Autumn Budget

[rbrowning2]

how long was he in care if only a few weeks or he used his savings to cover the care costs before he died then that may be why the house was not needed for care costs. or given it was eight  years ago the council may not have been as aggressive as they are now at getting the money back.

Really beginning to think it is time to sell and down size and enjoy the money released before to old to enjoy it.

[oowee]

4 minutes ago, rbrowning2 said:

how long was he in care if only a few weeks or he used his savings to cover the care costs before he died then that may be why the house was not needed for care costs. or given it was eight  years ago the council may not have been as aggressive as they are now at getting the money back.

Really beginning to think it is time to sell and down size and enjoy the money released before to old to enjoy it.

You should do it. 

[rbrowning2]

3 minutes ago, oowee said:

It's only right that we all pay for our own care. 

interesting view, but look at the cost of housing today, my first house was £36,000 now what’s a first house £200,000 plus?

what hope have are children of ever owning their own home, if they cannot benefit from working all my life to pay for my house to give them money to be able to buy their own house? We will end up as a country of renters with less and less home ownership. Plus I bet the very rich find ways of avoiding their homes or assets going to care costs as they do their tax liabilities, via trusts or foreign banks or property or such like.

[oowee]

4 minutes ago, rbrowning2 said:

interesting view, but look at the cost of housing today, my first house was £36,000 now what’s a first house £200,000 plus?

what hope have are children of ever owning their own home, if they cannot benefit from working all my life to pay for my house to give them money to be able to buy their own house? We will end up as a country of renters with less and less home ownership. Plus I bet the very rich find ways of avoiding their homes or assets going to care costs as they do their tax liabilities, via trusts or foreign banks or property or such like.

There is also the tax and costs associated with the down size. We currently have very high levels of home ownership and its in the psyche. Nothing wrong with renting. With the current tax on rental property purchase and sale and the shift of law to benefit renters landlords are in a difficult spot. 

You don't have to be rich to set up a trust.

[marsh man]

28 minutes ago, rbrowning2 said:

how long was he in care if only a few weeks or he used his savings to cover the care costs before he died then that may be why the house was not needed for care costs. or given it was eight  years ago the council may not have been as aggressive as they are now at getting the money back.

Really beginning to think it is time to sell and down size and enjoy the money released before to old to enjoy it.

You could be right on both accounts , It was only a matter of months he was in care, and as far as I know none of his children had access to his bank book(s) , all I know is they took his pension books and he could well have topped it up himself for whatever the difference was , something I will never know and after eight years not that bothered neither .

At the moment I can manage in my bungalow both with the finance and the upkeep but for how long is any ones guess as the big 80 is getting closer by the day and sooner or later I will no doubt need some help to do certain things , still enjoy life while you can as nothing will last forever .    MM

 

[shaun4860]

My advice (from a non financial expert) would be,

If you’re of advancing years and own your own house then put it in the kids names now with a caveat that you live there rent free for the rest of your life.

[Weihrauch17]

3 hours ago, grahamch said:

Plenty of areas to cur spending in - overseas aid, asylum seekers budget for a start 

£12 Billion overseas to help fight climate change and £8 Billion for Milliband's none productive Quango GBE, Jesus Christ how on earth can they justify that to inflict crippling tax rises.

Edited August 27 by Weihrauch17

[Weihrauch17]

8 minutes ago, shaun4860 said:

My advice (from a non financial expert) would be,

If you’re of advancing years and own your own house then put it in the kids names now with a caveat that you live there rent free for the rest of your life.

Not sure that is a thing (the caveat).  We gifted our daughter 35k for a house deposit, just need to live another 3 years for that to be free from tax as things stand,  I wouldn't trust Reeves with anything.   I didn't take my full 25% lump sum on retirement because I needed the money to give a  return to live on, I may take the balance if they propose to scrap it.  If inheritance tax goes up I will be gifting as much as I can whilst balancing what we need to live on.  With Labour seemingly not to give a toss about inflation working that out is nigh on impossible.

1 hour ago, oowee said:

It's only right that we all pay for our own care. 

Most care is needed because of Dementia which is a disease just like Cancer, so no you are wrong.  Are Cancer patients charged for their care?

