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Financial assessment: Your payment towards care

The financial assessment will work out how much you need to pay towards your nursing home care.

The amount you pay towards your nursing home fees depends on your:

  • income (money you receive on a regular basis)
  • assets (savings, investments and property)

If you have little income and assets, you pay less. If you have more, you pay more.

You must provide proof of income, assets and expenses with your application. For example:

  • bank statements
  • pension statements
  • proof of social welfare payments
  • a valuation of your property

A full list of documents you need to send can be found on page 15 pf the nursing home loan application form (PDF, 16 pages, 1.78MB).

The amount your nursing home charges does not matter. Your contribution will stay the same and we will pay the balance.

If you own assets such as property or land, 7.5% (3.75% if you are part of a couple) of their value will go towards the cost of your care each year.

How much you will need to pay

You will pay 80% (40% if you are part of a couple) based on your assessable income.

Assessable income is your total income minus allowable deductions. Income is any money you receive on a regular basis.

You will also pay 7.5% (3.75% if you are part of a couple) of your assets such as land or property. The first €36,000 (€72,000 if you are part of a couple) of your assets is excluded from the assessment.

If your assets include your land and property, you can defer paying the 7.5% contribution based on this by applying for an optional nursing home loan.

You can request another financial review 12 months after your first assessment or your last review. However, the HSE may review a financial assessment at any stage.

You must tell the Nursing Homes Support Scheme Office about any sale. You must do this within 10 working days of the sale. This is so we can carry out a new assessment of the amount you pay.

Income, assets and deductions

Income, assets and deductions

You will need to tell us about regular income and any property you own. If we don’t have all this information your application will be delayed.

Income

We look at both you and your partner’s income. This includes:

  • earnings
  • pension
  • social welfare benefits and allowances
  • rental income
  • income from holding an office or directorship
  • income from fees, commissions, dividends or interest
  • income you deprived yourself of in the 5 years before your application

The assessment won't include your relatives' or children's income. It will include your partner's income.

Assets

Assets include, but are not limited to, property, investments, money loaned to another person (which is repayable) and cash. This includes assets outside Ireland.

Two types of assets are considered:

  • cash assets
  • non-cash assets

Cash assets include:

  • savings and deposits including those with banks, credit unions or post offices
  • stocks, shares, bonds, securities and other financial instruments, such as approved retirement funds
  • approved retirement funds (value of fund at date of application)
  • money loaned by you to another person
  • cash assets transferred to another person

Non-cash assets include:

  • your home, if you own or part-own it
  • any property you own
  • any land you own
  • farms
  • businesses
  • overseas land and property
  • transferred property

Transferred Assets

The financial assessment includes any assets you have transferred:

  • in the 5 years before the date of your first application
  • on or after the date of your first application

If you have given any land, property or money to another person in the last 5 years, you will need to tell us. You will also need to tell us if you transfer any property, money or land after you make an application.

Deductions

Deductions you can subtract during the financial assessment:

  • Income tax, PAYE, Universal Social Charge and PRSI.
  • Health expenses (GP visits, prescription charges, medicines and medical expenses after tax refund).
  • Maintenance payments to other people.
  • Interest on loans on your home.
  • Levies required by law to pay such as property tax.
  • A dependent child in full-time education.
  • Qualifying redress schemes.
  • loans for buying, repairing or improving an asset.

Qualifying redress schemes

You can deduct any redress received as part of:

  • Redress for Women in Certain Institutions Act 2015
  • Health Repayments Scheme Act 2006
  • The Lourdes Hospital Redress Scheme 2007
  • The Lourdes Hospital Payment Scheme
  • The Surgical Symphysiotomy ex-gratia scheme
  • payments made under the Conterganstiftung fur behinderte Menschen in respect of a disability caused to that person by Thalidomide

Maximum prices

The National Treatment Fund has agreed on maximum prices with all registered nursing home. You can see the maximum prices of approved nursing homes here (this is not the amount you will pay):

Three-year cap

A person will contribute 7.5% of the value of certain assets each year towards the cost of your care.

Some of these assets will only be included in the financial assessment for 3 years while in care. This is known as the 3-year cap.

Read more about the 3-year cap

Couples and the financial assessment

If you have a spouse or partner, the financial assessment will look at both your incomes and assets.

A couple is:

  • a married couple
  • an opposite or same-sex couple who are living together as life partners for at least 3 years

When you are part of a couple applying for Fair Deal, half of the couple's total income will be assessed.

For example:

If a couple’s income is €600 per week, the assessment of the person needing care would be based on 50% of €600, or €300. In other words, we would consider the person needing care to have a total income of €300 per week.

Couples and applying for a nursing home loan

All of the couple's assets are assessed. Both partners are required to sign the application form if applying for a nursing home loan.

If either partner has reduced capacity to make decisions the other partner will need to be either a:

  • care representative (a person appointed by Circuit Court)
  • Ward of Court (a person appointed by Office of Ward of Courts)
  • a holder of a registered enduring power of attorney (chosen to act on behalf of another person)

A registered enduring power of attorney needs to be in place before the applicant becomes unable to make decisions.

Find out more about power of attorney and enduring power of attorney

Reassess your payment

You can ask to reassess the payment amount every 12 months.

page last reviewed: 12/11/2018
next review due: 12/11/2021