Planning and funding your long-term care

Money Advice Service

As you approach retirement, you might be thinking about how you’ll cope with the costs of paying for long-term care, either for yourself or for a relative. Or you might find that you are caring for someone who can no longer look after themselves.

This guide gives you an overview of what long-term care is available, who pays for care and how to find the information to work out what’s the best option for you.

What kind of long-term care?

If you or a relative are struggling to manage with everyday living because of illness or disability, you might need long-term care.

The first step to arranging care is to ask your local authority to carry out a care needs assessment, to work out:

  • What help you need
  • What care is available, and
  • How much of it you’ll have to pay for.

Care can be provided either in your home or in a care home.

This is a big decision and will be based on your personal circumstances, such as:

  • What kind of care you need
  • Where you want to live, and
  • How much money you have to pay for care.

Find out more about other care options in our guide: Long-term-care services at a glance.

Who pays for long-term care?

If the local authority decides that you have eligible care needs, they’ll carry out a financial assessment to work out how much you have to pay towards the costs of care.

The amount you pay will depend on your income, savings and assets, and, if you go into residential care, might include the value of your home.

If you have to contribute towards the costs of long-term care there are many ways to pay for it and it’s important to look at each one to see whether it’s right for you.

Getting advice to plan for long-term care

Whether you’re planning ahead for long-term care, or you need to find a solution urgently, it’s a good idea to talk to a specialist financial adviser.

They can help you work out:

  • The best way for you to fund care
  • Which care option best suits your needs
  • How much money you might need for your care

Getting good financial advice can mean you could:

  • Make a fully-informed decision about the best way to pay for care
  • Be sure that your future care needs and those of your dependents are provided for
  • Make the best use of your income, savings and assets, particularly if you own your home
  • Have a greater choice of care-funding options that you might not have found by yourself
  • Get help with claiming benefits that you could use towards paying for the cost of your care
  • Get expert help with understanding a complex care system, particularly if you’re facing the stress of urgent care needs

Using your local authority to find financial advice for long-term care

The Care Act 2014 says that local authorities must now try to help you find financial information and advice that will help you plan and pay for your care needs.

This can range from helping you to filling in benefit claim forms to showing you where you can get regulated independent financial advice about choosing the best long-term care option for you.

They will also be able to put you in touch with local organisations and advisers.

Contact your local authority to find out how they can help you.

Find your local council here

If you become a carer

It’s possible that after retirement you might find yourself caring for a spouse, partner or relative who has long-term care needs.

If you are looking after someone, it’s important that you have a carer’s assessment to find out if you’re eligible for any financial support from your local authority.

You should also check if you’re able to claim any carer’s benefits.

Find out more about Support services and financial help available to carers.

Money worries can build up if you’re a carer, particularly if you’re looking after someone full time.

If you’re struggling to manage financially or you’re falling into debt, it’s important that you get advice about what to do.

The sooner you deal with debts or money worries, the quicker you can get back on track.

To find debt advice that’s free, impartial and confidential, see Where to get free debt advice.

For more help and support as a carer, go to the Carer’s UK website.

This article is provided by the Money Advice Service.

Some important information about Rest Less Money

We want you to understand the positives, but also the limitations of using our site. We operate in a journalistic manner and therefore all information, guidance or suggestions provided are intended to be general in nature, and you should not rely on any of the information on the site in connection with the making of any financial decision.

When we set out to build Rest Less Money, we wanted to be a trusted place where you could find helpful information about financial matters affecting the over 50s. As a free to use resource, we try hard to provide the best information we can, but we cannot guarantee that we won’t occasionally make mistakes. So please note that you use the information on our site at your own risk, and we can’t accept liability if things go wrong.

Key things to remember when using Rest Less Money:

We do not offer financial advice – As a journalistic site, it’s important to know that we do not provide financial advice. You should always do your own research before choosing any financial product so that you can be certain it is right for you and your specific circumstances. If you are in any doubt, please seek professional financial advice from a regulated financial advisor.

No Liability – please note that you use the information on Rest Less Money at your own risk and we can’t accept liability for how you choose to use the information given on our site. We will often provide links to content or products and services available on other third-party websites. These are provided purely for your convenience and we cannot be held responsible for any content, or any of the products and services offered on any website that we link to.

 

Accuracy of Information – We try to make sure that all the information provided on Rest Less Money is correct at the time of publishing as we want it to be the most helpful resource possible. Sadly, we are not perfect however, and so we can make no guarantees as to the completeness, accuracy, adequacy or suitability of the information available on the site.
Whilst we work hard to try and provide accurate information, deals and prices can change, so whilst they may be correct at the time of writing, providers may subsequently decide to alter them later – so always double check first.

A final note on the Rest Less Community Forums – always remember that anyone can post their opinion on the Rest Less Community Forums, so it can be very different from our own opinion and may not be factual or well researched. Always be wary of any content posted on the forums and be sure to do your own research and due diligence on anything suggested. 

We hope you find Rest Less Money a useful resource and we would welcome your feedback at [email protected] on how to make it even better. For more information on any of the above you can read our full terms and conditions.

Some important information about Rest Less Money

We want you to understand the positives, but also the limitations of using our site. We operate in a journalistic manner and therefore all information, guidance or suggestions provided are intended to be general in nature, and you should not rely on any of the information on the site in connection with the making of any financial decision.

When we set out to build Rest Less Money, we wanted to be a trusted place where you could find helpful information about financial matters affecting the over 50s. As a free to use resource, we try hard to provide the best information we can, but we cannot guarantee that we won’t occasionally make mistakes. So please note that you use the information on our site at your own risk, and we can’t accept liability if things go wrong.

Key things to remember when using Rest Less Money:

We do not offer financial advice – As a journalistic site, it’s important to know that we do not provide financial advice. You should always do your own research before choosing any financial product so that you can be certain it is right for you and your specific circumstances. If you are in any doubt, please seek professional financial advice from a regulated financial advisor.

No Liability – please note that you use the information on Rest Less Money at your own risk and we can’t accept liability for how you choose to use the information given on our site. We will often provide links to content or products and services available on other third-party websites. These are provided purely for your convenience and we cannot be held responsible for any content, or any of the products and services offered on any website that we link to.

 

Accuracy of Information – We try to make sure that all the information provided on Rest Less Money is correct at the time of publishing as we want it to be the most helpful resource possible. Sadly, we are not perfect however, and so we can make no guarantees as to the completeness, accuracy, adequacy or suitability of the information available on the site.
Whilst we work hard to try and provide accurate information, deals and prices can change, so whilst they may be correct at the time of writing, providers may subsequently decide to alter them later – so always double check first.

A final note on the Rest Less Community Forums – always remember that anyone can post their opinion on the Rest Less Community Forums, so it can be very different from our own opinion and may not be factual or well researched. Always be wary of any content posted on the forums and be sure to do your own research and due diligence on anything suggested. 

We hope you find Rest Less Money a useful resource and we would welcome your feedback at [email protected] on how to make it even better. For more information on any of the above you can read our full terms and conditions.

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