Paying for the full cost of your care
Paying for the full cost of your care
If you do not meet the eligibility criteria for care and support or means-tested support from Solihull Council you are a self-funder. This means that you are responsible for paying the full cost of your care.
If you are paying for your own care and support needs (also known as self-funding) and need financial support, there are methods to help you. You may be able to benefit from expert advice to organise your finances for example. This could help you make your money go further if you have to pay for your own care. By seeking independent financial advice you can be more confident in making good financial decisions now and for the future.
Advice on paying for care
You should get advice before deciding on how you can pay for your own care. Solihull Council can help you with this by arranging for a care and support needs assessment.
This will let you know what services are available in the borough to help you:
- choose how to pay for your care
- make sure you get the right services
- pay the right amount of money for your care and support
- stay safe and able to live as independently as you can
Services able to provide advice in Solihull include the Community Advice Hubs provided by Solihull Council and Age UK Solihull in:
Support to Success
Help to manage your money is also available from Support to Success.
Support to Success can give you help and advice with budgeting and getting a bank account. It can also help with debt problems and give advice to help you find a job, use the internet and how you can start getting healthier.
There are also advocacy services offering self-funding advice in Solihull for:
You can also visit your local Community Advice Hub for information for older people from Age UK Solihull.
Getting financial advice
Any private financial advice you get must come from a qualified professional known as an independent financial adviser. These are often called an IFA and IFAs.
Independent financial advisers
Independent financial advisers are professionals who can give you independent advice on financial matters.
An independent financial adviser can talk to you about your money and the financial products and services they think can help you get more for your cash. For example, an independent financial adviser can:
- recommend ways to protect your money
- reduce your risk of running out of money
- help protect your capital, such as your savings
- review your assets, such as your property and personal goods, to see if you can boost your income
- make sure you are receiving all of the benefits that you are entitled to
You should get advice from an independent financial adviser who is an expert in long-term care funding advice. Your independent financial adviser must also be controlled, or regulated, by the Financial Conduct Authority.
Independent financial advisers and the Financial Conduct Authority
Your independent financial adviser must be regulated by the Financial Conduct Authority which is also known as the FCA.
You can visit the Financial Conduct Authority website to search the Financial Services Register for details of firms, individuals that it regulates or has regulated in the past.
The Financial Conduct Authority is the organisation that controls, or regulates, independent financial advisers. It provides you with protection when you make a decision because of the important information your independent financial adviser gives you. The Financial Conduct Authority manages all independent financial advisers by making them stick to a code of conduct.
Help from charities and other organisations
Organisations which do not make a profit and charities may be able to help pay for your care.
The government pay for a charity called Family Fund.
Family Fund can help you with grants, (money that you do not have to pay back), if you are the carer of a severely disabled child aged 17 or under.
You can also get help from the Money Advice Service:
- website www.moneyadviceservice.org.uk
- helpline on 0300 500 5000
If you do get help from a charitable organisation it may be classed as a third party top up payment.
Top up payments
If you have decided to move into a residential home or a nursing home which is more expensive than the cost met by Solihull Council, you may be able to top up the difference yourself or with the help of a third party.
A third party simply means somebody else which is not you or the council.
This means that you can get help from members of your family, friends or charities.
To use third party top up payments the person or organisation contributing to your care will need to have a contract to formalise the agreement with Solihull Council.
For more information on top up payments, you can read our Choice of Accommodation and Top-Ups Information leaflet.
The Deferred Payments Scheme is designed to help you if you have been assessed as having to pay the full cost of your residential care, but cannot afford to pay the full weekly charge because most of your capital is tied up in your home.
You do not have to sell your home in your lifetime if you do not want to. You may, for example, decide to keep your home for the rest of your life and repay the money owed to the Council out of your estate, or you may want to rent it out to generate income.
Deferred payments - entitlement and eligibility
You may be entitled to deferred payments if you:
- have capital (excluding your property) of less than the upper capital limit (£23,250)
- are assessed as requiring and are entering permanent residential or nursing care in a registered care home
- own or have part legal ownership of a property, the value of which is taken into account, and ensure that you have registered your property with the Land Registry
Deferred payments - costs, charges and payment
If you are entitled to a deferred payment, Solihull Council will put a legal charge on your home. This is like a mortgage and ensures the right value of proceeds from the sale of your home go to the council after it is sold.
