What Happens After 3 Years Under the Fair Deal Scheme?

 

Nursing Home Support Scheme, alternatively Fair Deal, the scheme that assures financial support to the aged section of the Irish population, has saved many applicants through subsidised long-term nursing home care. However, not everyone can make sense of the information and criteria associated with it. Some applicants feel they are too cumbersome and confusing, often causing stress to anyone who tries to decipher them. Too many questions pop up in their mind, and thankfully, advisory services such as Fair Deal Advice takes care of them. One such query you may come across is – what happens if a beneficiary successfully completes 3-years under the Scheme?

Do you continue to enjoy the scheme benefits after the period? Do you have to pay more towards the cost of contribution? These are some of the doubts you may have in mind. Find convincing answers to them in this post today.

The Scenario After Completing 3 Years Under Nursing Home Support Scheme

While conducting the financial assessment, the 7.5% contribution calculated over certain asset values such as farm, home, and proceeds from the sale of a home is locked in for up to 3 years. Post this, no further payment is expected of scheme beneficiaries. Long-term nursing home care also continues to flow in. This is primarily due to the recently introduced 3-year cap, whereby the worth of the stated assets is considered only for 3-years while calculating the 7.5% contribution based on these assets.

This contribution percentage drops to 3.75% per year in the case of couples, payable for a maximum of 3 years. Therefore, the aggregate figure stands at 11.25% of the property’s value. Once it is cleared, they are entitled to pay nothing but still enjoy appropriate care in their choice of the nursing home.

As for home, the financial assessment shall no longer consider this asset after completing 3-years. And the best part? You do not need to do anything from your end to achieve it. Finishing the tenure is enough to qualify for it. This 3-year cap also applies to net proceeds from the sale of the house while the beneficiary is under nursing home care.

Now, what if the beneficiary of the scheme is a family-owned farm or business owner? They too can enjoy the benefits rendered by a 3-year cap on meeting certain conditions:

• The beneficiary actively operates the farm for a minimum of 3 years of the past 5-years
• The beneficiary had applied to the HSE to appoint a family successor who has committed to run the farm or business for a minimum of 6-years

Postscript:

Do you still have doubts in mind? Do not hesitate to have a word with advisors who specially deal with Fair Deal and Nursing Home Loan Scheme cases. Fair Deal Advice in Ireland is one such organisation where the consultants answer the applicant queries and drive away their confusion. They will merrily do so in your case, leaving you encouraged and confident while applying for the scheme.

Fair Deal Funding: The Complete Nursing Homes Support Scheme Guide

 

Do you or an elderly member of your family need long-term care in a nursing home setting? But, are you perplexed about how to cover the most burdensome of medical costs? The NHSS, popularly known as Fair Deal, is a government financial support scheme for Irish residents who need long-term care. Under this scheme, the patient pays part of the nursing home fees and the HSE pays the balance.

Wondering what the Fair deal is all about? Check out the nursing homes support scheme guide below for a detailed insight.

What Does The Fair Deal Scheme Cover?

The government financial support scheme covers long-term nursing home care only. The Fair Deal covers a great level of care appropriate to the individual as well as a bed, laundry, and board service. Also, it covers certain therapeutic activities and some appliances and aids needed to assist with the activities of daily living. If an individual has a medical card, it should cover the cost of aids, appliances, and medical care like medication and GP charges.

The Fair Deal does not cover:

·       Short-term care like a convalescent, respite or day-care

·       Additional fees are charged by the nursing home for several services like activities, hairdressing, or therapies

Ensure you ask the nursing home what additional fees will have to be paid. These will have to be agreed upon and included in your contract.

What Is The ‘Three-Year Cap’?

Some assets are included in the financial assessment for only the first 3 years when you are in care. It is known as the ‘three-year cap’. This means that you have to pay a 7.5% contribution based on the value of certain assets for up to three years. These assets could include:

·       Your house

·       The proceeds of the sale of your house

·       Your business or farm

After the completion of three years, you will not give any more payment on these assets, even if you still get long-term care at a nursing home. Keep in mind that all other assets will be considered for as long as you are in nursing home care. In case you have already been in a nursing home for three years when applying for the Fair Deal Scheme, you do not have to pay the 7.5% payment on your home. 

How Long Does It Take To Receive The Fair Deal Funding?

