Inheritance lump sum

lasw

Hello everyone, this is my first post on here and I’m wondering if anyone has any experience or advice on a financial matter. 

I’m mum to my almost 30 year old son who has severe autism and learning difficulties. He has a comprehensive care package funded by social services and spends a few days a week at his supported living and the rest of the time with me. I am his appointee for his benefits as he lacks mental capacity to deal with his own finances. 

He has been made a beneficiary in his godfather’s will - he died a few months ago and this inheritance was unexpected. 
It will be a lump sum (don’t know how much exactly but perhaps around £25,000). It has not been left in trust. 

I need some advice as I’m so worried that my son will lose all his funding for his services and care and ultimately will have a huge negative impact on his life. 
Has anyone any insight into this situation? 

I’d be so grateful for any help. Thank you

MW123

@lasw  

If your son is receiving means-tested benefits such as Income Support, Jobseeker's Allowance, or Universal Credit, an inheritance could very well affect these benefits. The inheritance will be treated as capital, and if it exceeds a certain threshold, it could lead to a reduction or loss of benefits. 

The funding for social care services provided by social services could also be means-tested, and an inheritance might be taken into account when assessing eligibility. 

While the will did not establish a trust, you may want to explore the possibility of setting up a discretionary trust for your son's benefit. This could potentially help protect the inheritance from being fully considered as his capital for means-testing purposes. 

It's important to act promptly to ensure that any decisions made align with current regulations. Contacting a solicitor or advisor with experience in disability law and benefits would be a wise step in navigating this situation.

lasw

Thank you. 

I’ve contacted a solicitor and they’re quoting £150 plus vat per hour for initial meeting and £1500-£2500 costs plus £371 court fee to get made his deputy! 

I’m so worried and scared by it all 😩

MW123

@lasw
As a solicitor, I find the quoted legal fees to be very reasonable. However, I strongly recommend verifying that your solicitor has in-depth expertise in current disability and benefit laws. While I have confidence in their qualifications, it's essential to acknowledge the specialised knowledge required in this legal area, and it's always prudent to double-check.

lasw

Thank you. 

How can I check if they have the appropriate expertise?

poppy123456

Does he currently claim any means tested benefits? If so then you will need to report the changes to those once the money goes into his bank and they will stop. Not all solicitors have benefits knowledge so please do be aware of that.

MW123

@lasw

To confirm a solicitor's qualifications, you can consult with the Law Society or refer to your solicitor's website, which typically outlines their specialised fields. If I were in your situation, I would recommend sending an email before the initial appointment, clearly expressing your intention for the consultation to focus on comprehending the entire impact the inheritance may have on your son's care and benefit payments. This proactive approach ensures that the solicitor is well-prepared, offering the most pertinent and thorough information during your meeting. 

While you may receive advice suggesting a trust fund as the way forward, it could also be determined that it's not the optimal course of action. Your solicitor is there to guide you in the best direction, and I am confident they would only proceed based on your instructions after ensuring you have all the current and relevant information to act in your son's best interests. 

Your concerns are completely valid, and I genuinely hope that as you navigate through these decisions, you find clarity and that everything works out well for you and your son.

 

poppy123456

It would help to know if they are claiming any means tested benefits. Putting the inheritance into a trust fund if this wasn't mentioned in the will could be treated as deprivation of capital and he could still be treated as having that money. If this happen this will mean that means tested benefits would still end.

In my opinion for benefits advice a solicitor isn't needed. You can get that advice from an advice agency and this wouldn't cost you or your son anything. https://advicelocal.uk/welfare-benefits