Hi all
Have been crunching the numbers - time has come for my elderly mother to go to a nursing home and we are considering the options. Have read up on the threads on the site and as always they are helpful. Would be interested in opinions on what’s best. The home is 1200 per week. If we do the fair deal scheme then it will be:
Her house: value around 350k so 7.5% of that for up to 3 yrs
Her savings: Approx 70k so 7.5% of that after allowance of 36k
Her pension: basic SW pension of 277e per wk
Would funding it privately (at least for 1 yr) make any sense?
Use pension so roughly 1000e per month
Rent out house for roughly 2k per month
Fund balance from her savings
Wondering if the rent would be fully taxable or can this be offset as its funding her care. Know nothing about being a landlord so appreciate advice on that. If we had to contribute (as taxpayers on higher rate) would we be able to offset some of that?
Any thoughts and advice welcome.
Thanks
Have been crunching the numbers - time has come for my elderly mother to go to a nursing home and we are considering the options. Have read up on the threads on the site and as always they are helpful. Would be interested in opinions on what’s best. The home is 1200 per week. If we do the fair deal scheme then it will be:
Her house: value around 350k so 7.5% of that for up to 3 yrs
Her savings: Approx 70k so 7.5% of that after allowance of 36k
Her pension: basic SW pension of 277e per wk
Would funding it privately (at least for 1 yr) make any sense?
Use pension so roughly 1000e per month
Rent out house for roughly 2k per month
Fund balance from her savings
Wondering if the rent would be fully taxable or can this be offset as its funding her care. Know nothing about being a landlord so appreciate advice on that. If we had to contribute (as taxpayers on higher rate) would we be able to offset some of that?
Any thoughts and advice welcome.
Thanks