In principle, you should be able to defer all of your care costs:
- including any top up payment
- minus any contribution you make
- if adequate security for the deferred payment agreement being obtained
The total amount that can be deferred will be governed by an equity limit of 90 per cent of the total value of your home.
The value of your home will be based on a valuation obtained by Solihull Council less:
- the lower capital limit, this is currently £14,250
- any other charges against the property, such as a mortgage
The amount to be deferred will not be more than this figure but may change during the lifetime of the deferred payment agreement if the value of the property changes.
If you enter into a Deferred Payment Agreement with Solihull Council:
- charges and interest will be added to the total amount of money that you have to pay.
- interest rates will change and will affect the amount you have to pay.
- this may also affect any welfare benefits you receive from Department of Work and Pensions.
You will no longer qualify for a Deferred Payment when you have reached your equity limit. At this point you will qualify for Council support in paying for your care.
When you qualify for Council support you will still be required to pay a weekly contribution towards your care that you have been assessed as being able to pay from your income and other savings and Solihull Council will pay the part of your weekly charge that you cannot afford..
Deferred payments - the ability to choose and decide
By entering into a Deferred Payment Agreement you are entering a legally binding contract with Solihull Council.
You should receive financial advice from an independent financial adviser (IFA) before deciding to defer payments.
Help and advice is also available from the Community Advice Hubs in Solihull Connect at The Core and Chelmsley Wood library.
The person agreeing to enter into a deferred payment agreement with Solihull Council must have the legal authority and mental capacity (ability to choose and decide) to do so, or have:
- a Deputy or Attorney (a person with a relevant Enduring Power of Attorney or Lasting Power of Attorney)
- someone who is their deputy appointed by the Court of Protection
Depending upon your individual finances, your advice may suggest entering an equity release scheme.
An equity release scheme uses the value of your home to pay for your care. The money is taken out of the future sale of your home.
It is important to ensure you have taken on the right advice and enough advice before entering an equity release scheme.
Information on seeking advice and the benefits and consequences of equity release schemes are available from:
- the Money Advice Service
- your independent financial adviser regulated by the Financial Conduct Authority
- your investment manager regulated by the Financial Conduct Authority
If you enter into an Equity Release scheme you will not be eligible for a Deferred Payment.
Independent personal budgets and care accounts
Independent personal budgets and care accounts will be introduced as part of Care Act reforms.
An independent personal budget will be used for you if you are paying for your own care with no assistance from Solihull Council.
A care account will allow self-funders to monitor the costs of your care so that your care costs do not exceed the limits set.
You do not have to have to an independent personal budget if you do not want one.
Disability Facilities Grant for home adaptations
Home adaptations could help with your care and support. Conversions to your home could help you live with your health issue or disability more easily. Whether you have a learning disability, physical disability or mental health issue, or if you care for someone, a Disabled Facilities Grant may be available.
Grants can be used to pay for home adaptations such as:
- making doors wider
- creating half steps or ramps
- putting in a stair lift
- adapting heating systems and updating lighting systems
To apply for a Disability Facilities Grant contact Solihull Connect on 0121 704 8000
The NHS may be responsible for providing care and support for you. The NHS may also be responsible for funding the equipment you need for your healthcare equipment. Depending on your individual needs your NHS care could be provided in
- your own home
- the community
NHS continuing healthcare
People with complex healthcare needs may be entitled to NHS care known as continuing healthcare.
NHS continuing healthcare is a permanent care package that is fully funded by the NHS.
In Solihull this is provided by personal health budgets. If you or the person you care for do not want a personal health budget NHS healthcare already provided will continue as normal.
Personal health budgets are similar to personal budgets that are set by the council and can give more choice and control.
You can find more information about personal health budgets from the Solihull Clinical Commissioning Group:
- personal health budgets introduction
- personal health budgets most frequently asked questions
- the NHS Choices advice about personal health budgets
You could have a personal health budget if you:
- live in your own home
- are registered with a Birmingham or Solihull GP and receive continuing healthcare
To find out more information about personal health budgets you should ask your NHS nurse who usually provides your care.
Other NHS care
The NHS can also provide other care. If you live in a nursing home and do not get NHS continuing care but need care following an assessment you should get NHS-funded nursing care which pays for your nursing care from registered nurses in your care home.
NHS aftercare may be provided to people who were previously detained in hospital under the Mental Health Act. Services are provided free if certain conditions of the Mental Capacity Act are met.
More information is available from the NHS Choices website about mental health aftercare.