[oowee]

5 hours ago, Weihrauch17 said:

Not sure that is a thing (the caveat).  We gifted our daughter 35k for a house deposit, just need to live another 3 years for that to be free from tax as things stand,  I wouldn't trust Reeves with anything.   I didn't take my full 25% lump sum on retirement because I needed the money to give a  return to live on, I may take the balance if they propose to scrap it.  If inheritance tax goes up I will be gifting as much as I can whilst balancing what we need to live on.  With Labour seemingly not to give a toss about inflation working that out is nigh on impossible.

Most care is needed because of Dementia which is a disease just like Cancer, so no you are wrong.  Are Cancer patients charged for their care?

None of it comes free. There is no magic money tree. 

You can gift your house to your kids now. 

[JohnfromUK]

4 minutes ago, oowee said:

You can gift your house to your kids now.

You can, but there are considerable risks;

1. You then either have to live somewhere else - or pay the new owners rent on fully commercial terms - i.e. no 'family discounts etc.
2. Your kids own the property - and should you have a falling out, can evict you, sell the property ........
3. Should you need care, the local authority can try to demonstrate that you gave away the asset to avoid it being used to pay for your care - and may succeed
4. If your kids get in financial trouble, their assets cab be seized including the house
5. Overall, it is not risk free - and you should get proper advice

[bruno22rf]

7 hours ago, shaun4860 said:

My advice (from a non financial expert) would be,

If you’re of advancing years and own your own house then put it in the kids names now with a caveat that you live there rent free for the rest of your life.

I believe that you have to do this at least 7 years before you need care - I also seem to recall reading that, if the council can prove that you have done so to avoid paying care costs they can still seize the property?

[Zoli 12 guage]

1 hour ago, oowee said:

None of it comes free. There is no magic money tree. 

depends on who you are as far as "money trees" go ow'd bean!

get off the banana boat at Dover and there's no problem,no matter what you need, accessing ANY TYPE of medical care, accommodation or benefits that you haven't contributed to attaining.

BUT, while you're in Frog land you get **** all!!!!!!!

how's that work then when SUPPOSEDLY,we all have to adhere to the same ECHR rules🤔🤔🤔🤔

[JohnfromUK]

1 minute ago, Zoli 12 guage said:

we all have to adhere to the same ECHR rules

Correct - in principle - but all nations "interpret" the law differently.

[Zoli 12 guage]

8 hours ago, Weihrauch17 said:

£12 Billion overseas to help fight climate change and £8 Billion for Milliband's none productive Quango GBE, Jesus Christ how on earth can they justify that to inflict crippling tax rises.

don't know how old you are or what you know regarding previous Liebour governments,but this is what they do and have always done👍

if you're a workshy sponger you'll always do well but if you've made something of your life you get robbed blind to fund the above described.😡😡

this is the only country in the world that,if you've got now't you get EVERYTHING for free but if you've worked to better yourself and actually done well,you fund the "have nots" and also fund yourself 👍

 

Edited August 28 by Zoli 12 guage

[Penelope]

12 hours ago, grahamch said:

Plenty of areas to cur spending in - overseas aid, asylum seekers budget for a start 

They won't short change their 'clients'.

[oldypigeonpopper]

Hello, I sometimes wonder if it was all worth the trouble of working over 50 years, Saving hard, Buying a property, Putting some money away for retirement even while bringing up a family , Helping your children into their own homes , While some of those who I went to School with never did the latter and live better than I do, Looking at those programs Brits Abroad seem very tempting🤔

Edited August 28 by oldypigeonpopper

[JohnfromUK]

1 minute ago, oldypigeonpopper said:

Hello, I sometimes wonder if it was all worth the trouble of working over 50 years, Saving hard, Buying a property, Putting some money away for retirement even while bringing up a family , Helping your children into their own homes , While some of those who I went to School with never did the latter and live better than I do, 

It's an interesting question - and I think 'why' one behaves the way one does is very much how you have been brought up.

I was brought up to believe that 'income' and 'capital' were in effect different.  It is now a rather old fashioned view I think.

You earned money (income) to pay for your daily living and you also 'saved' income into capital where there was a surplus for 'a rainy day', big expenses, pension.  Once it had been saved it was in effect paid out of 'income' and into 'capital'.

Capital was ring-fenced.  It was not to be used for day to day expenses (except in dire emergency) - but was for specific future plans - new car, building work, new house, pension etc. 

Many bank accounts even now have a 'current' and 'savings' section that are linked, but otherwise separate.  Current is used for day to day spending, debit card, standing orders, direct debits etc.   Savings pays interest and isn't so easy to spend from.

I was taught to move money (monthly) into my savings account and from there periodically into pensions, ISA etc.

