of the situation. With the required specialist knowledge, I can advise on the care issues and the attendant legal, tax and financial issues.“
Other questions asked included...
“Can the cost of care be prefunded?”
Unless you have an existing product which should of course be kept under review, there are currently no active providers in this market.
“Would a care fees plan or annuity to fund a care fees shortfall be used?”
That would depend on the circumstances of the case in question but on occasions it is possible to at least halve the cost of these plans and still achieve the desired outcome.
“What if there is a property?”
This is where some pre-planning can be done particularly where there is co-ownership or co-occupation of the property.
“What if someone has not taken advice prior to going into care?”
It may still be possible to recover care home fees wrongly paid if we discover the local authority has assessed assets incorrectly. We can also recommend challenging unfair decisions on NHS continuing healthcare funding. Recoveries have been made for clients where it could be shown for instance that full care costs should have been covered by the NHS.
“What about the unfortunate cases of people selling their houses unnecessarily?”
This happens all too frequently and can occur where people have not been given the full facts. There are things which can be done and the sooner advice is obtained the better.
Between now and April 2016 there could also be radical changes to the care system and the way care is paid for. Last month, a joint committee on the draft Care and Support Bill said it should be amended so local authorities must direct individuals to a specialist adviser when they are paying for long term care costs. A do it yourself approach to care fees can be both disastrous and a costly mistake.
You are welcome to request our informative fact sheets or request a without obligation telephone conversation or meeting with an accredited later life adviser by telephoning the number below.
For further information please contact Shipman Financial Planning Ltd, 1 Barnfield Crescent, Exeter, EX1 1QY, telephone 01392 278491 or email info@shipmanfp.co.uk. This article is for general information only and reflects the views of the author only. You should seek professional advice in respect of your own circumstances. Authorised and regulated by the Financial Conduct Authority. Shipman Financial Planning is a highly respected professional adviser offering personal service and innovative advice.
