Financial Planning for later life - Long Term Care Advice & Guidance

A number of clients have come to us worried about their own care needs, those of their spouse, or of someone for whom they have a power of attorney. Their overwhelmingly greatest concerns tend to be about money and how to ensure that there is enough to cover care, as well as if possible ensure there is some left for the beneficiaries.

We advise on the investment of the money, focussing on the following priorities:-

• Ensuring monies held on deposit have government protection through the Financial Services Compensation Scheme – so no money is vulnerable in the event of another Credit Crunch.
• Minimising the amount of tax that needs paying.  With care costs often running at £45-60K+ per annum a lot of tax can be paid unnecessarily on the costs.  This means you may need another £15-20K to pay the taxman if you haven’t planned carefully.
• Are you receiving the best rates of return on the money? Even if this is simply a few % per annum, by utilising 3-5 year deposits it will protect the money from fees and inflation.
• Should you consider a Care Needs Annuity?  This may not be appropriate in all cases, but it should be considered in many cases.  For a fixed amount of money you can GUARANTEE to produce an regular income amount which will meet up to the full care fees TAX FREE.