Date updated: 15/12/2023
A Financial Assessment will determine what level of support you will be able to get towards the cost of your Adult Social Care.
We will ask you to complete an initial financial assessment form. This will ask about your income and capital/savings. The information you give is used to calculate how much you need to contribute towards your care package.
Financial Assessments are carried out annually or sooner if your circ*mstances change (e.g. you must notify us if you receive an inheritance or if you stop receiving a pension or benefit).
It is not always necessary to conduct a full financial assessment. For example, if you have savings or wealth, do not wish to undergo a full financial assessment for personal reasons, or if your only income is from benefits. In these cases, a light touch financial assessment will be sufficient. If you do not complete the financial assessment, then you will be deemed eligible to pay for the full cost of your service and will be charged accordingly.
Information you need to provide for a financial assessment:
- Bank statements for the past three months (including savings, investments and other income, e.g. from renting property)
- Proof of benefits and or pensions (public and private)
- Utility bills (water, gas, electricity or telephone/internet)
- Proof of any disability related costs
How is my contribution calculated?
The amount you pay will depend on your income (assessed income) and any savings or wealth (level of capital) you may have.
The amount of income you would have left after we have allowed you enough money to cover:
- An amount that is equal to income support or pension credit plus 25% (Non-residential care only)
- An extra 20% of your disposable income – to make sure you are not left with a very low income (non-residential care only)
- Enough money to cover housing costs such as rent or mortgage payments, council tax, electricity, gas, maintenance or service charges, buildings and contents insurance and sewerage costs
- Enough money to cover agreed expenses related to your disability
- Personal expenses allowance (residential care only)
This rate is set annually by ministers. It is a minimum amount of income that you must be left with after charges so that you have enough money to spend on personal items such as clothes and other items which are not part of your care. Not all income is taken into account when we work out how much you need to pay.
We won't consider the following as part of your income:
- The mobility element of Disability Living Allowance
- Housing or Council Tax Benefit (non-residential only)
- War pension or war widows’ pension
- Earnings from current employment
If you have capital such as savings or a property, then this will be reviewed in line with the Care and Support (Charging and assessment of resources) regulations 2014.
The value of your home will be disregarded if you are receiving care in a setting that is not a care home or where a qualifying relative occupies this property as their main or only home. If you are in residential care and have more than the upper limit in capital, which is currently £23,250 (after any disregards) you will be asked to pay for the full cost of your care.
If you are receiving care in another setting and have more than the upper limit of £34,875 in capital (after any disregards) you will be asked to pay for the full cost of your care. If you have less than £14,250 (lower limit) you will not need to contribute towards the cost of your care package. If you have between the lower and upper limits, we will add £1 per week to your assessable income for every £250 that you have above £14,250 (e.g. if you have savings of £17,750, you would contribute £14 towards the cost of your care from your capital.
If you do not agree with your assessed contribution you should speak to either your social worker or by calling the Adult Social Care Team on 020 7332 1224. They can arrange for your financial assessment to be rechecked.