When it comes to Fair Deal, the waiting period can vary depending on individual circumstances. If a person got admitted from the community to a nursing home before the Fair deal application was approved, the nursing home care expenses will be borne by the patient or their family. The HSE will not cover the cost.

If the person is admitted from a hospital, the hospital might have access to a transitional care bed in a nursing home to which the individual can be admitted while the application is being processed. If there is no availability of transitional care beds, the hospital might apply for temporary funding from the local Fair Deal office. Remember; this funding isn’t automatically given.

The elderly individual or their representative should always ask about this to ensure the hospital applies for the funding otherwise the nursing home will just bill the individual or their representatives. An individual can apply for the scheme before entering the nursing home and in several ways, this is preferable since it will give both the elderly and/or their carer time to select the nursing home that perfectly suits their needs.

Final Words:

Now that you are aware of everything with this nursing home support scheme guide, what are you still waiting for? It’s time to apply for the Fair Deal and get financial assistance! 

Nursing Home Support Scheme Guide for Farmers

Farmers have been fighting for fairness in Fair Deal Scheme implementation for years now. Before, there was no clarity on inclusions under sudden illness or disability. Most farm families avoided the Nursing Home Support Scheme fearing loss of business value. The farmers really hoped for the financial assessment to be reduced to 3 years. They were constantly living in anxiety over being disqualified from the 3-year cap had they cared more about their loved ones at home. So, you can imagine how “fundamentally unfair” it appeared back then.

Things have changed for the better now. If you belong to the farm family, operate its business and looking to update yourself on the changes brought forward by the HSE, go through this Fair Deal Nursing Home Scheme guide. The upcoming sections have them highlighted for your convenience.

3-Year Cap on Family-Owned and Operated Farm Business Assets

A 3-year cap, in simple terms, implies the inclusion of assets in the financial assessment for the first three years that you are under nursing home care. So, if a beneficiary of the scheme from a farming background pays a 7.5% contribution of their aggregate asset value, it shall be limited to 3 years. A farmer is not entitled to further payments after 3-years despite the person receiving long-term nursing home care.

How to Make Your Family-Owned Farm Business Eligible for the 3-Year Cap?

Enlisted are the conditions to satisfy to qualify for the 3-year cap:

·        The owner and operator of the farm business must apply to the Health Service Executive (HSE) to appoint a family successor who commits to run the trade for a minimum of 6 years.

·        The applicant must actively run the farm business from on day-to-day basis. In the absence of the person, his partner or a proposed family successor is allowed to look after it. This should be a practice for the past 3-years, if not 5-years.

·        The successor must be at least 18 years of age and either your partner, that of your relatives or a relative himself/ herself.

·        The farm property must have a charge in favour of the HSE.

If you have ticked off all the qualifying criteria, you have safely made your way into the 3-year cap. However, please take note of the fact that you have the option of taking up the Nursing Home Loan Scheme only if you have a land-based asset in Ireland. The rest of the rules are more or less the same for all applicants, irrespective of background.

Closing Thoughts:

If you have drawn significant insights from this post and these have been helpful, come back more often for Nursing Home Support Scheme advice. You may even seek the advisory services from Fair Deal Advice, a treasure trove of information on the Fair Deal Scheme in Ireland. You can greatly benefit from their consultations in exchange for a nominal fee.

Know Your Rights Under Fair Deal Scheme

 

The Fair Deal Scheme in Ireland has saved many Irish citizens by being their payment support when availing of nursing home care, but does that imply you have no right over it? Are the terms and conditions so closed-ended? Thankfully, it’s not how many envisage it from the outset. Today, we shall look into it from the perspective of an applicant.

What Are Your Rights Under Nursing Home Support Scheme?

Let’s list them down one by one for better clarity so that you can question wrongdoings straightaway if anything unfair happens.

• Choosing nursing home

So, the first and foremost right every applicant enjoys is the right to decide among private, public and voluntary nursing homes. However, two conditions must be met, and those have been laid keeping the best interest of applicants in mind:

1. The nursing home must have a vacant place to accommodate a patient seeking long-term nursing home care
2. The nursing home must have adequate facilities to cover your needs.

When researching the best nursing home in your locality, you can visit it. Make sure you book an appointment beforehand. If the one you choose has a long waiting list, you have every right to temporarily switch to another healthcare facility and later shift back when there’s a place available. The scheme values the preferences and personal values of applicants.