I can remember my father (who was generous in help when asked ....... but had to be asked) when helping me saying "remember I won't always be here, so build your own  security financially".  That I have done.   I don't mind paying my normal taxes from my income and on my spending to help the elderly, disabled, and sick, pay for the NHS, Armed Forces, infrastructure etc.  However it makes me very angry when 'the State' effectively 'steals' from the savings and security that I have built up (it took me 40 years of work paying in almost every month - and sacrifices were made to do that) and 'gives it away to public employees, train drivers etc. who are already well paid and better that I was for much of my working life and the bone idle who could work, but choose not to.

[oowee]

1 hour ago, oldypigeonpopper said:

Hello, I sometimes wonder if it was all worth the trouble of working over 50 years, Saving hard, Buying a property, Putting some money away for retirement even while bringing up a family , Helping your children into their own homes , While some of those who I went to School with never did the latter and live better than I do, Looking at those programs Brits Abroad seem very tempting🤔

Many of those immigrants (Brits abroad) are flooding back to UK as they have to pay for health care abroad now. 

[oldypigeonpopper]

2 minutes ago, oowee said:

Many of those immigrants (Brits abroad) are flooding back to UK as they have to pay for health care abroad now. 

Hello, That was the only downside I found out with a lot of X Pats, What happens if you sold up and now have no where to live ?, 

[TIGHTCHOKE]

9 minutes ago, oldypigeonpopper said:

Hello, That was the only downside I found out with a lot of X Pats, What happens if you sold up and now have no where to live ?, 

You have to buy somewhere, rent or set yourselves on your family.

[marsh man]

4 hours ago, JohnfromUK said:

You can, but there are considerable risks;

1. You then either have to live somewhere else - or pay the new owners rent on fully commercial terms - i.e. no 'family discounts etc.
2. Your kids own the property - and should you have a falling out, can evict you, sell the property ........
3. Should you need care, the local authority can try to demonstrate that you gave away the asset to avoid it being used to pay for your care - and may succeed
4. If your kids get in financial trouble, their assets cab be seized including the house
5. Overall, it is not risk free - and you should get proper advice

Some sound advice above and some things I had never gave it a thought , you get arguments in every family from time to time and even more so when money is involved  , I would hate the thought of signing my house over to the daughter or grand children and they could turf me out of my own home if we had a fall out , no thanks , it have taken me a lifetime to buy my own little bungalow and to save enough money to live debt free and within reason live and spend how I want to , the last thing I want to worry about now, is how to avoid paying tax on any handouts or signing my house over to avoid paying for my care if needed , I now try to enjoy life as it come and face each challenge when I come to it .    MM

[oldypigeonpopper]

3 hours ago, Zoli 12 guage said:

depends on who you are as far as "money trees" go ow'd bean!

get off the banana boat at Dover and there's no problem,no matter what you need, accessing ANY TYPE of medical care, accommodation or benefits that you haven't contributed to attaining.

BUT, while you're in Frog land you get **** all!!!!!!!

how's that work then when SUPPOSEDLY,we all have to adhere to the same ECHR rules🤔🤔🤔🤔

8 more boat loads yesterday !!!!!

[JohnfromUK]

11 hours ago, shaun4860 said:

put it in the kids names now with a caveat that you live there rent free for the rest of your life.

It is my understanding that for a "Transfer" to have occurred in HMRCs eyes such that you would be able to use the 7 year rule to take it out of your estate for inheritance tax purposes - you must not retain any beneficial interest. 

That means you MUST pay a commercial rent which must be fully disclosed (and any tax due paid) by the landlord and you would be well advised to have all legal tenancy agreements in place.

It is something that (if anyone is seriously considering it) you need to be very careful to get legal advice and make sure you have it all watertight.  Both HMRC (and potentially the Local Authority if care costs are involved) will not pass these things through without close scrutiny and unless they are absolutely watertight - they can be a very expensive mistake.

[old man]

15 hours ago, oldypigeonpopper said:

Hello, I can just imagine all the very very wealthy will be phoning their Accountants ASAP 🤔

Yep, Offshore money is king.

[JohnfromUK]

3 minutes ago, old man said:

Yep, Offshore money is king.

Remember previous governments have restricted how much you can take overseas (exchange controls). I think controls were removed by Mrs Thatcher, but in the 60s you were limited to £50 (Wilson's time and around £700 now) 'holiday money' without Gov't permission.