YOUR FINANCIAL CONTRIBUTION TO NURSING HOME CARE
Having reviewed your income and assets, under the Financial Assessment process the HSE will work out your financial contribution to your care. You will contribute 80% of your assessable income and 7.5% of the value of any assets per annum (5% of assets if the application was made prior to the 25th July 2013).
However, the first €36,000 of your assets, or €72,000 for a couple, will not be counted at all in the financial assessment. Where your assets include land and property in the State, the 7.5% contribution based on such assets may be deferred and collected from your estate. This is an optional Nursing Home Loan element of the scheme which is legally referred to as “Ancillary State Support”.
Your principal residence will only be included in the financial assessment for the first 3 years of your time in care. This is known as the 22.5% (15% if application was made prior to the 25th July 2013) or ‘three year’ cap. It means that you will pay a 7.5% contribution based on your principal residence for a maximum of three years regardless of the time you spend in nursing home care.
After 3 years, even if you are still getting long-term nursing home care, you will not pay any further contribution based on your principal residence. This ‘three year’ cap applies regardless of whether you choose to opt for the Ancillary State Support (detailed below in Section 4.) loan or not.
There are important safeguards built in to the Financial Assessment which are worth noting.
Nobody will pay more than the actual cost of care.
You will keep a personal allowance of 20% of your income or 20% of the maximum rate of the State Pension (non-Contributory), whichever is the greater.
If you have a spouse/partner remaining at home, he/she will be left with 50% of the couple’s joint income or the maximum rate of the State Pension (non-Contributory), whichever is the greater. i.e. the person’s spouse/partner who remains at home in the principal private residence must not be left with less than the maximum rate of the state pension (non contributory).
For Further Information on the Scheme and a Fair Deal application form, please contact the FirstCare Support Office on (01) 2020799.