• Apply for a Nursing Home Loan Scheme

According to the Nursing Home’s Support Scheme guide, applicants who are cash poor but asset rich can delay paying of Nursing Home Support Scheme cost of care at a later date by using their assets to secure the loan. There is no hard and fast rule on repaying it during one’s lifetime. Upon death, the HSE collects it from the value of land, house or property. Partners living in that home after the applicant’s death can further defer the payment by applying for it.

Now, these are rights, which applicants can easily figure out though a little guidance proves beneficial. However, if you think carefully, you will understand that the Fair Deal Scheme is in itself a choice. The State can never compel you to apply for it unless you wish for it.

Closing Thoughts:

From the discussion, it’s evident that the scheme is not over-imposing. There are areas where applicants have a say. It’s very much open-ended, and a reason why it’s so popular among the Irish elderly citizens. Don’t forget to seek the independent advice of Fair Deal advisors for the process to be a cakewalk!

Fair Deal Ireland-How The Nursing Home Loan Scheme Works in 2022

 

Are you wondering whether you should use the Nursing Home Loan Scheme to leverage your vacant home to activate the secured loan provided by the Revenue? This gives you a clear picture from a reputed nursing home support guide to help you understand the new updates to the scheme and the 3-year cap.

The Fair Deal Scheme in 2022: The 3-Year Cap on Productive Assets

The Nursing Home Support Scheme-Fair Deal is based on the financial capacity and nursing home care needs of individuals. The state assistance only works as a supplement for the cost of nursing home care for eligible individuals. The nursing home resident contributes a weekly amount based on their means, toward the cost of their care, and the state covers the balance.

A means-tested programme, the Fair Deal State Assistance Nursing Home Support Scheme, is available depending on the applicants' financial situation. The capital value of an individual's principal private residence is only taken into account for the first three years of their time in care when determining their means.

It is only recently that the new Amendment passed in February 2022 made the 3-year Cap available to productive assets as well, such as farms and businesses. Previously, nursing home residents had to pay an annual 7.5% and couples had to pay 3.5% of the current value of their assets for as long as they received nursing home care, until and unless the applicant suffered a sudden and unexpected illness requiring long-term nursing home support.

Furthermore, the three-year cap now also applies to proceeds from the sale of an individual's principal primary residence. This means that after three years, the proceeds from the sale of a nursing home resident's family home are not included in the financial assessment for the Fair Deal Scheme.

Who Needs The Nursing Home Loan Scheme?

This loan, also known as ancillary state support, is provided by the Revenue and spearheaded by the HSE to people in nursing homes who have assets such as land and property.

The loan allows Fair Deal Scheme users to postpone paying for their care until after their lifetime. Securing the loan with these assets During your stay in the nursing home, you will not be required to pay your contribution against the property, and the entire cost will be deducted from your estate after your death.

Applicants must provide written consent to have a charging order registered against their assets when applying for this loan. If they are unable to do so, it will require them to appoint an enduring power of attorney.

Nursing Home Scheme Guide For Loan Support

Ever since the 3-year cap came into effect, it has changed a lot of things for individuals looking for a nursing home loan scheme. Because signing up for this scheme would mean mortgaging the house or farm to the revenue, the homeowner would not be able to pass on the house to their children.

It's worth noting that the financial assessment considers any assets given away in the five years prior to applying for the Fair Deal Scheme. But if you are taking the loan support, your house or farm will still work like it used to, rendering the 3-year cap inapplicable since your home will be under the mortgage.

At the end of the day, you must decide whether you require a nursing home loan or whether you can afford the annual payment for three years and then have your family acquire the home. It's a good idea to look at the Nursing Homes Support Scheme Guide before applying for it. Because you will have a negative impact on your record if you try to sell your house or pass it on to a successor after you have submitted your application.

Father in Nursing Home & Mother Living in Family Home: How Can Fair Deal Scheme in Ireland Help?

 

Situations, where a father is in dire need of long-term care whereas the mother continues to occupy the family home, are common. Is your family undergoing a similar state of affairs? Are you seeking valuable advice on the same? Luck is on your side today. Enclosed here is the resolution explaining the options under Fair Deal Nursing Home Scheme.

How Can Fair Deal Scheme in Ireland Assist in Overcoming the Stressful Situation?

