Working out how to pay for care can be overwhelming and depending on where you or your relative reside in the UK, can cause the cost of care to vary outside the free NHS provision.

Recently the government published an independent review for social care funding in England called the Dilnot report, by Andrew Dilnot. One of the recommendations on the Dilnot report was that long term care fees paid by individuals in their lifetime are capped at £35,000. At present the current fees paid by individual is unlimited.

This £35,000 limit set by the government could be increased in the future, if free NHS provision should continue to suffer.

The fee for food, heating and lighting currently stands at £7,000 to £10,000 per annum for care fees, it’s recommended in the report to include this charge in addition to the £35,000 limit. Critics disagree with this additional charge as suggested by the report. However, the Dilnot report states that it’s only fair this additional charge is included since individuals would have to pay for that anyway, regardless of the individual receiving care from their own home or from a care home.

Currently the means tested threshold before paying the full cost of care is £23,250. However, the Dilnot report recommends an increase of £100,000 before an individual is liable to the full cost of social care – with the £35,000 lifetime added afterwards.

Also a national eligibility criterion is suggested in the Dilnot report to ensure better regularity. So if you should move to another local authority, they’ll be no further assessment required.
So, if you’re short on information regarding paying for care for you or a relative, here are the key points to consider:

1. Advice – Try and find a reputable company for long term care advice.
2. Types of Care – There are two long term care option that is Home Care or Caring Home.
3. Fees – These can vary depending on your care option, the cheaper option is Home care.
4. Financial Support – Depending on your saving and assets you could benefit from local authority support.
5. Power of Attorney – Family and friends can act on your behalf through a legal arrangement called Power of Attorney.
6. Online tools – There are many online tools for paying for care such as Cost of care calculator, Live chat with a financial adviser, Videos and FAQ’s.
7. Dilnot Report – An independent review by Andrew Dilnot on social care funding. Latest research, opinion and recommendation for social care funding.
8. Financial advice – I recommend contacting a qualified Financial Adviser on care fees and paying for care before committing.
9. Means Testing – The state will only provide maximum fund for those who pass the means test.
10. Annuities – There are many financial companies providing annuities that can help with cost of care.