Benefits in Care Homes
What happens to my benefits when I move into a care home?
When you move into a care home, with or without help from the council, most of the pension and benefit income you receive won't change. This income will be taken into account if we're assessing how much you'll need to contribute towards your care home costs.
There are, however, some exceptions as outlined here.
Care component
Normally you cannot be paid the following benefits after the first 28 days in a care home:
This is because the care provided for you is being paid for out of public funds.
However, if you pay the fees for the care home yourself, without funding from the council, or if you're receiving temporary funding which will be repaid in full (most likely because you're selling your home and have a deferred payment agreement with the council), you'll continue to receive your AA, DLA care component or PIP daily living component.
Mobility component
DLA and PIP mobility components are not affected when you move into a care home and you'll continue to be eligible for these benefits.
However, if you have a mobility car which you give up when you move into residential or nursing care, you may no longer have an entitlement to receive the mobility component.
The amount you receive will usually only change:
If you've claimed any benefits as a couple (with your spouse/partner) - for example, Pension Credit or Income Support - it's important that you inform the Department for Work and Pensions that you've moved into a care home on a long-term basis. This is because you and your partner will now both be classed as single persons for benefits purposes.
If you're in receipt of an occupational or personal pension and your spouse/civil partner remains at home, we'll only include half of this income in your financial assessment, assuming that you pass the other half to your spouse/civil partner.
There are, however, some exceptions as outlined here.
Disability benefits
Care component
Normally you cannot be paid the following benefits after the first 28 days in a care home:
- Attendance allowance (AA)
- Disability Living Allowance (DLA) care component
- Personal Independence Payment (PIP) daily living component
This is because the care provided for you is being paid for out of public funds.
However, if you pay the fees for the care home yourself, without funding from the council, or if you're receiving temporary funding which will be repaid in full (most likely because you're selling your home and have a deferred payment agreement with the council), you'll continue to receive your AA, DLA care component or PIP daily living component.
Mobility component
DLA and PIP mobility components are not affected when you move into a care home and you'll continue to be eligible for these benefits.
However, if you have a mobility car which you give up when you move into residential or nursing care, you may no longer have an entitlement to receive the mobility component.
Income support, income-based job seekers allowance (JSA), income-based employment support allowance (ESA)
The amount you receive will usually only change:
- If you have capital between £6,000 and £10,000 your benefits will increase because 'tariff income' will no longer apply after you move into a care home.
- If you have capital between £10,000 and £16,000, the 'tariff income' is reduced and so your benefits will increase.
Joint benefits
If you've claimed any benefits as a couple (with your spouse/partner) - for example, Pension Credit or Income Support - it's important that you inform the Department for Work and Pensions that you've moved into a care home on a long-term basis. This is because you and your partner will now both be classed as single persons for benefits purposes.
Occupational and personal pensions
If you're in receipt of an occupational or personal pension and your spouse/civil partner remains at home, we'll only include half of this income in your financial assessment, assuming that you pass the other half to your spouse/civil partner.
More about paying for residential care
Related pages
- Adult Care charging policy for Rochdale Borough Council
- Adult Care Services
- Benefits, employment, housing and money advice
- Getting independent financial advice
- Someone to speak on my behalf (advocacy)
- Managing someone else's affairs
- Our Rochdale service directory, information on adult care service for Rochdale residents and their carers
- Paying for non-residential care
- Paying for residential care
- Request a care and support assessment or carers assessment
