Paying for your own care Page 1 of 5

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1 Cambridgeshire County Council is committed to providing high quality care and support (Customer Services) Ref: CS.PayCare.FS-April-16 Paying for your own care A guide for people who will be paying the full cost of their care themselves and have decided that residential care is the right kind of support for them; it includes information on paying for care and where you can get further information and advice. Paying for your own care Page 1 of 5

2 Funding your own residential or nursing home care Many people want to feel more prepared for later life and start thinking about how they may cope if they are unable to care for themselves in the future. We know that this can be a worrying time but getting up to date information and advice can help you make an informed decision. Most people needing residential care will be expected to pay something towards the cost from their income and/or capital. Paying for your own care If you pay the full cost of your care yourself, you are known as a self-funder. If you are funding the full cost of care yourself and have decided that residential care is the right kind of support for you, you will need information on paying for care and where you can get further information and advice. We strongly advise you to seek specialist financial advice from a qualified independent financial adviser; they can make sure that you are aware of all your options for paying for your own care and weigh up the pros and cons of each. See page 4 for more detail. For 2016/17, if you have capital and /or savings of more than 23,250 it is likely that you will be expected to pay the full cost of your care until your capital / savings drop below this level. The types of capital / savings that are used to calculate this amount includes, but is not limited to: Savings held in a bank / building society accounts Value of any holding of stocks, shares or unit trusts Premium bonds National Savings Cash Value of property and land Any property you own will normally be included as one of your capital assets however the value of your home will not be taken into account if any of the following apply: Your partner, former partner or civil partner, (except where you are estranged) continues to live there A lone parent who is your estranged or divorced partner continues to live there An eligible relative aged 60 or over continues to live there An eligible relative who is incapacitated continues to live there Your child under 18 continues to live there Other special circumstances Paying for your own care Page 2 of 5

3 Living in a residential or nursing home: How much will I have to pay? Residential care If you pay for your own support, you will have to pay the whole cost of living in a residential or nursing care home. There are a number of residential and nursing homes in Cambridgeshire and they may charge different amounts, depending on the facilities they provide and the amount of care that you need. By contacting a care home directly, you will be able to get a clear picture of their current charges. Nursing care If you need nursing care, your local Clinical Commissioning Group (CCG), may pay a fixed amount towards the nursing element of your care costs. This is tax-free and non-means-tested. If you need high levels of health care, you may be able to get your full care costs paid for by the NHS under the criteria for continuing health care. Benefits you may be able to claim Depending on your needs and circumstances, there may be benefits you are entitled to: Income Support Pension Credit Attendance Allowance if you are over 65 with disability related care needs Personal Independence Payment if you are under 65 with disability related care needs Paying for care your options People who fund their own care, usually pay for their care fees in the following ways: Use savings and /or income from investments Sell their home and use the proceeds to pay their care fees Rent out their property Purchase a care fee payment plan: Under this arrangement, you pay a lump sum to an insurer who will then guarantee to cover residential and nursing care fees for the rest of your life Before making any decisions you should seek financial advice. See page 4 for more detail. The Care Quality Commission inspects residential and nursing homes and you should view each homes inspection report before deciding where to live. You can find care providers near you on NHS Choices. Care-homes-and-care-at-home/ LocationSearch/11 Paying for your own care Page 3 of 5

4 What happens if my capital or savings fall below 23,250? If your capital and savings are likely to fall to below 23,250 (2016/17 figure) you may be able to get help towards the cost of your care. You will need to contact us to arrange an assessment as soon as possible. If you choose to live somewhere that charges fees higher than we usually pay, the Council may not agree to continue paying for this. If this is the case, you may have to move to a home that charges lower fees or ask a relative to third party top-up the amount needed. If you give away assets or dispose of them to put yourself into a more favourable position to get help with your care home fees, the Council may be able to assess you as if you still have the assets. For more information on paying for your own care visit payingforcare Power of attorney There may come a time when you need someone to help you make decisions or make decisions on your behalf. A lasting power of attorney (LPA) is a legal document that gives you more control over what happens to you if, for example, you have an accident or an illness and do not have the mental capacity to make decisions at the time they need to be made. Seeking financial advice before making decisions Deciding how to finance your care is a major decision. It is vital that you weigh up each option and your financial position carefully. Taking independent legal and financial advice from someone who understands the implications of each choice is strongly recommended. Financial advisers When choosing an Independent Financial Adviser you want someone who is going to give you impartial advice that is in your best interests that will help you make an informed decision about your care. It is important that you find someone you feel you can trust. You should also make sure that: they have experience of providing advice on long-term care they hold a specialist qualification the Financial Conduct Authority requires this for any financial adviser giving financial advice about long-term care. See page 5. You will need to pay for independent financial advice. Fees may vary from adviser to adviser, depending on their qualifications and location. However you pay for advice, your adviser should set out the charges in a clear and transparent way and make sure you understand how much you are paying. It is important to make sure, if necessary, that the adviser has a good understanding of the Mental Capacity Act Disclaimer This information is intended to make you aware of some of the financial issues that arise when you decide to live in residential or nursing care. It is not intended as a statement of law on these issues. You are advised to seek independent financial, and if appropriate legal advice to ensure that you are aware of the implications of your decisions. Paying for your own care Page 4 of 5

5 Sources of information and advice The Society of Later Life Advisers (SOLLA) helps people find Independent Financial Advisers in their area who specialise in the financial needs of older people. SOLLA members are independently accredited to offer the added reassurance that, as well as holding professional qualifications, they can offer practical guidance to help you make decisions about financing your care needs. Age UK is a national charity working to improve later life for everyone. Their website has a wealth of information, including choosing and paying for your own care Cambridgeshire and Peterborough Clinical Commissioning Group (CCG) is the organisation responsible for planning, organising and purchasing NHS funded healthcare for people living in the Cambridgeshire and Peterborough area. ccg.nhs.uk A free and impartial government service about your defined contribution pension options. The Citizens Advice Bureau provides impartial information and advice to people of all ages on a range of topics. They can help with information on benefits and managing your finances. The Financial Conduct Authority (FCA) regulates financial services, including details of qualified financial advisers. It also has information about how to be a ScamSmart investor. The Money Advice Service provides free and impartial information on all aspects of managing your money. Their website includes a section on paying for your care, including options if you are self-funding. Paying for your own care Page 5 of 5