Families living in Ireland often fall into such circumstances. Father draws a pension, whereas the mother feels anxious, fearing her house to be sold off from under her. The best way to approach such a circumstance is by following the steps below:

v  Applying for Nursing Home as soon as possible. Experts recommend to do so at the earliest because the scheme takes a week or a month to set up and initiate.

v  Sit for a Needs-Based Assessment, whereby a doctor or a social worker will certify the urgency for long term residential care despite the community and family support.

v  Once the Health Service Executive (HSE) is convinced of the Father’s incapacity to live in his home, the applicant has to undergo a Financial Assessment to check the amount of contribution towards of cost of care. The State bears the extra expense above the agreed sum at the nursing home of the applicant’s choice.

v  If the mother continues to stay at home, the applicant or the father here, has to pay 40% of the joint annual income. A separate bill on assets is also charged, which is 3.75% every year against them.

v  Under assets, the valuation of land, property and savings are taken into consideration. However, one thing is assured – the house will not be sold, and the mother can continue living there.

v  Regarding payment, the applicant’s family can settle the debt part by part every year or defer it until both the parents pass away. This is where the Nursing Home Loan Scheme makes sense.

We bet all of the above sounds simple, but applicants can always speed up the process by paying extra fees to an advisor and making the person run the calculations on their behalf. They can also rely on the experts to complete the application form and take the load off their shoulders.

Postscript:

Fair Deal Advice is one such advisory body, offering one-to-one consultations to those willing to seek the services of an advisor to enjoy the benefits of the Fair Deal Nursing Home Scheme in Ireland. Book an appointment to get more such queries answered and tread on the best way to progress with one of your parent’s health without the other going homeless!

What are the Expenses Towards Fair Deal Nursing Home Scheme in Ireland?

 

Ireland has been in a demographic sweet spot over all these years. However, its population is ageing and this is going to exert more pressure on older people. They would require ample care for their well-being. By 2051, Irish citizens of 65 years and above will shoot up to almost 1.6 million. Families are starting to look for ways to protect themselves financially.

Thankfully, much of the stress is being alleviated by Fair Deal Nursing Home Scheme! Novices are more likely to be curious about their health expenses towards it. This blog post is dedicated to them. If you are new to it and need an estimate of the overall cost of nursing home care, now is a good chance. Read on to find out how much should you keep aside to fulfil your care needs and live an independent life when moving from hospital to long-term care.

Estimating the Cost of Living in Nursing Homes for Long Term Care

For those who have enrolled themselves under the Fair Deal Scheme, the estimation starts during step three of the Fair Deal application process at the time of financial assessment. Under this step, the Health Service Executive (HSE) checks how much can an applicant pay for the nursing home care. In the process, the income and assets of the person are examined which includes all the factors below:

Ø  Income from dividends, fees, interests and commissions

Ø  Pension

Ø  Transferred income

Ø  Rental income

Ø  Earnings

Ø  Income from directorship or holding an office

In cash assets, the following is evaluated:

Ø  Securities, stocks, shares and miscellaneous financial instruments

Ø  Loans from another person

Ø  Deposits and savings

Ø  Retirement funds

Ø  Cash asset transfers to a third person over the last 5 days

Among non-cash assets, the following is reviewed:

Ø  Business(es)

Ø  Home

Ø  Land and property overseas

Ø  Anything that you own, it can be land or property

Now comes the most important part – who pays how much. An applicant is expected to pay the following:

v  80% of one’s income

v  7.5% of one’s overall asset value

However, applicants who are part of couples, enjoy a rebate with HSE expecting only 40% of their income and 3.75% of their asset value for a maximum of 3 years. If both are under nursing home care, the contribution is capped at 22.5%. This 3-year cap is applicable on selected assets only like homes, farms, businesses and proceeds from the sale of a home.

The best thing about enrolling under Nursing Home Support Scheme is that after assessing the financial condition of an applicant, the HSE chips in by paying the rest of the amount towards the cost of care. So, one thing is for sure – the State shall bear the burden partially, thereby bringing down the expenses to a reasonable amount.

Wrapping up:

In the end, all we can say is that the expense that goes towards fulfilling long term nursing home care is not fixed but variable. It depends a lot on one’s income and asset value. Get an estimate of yours from Fair Deal Advice – the advisory service provider, responsible for calculating the contributions of applicants under the Fair Deal Nursing Home Scheme.