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What Next for Care Costs?

Many people worry about the potential cost of personal care as they get older. Some are concerned that paying for the care they need will eat away their savings and assets and leave nothing to pass on to their children. Others worry whether they’ll be able to afford care costs at all.

While there are very real issues around the cost of care, sometimes the future isn’t as bleak as people assume. This quick summary of care cost funding will make sure you have accurate, up-to-date information for your financial planning.

Care Cost Cap

Before diving into the details we should look at the care cost cap that is scheduled to come into force in October 2023. The cap aims to ensure that no individual will pay more than £86,000 for personal care (either residential or care at home) during their lifetime.

A couple of points to note. Care costs incurred before the cap is introduced won’t count towards the total. Also, the cap doesn’t apply to the accommodation element of care home fees.

Care Needs Assessment

The process starts with a care needs assessment carried out by your local council. This is a formal statement of the personal care you need. Care not included in your assessment probably won’t be included in the care cost cap.

Means Testing

The financial support you get will be affected by your income, savings and other financial assets. Your property is included in the calculation only if you are going into residential care, and only then if you don’t have a spouse or dependent relative still living in your home. It may be possible to enter into an agreement with your local authority so that they recover your care costs from your estate after you die.

If you have capital worth more than £23,250 you will be expected to pay for all of your care costs (the upper capital limit). If your capital adds up to less than £14,250 the council will pay for your care costs. Between these two figures there’s a sliding scale for your contribution.

It’s planned for the upper capital limit to increase to £100,000 in 2025.

Hopefully this has helped to clarify the situation. If you have any questions about funding or any other aspect of care, please call Altogether Care on 01305 300 161, email contact@altogethercare.co.uk, visit our website or use our care calculator.

How Much Will It Cost to Have the Care At Home Service You Need?

The fact that you need some help with day-to-day tasks doesn’t mean that it’s time to move to residential care or give up your home and independent way of life. A care at home service often offers the best of both worlds.

Help is available during pre-arranged home visits at times you choose. Life can be made more manageable while you continue to enjoy the familiarity and security of your own surroundings. You can opt for a care service that helps meet a wide range of needs, from picking up prescriptions, shopping and preparing meals, through to help with personal hygiene or nursing care and medication.

What Care Do You Need?

Everyone is different and so are their care needs, which is why the first step is usually to arrange a care needs assessment with your local council. It might be that you will only need care for a limited period of time, such as recovering from illness or a hospital visit. Or it may be that you need something longer-term that will make day-to-day life more manageable.

Depending on your income and assets, it’s likely that you will have to pay for some or all of your care. The question of how much the care will cost then becomes very important. The care at home packages provided by Altogether Care are based on individual needs and are highly flexible. The costs are based on each client’s specific care package and are explained and discussed with each individual in advance.

To make it easier to understand how much your care is likely to cost, we’ve created a care cost calculator. This is an easy to use online tool that takes you step-by-step through your options looking at the types of care you want to receive. At the end of the process you will receive an accurate estimate of the cost of your care at home package. This will help you make better-informed decisions when it comes to planning your care.

Try the Care Cost Calculator

For more information, contact us on 01305 300 161.

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