Care homes and how benefits are affected
If you are receiving benefits then a permanent and even a temporary stay in a care home can have an impact. For this reason you should always tell the relevant government or council department if your circumstances change in this way.
Bear in mind that whatever benefits you do continue to receive will probably get counted towards your care home fees.
This is how benefit situation is changed by a stay in care homes.
Disability Living Allowance – mobility component
This should not normally be affected by moving into a care home. Your council will take no account of it when calculating how much you need to pay towards your care home fees. However, if the National Health Service is paying your care home fees, the mobility component (and the care component) may be affected. To be sure, contact the benefits office that normally pays your DLA.
Attendance Allowance and the care component of Disability Living Allowance
How these benefits are affected, depends on your situation as detailed below.
If your council is paying towards your care home fees:
- The benefits will be paid for the first four weeks of your stay (this is on the assumption that you were entitled to it before moving into a care home)
If you are paying your care homes fees yourself with no help from the council:
- Entitlement will normally continue
If you are in the first 12 weeks of your permanent stay in a care home and your property is not being counted as capital for this period. Your local council is helping you with your care home fees for this period and you will become self funding from the 13th week (or earlier if the property is sold):
- It will be paid for the first four weeks of your stay in a care home and will restart from the 13th week or when you start self-funding.
If your local council is helping you with your care home fees on a temporary basis while you sell your assets and/or you have a 'deferred payments agreement' where you will pay your contribution to your care home fees back to your local council later.
- It will be paid for as long as you are entitled to it.
Income Support and Pension Credit
What you should do if you are claiming as a couple for Income Support or Pension Credit to claim as individuals when you move into a care home.
Also be aware that your council will expect you to claim any Income Support or Pension Credit that you are entitled to and will count them as income when your contribution to your care home fees is worked out. If you stay at a care home on a temporary basis, you can carry on claiming these benefits for up to 1 year.
Housing Benefit and Council Tax Benefit
You can still receive Housing Benefit and Council Tax Credit if you stay in a care home for a short break or for temporary care for up to 1 year. If, however, your stay is on a trial period your Housing Benefit and Council Tax Benefit for housing costs will stop once your trial period goes beyond 13 weeks.
State pension
Moving into a care home will not affect your State Pension but it will be counted as income when your local council work out what you can contribute to your care home costs.
Carer’s allowance
Carers allowance is paid to people who are caring for someone who receives the top or middle rate care parts of Disabled Living Allowance or Attendance Allowance.
To qualify a person must be caring for someone for at least 35 hours a week. Also they must not be earning more than £95 a week.
If already receive it and the person you care for goes into a home you must contact the office that pays your Carer’s Allowance.