How much people pay for care services

To work out how much people should pay towards their care costs, we use a financial assessment (means test).

The amount a person must pay each week is based on two calculations:

  • Assessed income
  • Contribution amount

Calculating assessed income

We look at your total income but ignore any earnings from employment. We take away:

  • an amount equal to the value of Income Support/Guaranteed Credit, plus 25% of this amount.
  • Disability Living Allowance (mobility component)
  • standard weekly disability related expenditure allowance (£24.16)
  • We exclude 10% of the remaining income.

The amount that is left is your assessed income. We use this amount to calculate how much you should contribute.

Contribution amount

To work out your assessed contribution amount, we add up:

  • the number of care hours that you receive at the relevant contribution rate per hour
  • the number of days that you attend day services at the contribution rate per day

The total is your contribution amount and the lower of these two calculations will be your assessed contribution. This will be the amount you are asked to pay towards your care costs.

Example scenario

Dorothy is 67 and her weekly income is £310. We take away:

  • £184.44 Pension Credit Guarantee plus 25%
  • £24.16 Standard weekly allowance for disability costs
  • £20.52 Savings credit
  • £26.85 Night Care element of Attendance Allowance

This leaves a total assessable income of £53.03.

Dorothy's maximum weekly contribution is calculated on 90% of her total assessable income which is £47.73.

Dorothy will not be asked to contribute any more than this towards the cost of her care while her income remains at this level.

BETTER PERSONAS ARE NEEDED TO GIVE MORE EXAMPLES OF CIRCUMSTANCES. e.g Dorothy, 92, pensions, benefits, no savings

Grace, 69, pensions, benefits and £20,000 savings.... and include actual information on how much care costs i.e. day centres, transport, ?