How To Protect Your Home In Later Life With An Asset Protection Trust

Well, the good news is that it will be. The bad news is that it is “means tested”. If you have assets valued over £23,500, including your house and savings, then you will be expected to pay for that care yourself.

With care home fees running at around £25,000 to £55,000 per annum, it does not take long for even a healthy nest egg accumulated over a lifetime’s hard work, investment, and prudence to disappear entirely. This money was supposed to pass to your children and grandchildren.

•    Did you know that 1 in 3 women and 1 in 4 men over 65 will go into care?
•    Did you know that your Council can take all your assets including your house to pay for the care?
•    Only the last £14,500 is protected!
 

What can be done to protect my estate for my children?

As far as we can see it you have four options:

1.    You could do nothing and hope for the best.

2.    You could transfer your assets to your family. By doing this you may protect your assets, but you lose control. There are many things that can go wrong with this, your family may have to pay Capital Gains Tax on the asset, they may get divorced or go bankrupt, (possibly resulting in you losing your home) or simply fall out. The local authority could challenge the transfer as deliberate deprivation of assets. Hence we would not recommend this.

3.    You could buy an Immediate Care Cost Insurance Plan. This is very expensive and does not avoid probate costs.

4.    Or you could transfer your assets including your house into an Asset Protection Trust. This allows you to have total control over your estate. This is by far the best option. The sooner you take professional advice and act, the better.

So do not delay. If you are worried about the future, and your assets, in particular your property being at risk, then contact us for a no obligation meeting to discuss your options. That way you get to make an informed decision as to what is best for your family and take positive action in your lifetime to protect your property.