Legal & Financial Checklist for Home Care Planning

Planning home care involves more than choosing a friendly face to visit daily. It also involves sorting through papers, understanding who pays whom, and organizing papers so that decisions are clear when and if they are needed. Who is it for? Families organizing care, older adults planning in advance, and those with long term conditions who want to keep their money and wishes.".

Here you will also be able to view a user-friendly, step-by-step checklist setting out the Financial Assessment for Care process, legal documents you have to prepare, funding available, and a template timeline to follow.

What is a Financial Assessment for Care and why it is important

A Financial Assessment for Care is a formal assessment utilized in order to work out how much an individual will contribute to social care. It will typically be carried out by a local authority in order to consider savings, income, and sometimes property.

What does it measure? Use it as a snapshot of money. It takes account of bank accounts, pensions, benefits, and the rest. Some of them are counted and some of them can be omitted; some disability-related benefits, for example, are usually neglected.

Why is this important? Because the result will decide if the local council will fund all, some, or none of the cost of care. A straightforward example proves the point. Somebody with no savings and low income might receive full or partial funding. Somebody who has high savings might be deemed to be a self funder and be asked to pay for it in full.

You should also know that there are different terminologies in use: local authority financial assessment for care, financial assessment for home care, and financial assessment for care at home. They all deal with the same means-tests but have very slightly different wording from one council to another.

Local authority financial assessment for care: the step-by-step process

How is it usually done? It is easiest to think about it as a process with milestones.

1. Referral and initial contact: Either you, a relative, or a specialist asks adult social care to carry out an assessment.
2. Assessment appointment: The person assessing you will ask you questions regarding income, savings, and typical expenditure.
3. Means test and calculation: National or local rules are used by the local authority to calculate how much you can pay.
4. Outcome and notification: You receive written notice indicating any payment owing and how to complain. 

What do you need to bring with you to the assessment? Bring proof of identity, recent bank statements, pension details, benefit award notices, and proof of property ownership if relevant. If money is in joint accounts, bring other people's documents or be prepared to explain how accounts are accessed.

Legal documents you need to prepare

Legal preparation is an insurance policy. What documents are obligatory? Start with a Power of Attorney, often abbreviated as LPA in England.

There are two general kinds of LPA. One is for property and finances, the other is for health and well-being. Naming a trusted person to look after money or to make health choices can avoid delay and distress in case you lose ability. Register your LPA with the Office of the Public Guardian far in advance of when you may need it.

And what about advance decisions? Also called advance directives, they are documents that enable you to state your wishes for future medical treatment. They are especially useful for people with chronic diseases. A clear directive is a guide for doctors and your family members.

Practical advice: choose solicitors who are reliable, advise them in advance, and file documents in the right place. Protect copies and share copies with key people, such as your solicitor and care provider. Where legal documents are in place, HTR Care can co-ordinate with your nominated representatives, subject to your consent, to make care arrangements consistent with legal authorities.

Funding options & financial planning for home care

Who pays, and how do you plan? There are several ways.

First, local authority funding following local authority financial assessment for care. When appropriate, the council pays partial or full charges for care. Second, NHS Continuing Healthcare can cover full charges if the person has mostly health care needs, and this is a separate assessment procedure. Third, benefits such as Attendance Allowance or Personal Independence Payment can cover daily expenses but are not for the purpose of direct care payments.

If you are paying yourself, be sensible: use savings, income from pensions, or equity release where appropriate. There are compromises with every option. Selling or downsizing property can raise money but has long-term consequences for housing security and inheritance.

When do you require expert advice? If you're considering equity release, large investments, or complex estate planning, consult a regulated financial adviser or solicitor. They can draw up a strategy to fund care needs and secure your finances.

To obtain advice on balancing needs and costs of care where an individual condition exists, check our article Home Care and Financial Concerns. 

Practical checklist: documents, timeline, and who to contact

Following is a brief, printable checklist to save and print prior to assessment or planning care.

Documents to gather:

• Evidence of identity for the person who needs care
• Most recent bank and building society accounts (3 months)
• Pension and payslips
• Benefit award letters (for example, Attendance Allowance)
• Property deeds or mortgage accounts
• Up-to-date care plans, diagnosis letters, and GP contact details
• Copies of LPA and will if in possession

Recommended timescale:

• Week 1: Gather the documents and request a local authority assessment
• Week 2 to 4: Attend the assessment and hand over any follow-up documents
• Week 4 to 8: Receive funding decision and plan date for care to start
• Ongoing: Review funding and legal documents annually or if your situation changes

Who to contact and when:

• Local authority adult social care for the assessment
• HTR Care for care planning, quotes, and assistance with the process
• Solicitor for LPAs and will
• Regulated financial adviser for complex funding options

How HTR Care helps your legal & financial planning for home care

HTR Care delivers hands-on support throughout each phase of the process. Our Home Care Services offer bespoke care plans and unambiguous cost quotations that you can present to the assessors or include in funding reports.

Need specialist staff? Our Care Staffing Agency can offer temporary or specialist carers for the period when assessments are scheduled, allowing continuity of care. If you are being discharged from hospital and returning home, we can make arrangements quickly so no break in support is lost.

We also assist families with preparation of documentation and can supply templates for the wording of consent needed by assessors. While HTR Care is not a legal expert, we often point to regulated solicitors and financial advisors who specialize in care funding and LPA registration.

Do not worry, we are registered with the Care Quality Commission at HTR Care. Our staff receives regular training in person-centred care, safeguarding, and medicines management, so we treat your information and documents sensitively and with care.

Conclusion

A little planning at this stage can prevent stress later on. Completing a Financial Assessment for Care, establishing Power of Attorney and advance decisions, and having knowledge of your funding possibilities will provide clarity and choice. Use the checklist provided above, make photocopies of key documents, and involve trusted professionals as required.

When you are ready, HTR Care can help arrange home care logistics and communication with assessors.

FAQs

Q1: How long does a financial assessment for care take?

Most local authority assessments start within a few weeks, with final decisions often issued in four to eight weeks depending on the council and paperwork required.

Q2: Will my home always be counted in a financial assessment?

Not always. Some councils disregard a property in certain circumstances, for example if a spouse continues to live there; rules vary, so check with your local authority.

Q3: What is the difference between NHS Continuing Healthcare and local authority funding?

NHS Continuing Healthcare covers full care costs when health needs are primary, while local authority funding is means-tested and based on social care needs.

Q4: Do I need a solicitor to make a Power of Attorney?

You do not have to use a solicitor, but many people prefer legal advice to avoid errors and to ensure the documents are correctly registered.

Q5: Can HTR Care help communicate with my local authority assessor?

Yes. With your written consent, HTR Care can liaise with assessors, provide care cost estimates, and supply documentation needed for assessments.