Do I Have to Pay for My Mum to Go into a Care Home

Understanding Care Home Costs and Financial Responsibilities

Have you found yourself wondering, “Am I responsible for paying my mum’s care home fees?” If so, you’re not alone. Many families worry about how care costs will be covered, whether next of kin are liable, and how a loved one’s finances affect the process.

The good news is that you are not legally obliged to pay for your parent’s care home fees—unless you have signed an agreement stating otherwise. However, care home funding can be complex, and understanding the options available can help ensure your loved one receives the support they need without unnecessary financial stress.

Who Pays for Care Home Fees?

Care home fees are generally funded in one of three ways:

  • Self-funding – The individual pays for their care using their savings, pensions, or property.
  • Local authority funding – The council contributes towards or fully covers costs based on a means test.
  • NHS funding – In certain circumstances, the NHS may pay for care, either partially or in full.

Are Next of Kin Responsible for Care Home Fees?

Unless you have signed a contract agreeing to pay, next of kin are not legally required to cover care home costs. The financial responsibility remains with the person receiving care. However, if your loved one lacks sufficient funds, there are options available to help cover the costs.

How Is Eligibility for Care Home Funding Determined?

A financial assessment (means test) determines whether an individual qualifies for local authority support. This considers their savings, income, and assets, but does not include family members’ finances.

What Does the Means Test Consider?

  • Savings and investments – If your loved one has more than a certain threshold, they may need to self-fund.
  • Income – This includes pensions and benefits.
  • Property ownership – The home may be included in the assessment unless specific exemptions apply.

If a spouse, civil partner, or dependent relative over 60 lives in the property, it is usually not counted in the means test.

What Happens If My Mum’s Savings Run Out?

If your loved one starts as a self-funder but their assets drop below the upper threshold (£23,250 in England), they can apply for local authority funding. However, some care homes do not accept local authority rates, which could mean moving to a different facility.

Before choosing a care home, check whether it accepts local authority funding should finances change.

Financial Support Options for Care Home Fees

Even if your parent does not qualify for full local authority funding, there are other ways to receive financial help.

NHS Continuing Healthcare (CHC)

For individuals with complex medical needs, NHS Continuing Healthcare covers the full cost of care. Eligibility is based on a clinical assessment of whether their primary need is health-related.

NHS-Funded Nursing Care (FNC)

For those who do not meet the criteria for full NHS Continuing Healthcare, NHS-Funded Nursing Care may cover some costs if a registered nurse provides care in a residential setting.

Attendance Allowance

This is a non-means-tested benefit for individuals over State Pension age who need additional support due to disability or illness. The extra income can contribute towards care home costs.

Third-Party Top-Up Fees

If your loved one prefers a care home that charges more than the local authority’s standard funding, a third party—such as a family member—may cover the extra amount. However, the council must offer at least one fully-funded option that does not require a top-up.

Selling a Property to Pay for Care

Many people worry about having to sell their home to fund care. While this is sometimes necessary, it is not always required.

When Is a Property Exempt from the Means Test?

Your loved one’s home will not be included in the assessment if:

  • A spouse, civil partner, or dependent relative (over 60 or disabled) continues to live there.
  • They are receiving care at home or are in a care home temporarily.

Deferred Payment Agreements (DPA)

If selling a home is the only way to afford care, a Deferred Payment Agreement allows costs to be covered by the local authority while delaying repayment. The amount owed is then recovered from the estate after your loved one’s passing.

The Risks of Transferring Assets

Some people consider transferring property or assets to family members to reduce their financial liability for care home fees. However, local authorities investigate deliberate deprivation of assets and may still charge care fees as if the person still owned the property.

Potential Consequences of Asset Transfers:

  • The local authority could rule the transfer as deprivation of assets, meaning care costs are still charged.
  • Your loved one would lose control over the asset, leaving family members free to sell it.
  • There could be tax implications, such as capital gains tax if the property is later sold.

Before making any decisions about transferring assets, it is essential to seek professional legal advice.

What Happens to Care Home Fees After a Loved One Passes Away?

Once a care home resident passes away, outstanding fees are settled from their estate. Family members are not responsible unless they have signed an agreement to pay.

For those with a Deferred Payment Agreement, the amount owed must be settled within 90 days of their passing.

Local Authority Care Funding Thresholds (England)

The UK has different financial thresholds for care funding:

  • Self-funding: Assets above £23,250 (must pay full fees).
  • Partial support: Assets between £14,250 and £23,250 (local authority contributes).
  • Full local authority funding: Assets below £14,250.

In Scotland and Wales, different thresholds apply. It’s best to check with your local authority for the most up-to-date figures.

Choosing the Right Care Home

When selecting a care home for your loved one, consider:

  • Affordability – Will the care home accept local authority funding if money runs out?
  • Location – Is it close to family and friends for regular visits?
  • Level of care – Does it meet your parent’s current and future needs?

There are several online resources to compare care homes based on ratings, services, and availability.

Final Thoughts

Navigating care home funding can feel overwhelming, but understanding the available options can make the process easier. Remember:

  • You are not legally responsible for paying your loved one’s care home fees unless you’ve signed a contract stating otherwise.
  • Financial assessments focus only on the individual receiving care, not their family’s assets.
  • If assets exceed the upper threshold, self-funding is required. Below the lower threshold, local authority funding may be available.
  • Selling a property is not always necessary—Deferred Payment Agreements can help delay costs.
  • Attempting to transfer assets to avoid care fees may have legal consequences.

If you need further advice on care home funding, Home Instead New Forest is here to help. Our experienced team can guide you through the process and offer support in finding the best care solution for your loved one.

For more information, contact Home Instead New Forest today

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