How To Fund Your Care

How To Fund Your Care? (Updated)

January 23, 2020 3:13 pm Published by

Funding for care may prove to be a daunting journey for some of us, especially when it comes to providing adequate support for your loved ones. We would like to share some tips on some common ways to help alleviate the cost of care :-

  1. Care Annuity or Care Fee Funding Plan/ Immediate Needs Annuities

This is not the same as retirement annuity. In this instance, the care fee plan is purchased with a one-off lump sum payment (usually from savings, investment or property sale). This is not refundable unless capital protection is included. The income paid out by the insurance company is paid off for the rest of your life. This income is tax free!

This type of policy offers a guaranteed method of meeting the fees for life. However, the risk is that capital could be lost if you do not need care for as long as they predicted. Money spent on the care fees plan will immediately reduce your estate for any Inheritance Tax Calculation.

If you would like more information, please click onto the link provided: https://eldercaregroup.co.uk/

 

  1. Personal Independence Payment (PIP)

The Personal Independence Payment (PIP) replaces the Disability Living Allowance. PIP can be considered if you have a long-term ill-health or disability. You are eligible to receive between £23.20 to £148.85 a week if you are between the age 16 to 64 (not reached pension age) and need help with personal care or with getting out and about. The amount you receive is not based on your condition, but how your condition affects you.

For more information, please clink on to the link provided: https://www.gov.uk/pip

 

  1. Attendance Allowance

Attendance Allowance helps if you have a disability severe enough that you need someone to help look after you. Attendance allowance helps to provide extra cost if you are:

  • Aged 65 or over
  • Physically or mentally disabled

There are two rates available and are paid weekly. If you need frequent help or constant supervision during the day or at night, you are entitled to a Lower Rate- £58.70 a week. If help or supervision is needed throughout the day and night or if you are terminally ill, you are entitled to a Higher Rate- £87.65 a week.

You may also get extra Pension Tax, Council Tax Reduction or Housing Benefit if you get Attendance Allowance – please check with the helpline.

For more information, please click onto this link provided: https://www.gov.uk/attendance-allowance

 

  1. Winter Fuel Payment

According to the Winter Fuel Payment from GOV.UK, if you are born on or before 5th April 1954, you could get between £100 to £300 to pay towards your heating bills. You are automatically eligible if you get the State Pension or another social security benefit (except, Council Tax Reduction, Universal Credit, Housing Benefit or Child Benefit). Most payment are made automatically between November and December. If you get any other benefit, payment will be made at the same time as your other regular payments to you. Payment should be received by 14th January 2020.

It may still be possible to get Cold Weather Payment or the Warm Home Discount Scheme, even if you do not qualify for Winter Fuel Payment.

For more information, please clink onto this link provided: https://www.gov.uk/winter-fuel-payment

 

  1. Travel free with a 60+ London Oyster Photocard

You will need to be living in the London borough and be aged 60 or over to be eligible for free travel on all Tfl services until you’re eligible for a Freedom Pass (in which eligibility age for Freedom Pass will gradually increase to age 65 until the 5th of April 2020). The benefit includes free travel on bus, Tube, tram, DLR, London Overground, TfL Rail (excluding between West Drayton and Reading) and most National Rail services in London. Pass holders also get a discounted fare on River services and the Emirates Air Line.

To apply please clink onto this link provided: https://tfl.gov.uk/fares/free-and-discounted-travel/60-plus-oyster-photocard

 

  1. TV licence

Do you know you can get a free TV licence if you are over the age of 75? Yes, after your 75th birthday, you can get a free TV licence.  However, free TV Licences, funded by the Government, for all over 75s may come to an end in June 2020. This means that all over 75 licence holders under the current scheme will be issued a free licence up to 31 May 2020.

From 1 June 2020, there will be a new scheme. Under the new scheme, anyone aged 75 or over receiving Pension Credit, will be eligible to apply for a free TV Licence, paid for by the BBC. Pension Credit can be in the name of the licence holder, or in their partner’s name if they are a couple. If Pension Credit is not received – either in the licence holder’s name or their partner’s name if they are a couple – the TV Licence will need to be paid for.

If you are blind (or severely sight impaired) and can provide the appropriate evidence, you will be entitled to 50% concession, this licence also covers anyone who lives with you. If the person who is registered blind is not the current licence holder for your address, you’ll need to transfer the licence to their name.

If you like to apply or find out more, please clink onto the link provided: https://www.gov.uk/tv-licence

 

  1. Dial-a-Ride

Dial-a-Ride is a public transport for anyone with permanent or long-term disability. You are automatically eligible for membership if you are:

  • A Taxicard member
  • Getting the Higher Rate Mobility Component of Disability Living Allowance
  • Getting the Standard or Enhanced Mobility Rate of the Personal Independence Payment (PIP)
  • Registered blind or partially sighted
  • Aged 85 or over
  • Getting a Higher Rate Attendance Allowance
  • Getting a War Pension Mobility Supplement

If none of the above apply to you, you may still be able to join Dial-a-Ride but you will have to undergo a paper-based mobility assessment to establish your eligibility for the service.  You can apply for Dial-a-Ride if you are a permanent or temporary resident of a London borough. If you are applying for a temporary membership, you will need to provide evidence of using a similar service at your place of residence.

Dial-A-Ride can be very busy, particularly late morning. You should book in advance. Please note Dial-A-Ride cannot accommodate hospital, clinic and Day Centre appointments. Neither can they accommodate trips to schools and work.

Please click onto this link provided if you like to apply: https://tfl.gov.uk/modes/dial-a-ride/membership

 

All information given above is relevant at the time of publishing but may change from time to time and we would like to advise to check for any new updates at the relevant links or websites.

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