Care Home Top-Up Fees: Can I Pay Them Myself?

Choosing a care home can feel like navigating a maze, and one of the trickiest questions that pops up is often about top-up fees. You might be wondering, “Okay, the local council is going to help with the costs, but what if I want a nicer room or a home that just feels like a better fit? Can I pay extra to make that happen?” The good news is, yes, under the right circumstances, you usually can. Let’s break down how top-up fees work in the UK, so you know where you stand.

What Are Care Home Top-Up Fees, Exactly?

Simply put, a top-up fee is an extra payment you make on top of what the local council is contributing towards your care home costs. Think of it as bridging the gap between the council’s standard rate and the actual cost of the care home or room you’ve chosen.

To illustrate: imagine the local council agrees to pay £600 a week towards your care, but the home you’ve fallen in love with charges £750 a week. A top-up payment of £150 per week would be needed to cover the extra. It’s not a hidden charge; it’s just a way to help cover the costs of a higher-priced option.

Why Might You Even Need to Think About Top-Up Fees?

There are all sorts of good reasons why you might find yourself needing to consider paying a top-up fee. It’s not about wanting something extravagant, it’s about finding a place that’s right for you, and this can sometimes mean a more expensive option.

• Preferred Location or Facilities: Maybe you want a care home closer to family or with better facilities that aren’t available within the council’s standard budget.
• En-Suite Rooms: Many people value the privacy and convenience of an en-suite bathroom, which can increase costs compared to rooms with shared facilities.
• Premium Rooms: It might be that you prefer a larger room, or a room with a lovely view or access to the garden – these often come with a higher price tag.
• High-Demand Homes: Some homes are popular due to their great reputation, location, or special services, and this can mean higher fees.

So, Who Actually Gets to Pay a Top-Up Fee?

Generally, yes, you can pay your own top-up fees. Whether you have savings, a pension, or other assets, this can be an option. However, there are some factors that decide if this is the case, so it’s important to take a good look at them:

• Self-Funders: If you are paying for your care home completely out of your own pocket (known as being a self-funder), you usually don’t need to worry about top-up fees. You’re in charge and can choose any home you like, paying the full rate.
• Council-Funded Residents: If your local council is contributing towards your care, and you have chosen a home that costs more than the council is willing to pay, you (or someone on your behalf) will usually be able to pay a top-up fee to cover the difference.
• Third-Party Top-Ups: If for whatever reason you are unable to pay for a top-up yourself, it is possible for someone else, like a family member or friend, to pay the top-up fee on your behalf, as long as the agreement is in line with local authority guidelines.

The Rules and What You Need to Know

There are some really important rules and guidelines in place to protect everyone involved, so it’s important to get to grips with them:

• Transparency: Care homes must be upfront about their fees and any top-up payments required. There should be no hidden surprises or unexpected costs.
• Written Agreements: Any top-up fee agreement must be in writing. It needs to clearly state the amount, what the fee covers, and how you’ll pay it. No handshake deals here!
• Council Confirmation: The care home has to get confirmation from your local council regarding the amount of their contribution, before asking you for any top-up payments.
• Voluntary: Top-up payments have to be voluntary. A care home is not allowed to force you to pay a top-up or make it a requirement for you to move in. You shouldn’t feel pressured.
• Financial Check: The council might need to check that the person paying the top-up can afford to do so without facing financial problems themselves. This is to make sure everyone stays secure. You can read more on the Care Act 2014 for further information on this.

When Can’t You Pay Your Own Top-Up Fees?

It’s important to know that sometimes, paying a top-up fee simply isn’t allowed, these are:

• Local Authority Cannot Ask You To: A local authority cannot lawfully ask you to pay top-up fees for a care home they have nominated as suitable to meet your assessed needs. If the local authority has said they can meet your assessed needs in a home that costs more than they are willing to pay, neither you, nor a third party, are able to pay a top-up. It is the local authorities responsibility to pay for the care.
• If there are no other options: If a care home is the only appropriate option available in your local area to meet your assessed needs, and that home is more expensive than the local authority is willing to pay, you are also not able to pay any extra top-up on top of the councils funding, as the local authority must meet the needs at a cost they are willing to fund.
• If the local authority is not paying their standard rate: If a care home you have selected has an increased cost due to facilities you have chosen (such as an en-suite), it is vital to make sure that you are paying only the difference between your standard funding rate and the cost of the care home. The local authority is obliged to meet your assessed needs at a rate they agree to fund.

What if Someone Else is Helping Out with a Third Party Top Up?

It’s not uncommon for family or friends to step in and offer to help a loved one with the costs by paying a top-up fee. This is allowed, but there are a few things to think about:

• Commitment: Whoever is paying the top-up fee needs to understand that this is a long-term commitment. Care home costs can be ongoing, so think about the impact on your finances in the long term.
• Written Agreement: Just like with you, there must be a written agreement between the third party who is paying, and the care home, setting out what is covered and how payment will be made.
• Financial Stability: The care home will likely want to check that the third party can afford to make the payments over time, and that it is a sustainable option for them.
• Impact: Consider the impact this may have on family dynamics, and ensure that everyone is in agreement about this decision.

How to Navigate Top-Up Fees Smoothly

Assess Your Needs

Start by working out exactly what’s important to you in terms of your care, location, facilities, and what you’re looking for in a care home.

Get a Needs Assessment

If you need help from the council, make sure to get your care needs assessed first, so you know what kind of support you’re entitled to before looking at care homes.

Research Homes

Check out care homes in your local area, or any area you prefer, and make sure they can meet all the needs of the person you are seeking care for.

Discuss Fees

Talk to the homes and get a good understanding of what their basic fees are, how they are calculated, and what will be covered.

Explore Funding

Discuss with the local authority what they are willing to contribute, and if third-party payments are needed. Make sure all agreements are clear and in writing before you sign anything.

Double-Check Everything

Always take your time to read all the agreements carefully and make sure you understand the costs before you sign on the dotted line.

Key Takeaways

• Top-up fees are a way to choose a care home or room that might be a bit more expensive than what the local council is willing to pay.
• Often, you can pay for your own top-up fees from your own funds, like savings, or pensions.
• Friends and family can also pay top-up fees if they want to support a loved one.
• All agreements around top-up fees should be clear and in writing, with absolutely no pressure from the care home.
• It’s a really good idea to take time to look at all of your financial options and talk to an independent advisor if you need extra help. You can also find useful advice on the MoneyHelper website.
• Remember, that local authorities may be obligated to fully pay your care home fees if there are no other suitable options at their standard rate, and if this is the case you are not allowed to pay top-up fees.
• Be careful if a local authority try to ask you for top-up payments for a care home they have chosen and nominated to meet your needs, this is unlawful.

What Now? Making a Good Decision

Understanding top-up fees is a really important part of picking the right care home. The best thing to do is be proactive, take the time to be fully informed, and you can ensure you (or your loved one) can access the best possible care in the right setting.

Need some more advice?

If you’d like to talk about your care needs and how Lidder Care can help you discover the most suitable home care option for you or your loved one, please reach out to our friendly team today. We are here to assist you with tailored advice, and to make sure you find the right care option for your needs. We look forward to hearing from you.