Financial assessment – Income

For the council’s financial assessment for permanent residents, income in your name will be looked at and will be either: • completely disregarded • partly disregarded • taken fully into account Income could include: • State Pension • occupational or works pension • personal pension • Pension Credit • tariff income from capital

Income that is disregarded

Some income will be disregarded in the financial assessment. Common disregards include: • the mobility components of Disability Living Allowance or Personal

Independence Payment • War Disablement Pension and Armed Forces Compensation

Scheme payments • War Widow’s Special Payments - the special war widow’s pension of £98.44 per week introduced April 1990 for ‘pre-1973 war widows’ (in addition to the £10 partial disregard for war widows described below) • the £10 Christmas bonus paid with some benefits • actual income from savings (instead, a tariff income will be included in the calculation - see page 7 for more information) • certain charitable and voluntary payments given to pay for a specific item not covered by the care home’s fees • any payments of Child Tax Credit or Guardian’s Allowance.

Income that is partly disregarded

Some kinds of income are partly disregarded, such as: • £10 per week of a War Widow’s Pension. • £20 per week of certain charitable or voluntary payments to help with expenses already covered by the council’s contract with the home, for instance for food or heating. • 50% of a private pension, if this is paid to a spouse or civil partner who doesn’t live in the same care home.

Savings Disregard

If you have reached State Pension age, you may be entitled to a savings disregard, depending on your weekly income. The rules for this are linked to the rules for the savings credit element of Pension Credit and the amount you receive will depend on your qualifying income:

Single people

WEEKLY INCOME AMOUNT OF DISREGARD

Less than £153.70 Nil

£153.70 to £177.10

Your actual savings credit award or £6.90, whichever is less Over £177.10 and you receive savings credit £6.90 Qualifying income above the limit for receiving savings credit £6.90

Couples

WEEKLY INCOME AMOUNT OF DISREGARD

Less than £244.12 Nil

£244.12 to £270.30

Your actual savings credit award or £10.25, whichever is less Over £270.30 and you receive savings credit £10.25 Qualifying income above the limit for receiving savings credit £10.25

Social security benefits

Whether you are single or part of a couple, the council will expect you to claim all the social security benefits you are entitled to when you move into a care home. They will need to see details of the benefits you are receiving and may need to contact the Department for Work and Pensions too.

Disability related benefits (care components)

If you receive Attendance Allowance, the care component of Disability Living Allowance or the daily living component of Personal Independence Payment, these will stop after 28 days in a care home if you are receiving the Free Personal Care contributions. These benefits are not affected if you only receive the Free Nursing Care contributions or are not receiving any funding at all from the council.