80,000 a year are unable to continue paying for care
14 October 2011
With average care home costs reaching £26,000 a year, how long could you afford to pay this? For many, the answer is unfortunately not long enough, according to research by Key Retirement Solutions.
In fact, every year more than 80,000 elderly people find themselves in the daunting position of being unable to carry on funding their own care. Turning to their local authority for funding is many people's only option. Not only does this pull at the public purse strings, it can also affect the level of care received as well as where it is provided. Moving from a nursing home that you and your family carefully selected, to a home chosen for you by your local authority can be extremely stressful. Making the decision to receive your care at home is also something that a local authority may decide to review.
Care at home
Key's research also showed that a whopping 84 per cent of those aged 65-plus, if requiring long-term care, would choose to receive this care at home rather than moving into a residential or nursing home. Dear Mirfin, Group Director at Key Retirement Solutions, said "Elderly people want wherever possible to remain in their own homes when they need care and they and their families want the best standard of care possible. This is clearly not happening when people are running out of money."
Planning for care
Seeking information on care costs is becoming more and more important as people's retirement finances become stretched. "Careful planning at the outset cannot conjure up money but it can help people know what their options are and what they can achieve," comments Dean Mirfin. Care fees planning will start with an initial assessment looking at whether you are claiming the correct benefits and considering your other funding options. Even if you do not qualify for local authority funding, you may still be entitled to claim non-means tested help.
Key can help
Key has recently launched a care fees planning service with live-in care specialists Helping Hands. The service offers a free initial consultation, investigating state support and exploring your other options, such as maximising income and savings and using equity release to unlock money from your home.
To find out if care fees planning could help you or a loved one contact Key on 0800 915 4731. We're here Monday - Friday 9am - 5.30pm.
This is an equity release plan. To understand the features and risks ask for a personalised illustration.