Arranging care for yourself or a loved one can not only be an emotional time, but also a very complicated one. There are a multitude of issues to consider, including mental capacity, eligibility for state benefits, Continuing Powers of Attorney+, the type and location of care home and of course, funding the care itself. All of which require specialist knowledge. Yet, less than 15% of people who do not qualify for financial support, will have sought appropriate and regulated financial advice before entering care.*
In the UK in 2017, there were 1.6 million people aged 85 and over, and by 2041 this number is predicted to have doubled to 3.2 million -accounting for over 5% of the total population*.
Statistics show that one in three of us will develop dementia* but we are expected to fund care ourselves if our personal capital exceeds £26,250. The average cost in a residential care home in Scotland is around £35,360 a year, rising to almost £43,732 in a nursing home and with the average stay at about 2.5years, the costs are substantial*.
If you need care, and have to fund the fees yourself, there are many things that you will need to consider. Not only will it be important that you receive care in a home you have chosen, you will also need to consider whether you can afford to pay the fees for as long as is needed. You may also wish to protect your wealth so that some inheritance may be passed on to the next generation.
Paying for care can be an expensive and long term commitment. There are pros and cons to the funding solutions available, so it is essential to seek financial advice from a specialist adviser as early as possible to find the right solution to suit your individual needs.
Whether you are concerned about saving for care home fees in the future or facing the possibility of needing to pay these fees now, we, or a suitably qualified Long Term Care Partner of St. James's Place Wealth Management, can help you and your family with the options available.
For more information on the cost of care, click here.
The value of an investment with St. James's Place will be directly linked to the performance of the funds selected and may fall as well as rise. You may get back less than the amount invested.
Sources:*Laing and Buisson Report 2017/18
+Powers of Attorney involve the referral to a service which is separate and distinct to those offered by St. James's Place and are not regulated by the Financial Conduct Authority.