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Inheritance
- DJMH15
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10 months 2 weeks ago #285214 by DJMH15
Inheritance was created by DJMH15
Hello
I am going to be given some money as my mum died and did not have a will so it is auto to me and my siblings. I am on ir esa and pip. I am also moving house.
My question is can I use this money to help me move house. My current home is with documented problems with neighbours which is why moving.
Also, if my ESA is stopped am I then supposed to use any money given to me instead and apply again once it runs out? Do I then use it in same amount as before?
I think I will then be put on uni credit and will lose some of benefit, which is fine, but I will need to budget properly so the money give to me lasts as long as it needs to and doesn’t run out before can claim again.
Will have likely costs to new home, carpet etc
Any help or advice much appreciated
Thankyou
Oh also my sister has said she could put it into a trust instead or something called a variation deed? Not sure where to go for advice and struggle with DWP, thanks
I am going to be given some money as my mum died and did not have a will so it is auto to me and my siblings. I am on ir esa and pip. I am also moving house.
My question is can I use this money to help me move house. My current home is with documented problems with neighbours which is why moving.
Also, if my ESA is stopped am I then supposed to use any money given to me instead and apply again once it runs out? Do I then use it in same amount as before?
I think I will then be put on uni credit and will lose some of benefit, which is fine, but I will need to budget properly so the money give to me lasts as long as it needs to and doesn’t run out before can claim again.
Will have likely costs to new home, carpet etc
Any help or advice much appreciated
Thankyou
Oh also my sister has said she could put it into a trust instead or something called a variation deed? Not sure where to go for advice and struggle with DWP, thanks
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- Gary
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10 months 2 weeks ago #285241 by Gary
Nothing on this board constitutes legal advice - always consult a professional about specific problems
Replied by Gary on topic Inheritance
Hi DJMH15
We cannot give you financial advice, we would advise you to seek advice from your local Welfare Rights Organisation; advicelocal.uk .
What we can say to you is that if your inheritance is over £16k then your means tested benefits will stop.
When you purchase any large items make sure you keep any receipts,so that you can show what you spent your money on, once your savings go below £16k you can then re-apply, yes you are correct, you will not be able to apply for IR ESA, you will have to apply for UC and WCA if eligible.
I know absolutely nothing about Trusts and variation deeds, so make sure you are happy with the advice you receive, I would always advise to get 2 or 3 quotes before you make any decision and talk it over with family members, if it sounds too good to be true, ...... be warned.
Gary
We cannot give you financial advice, we would advise you to seek advice from your local Welfare Rights Organisation; advicelocal.uk .
What we can say to you is that if your inheritance is over £16k then your means tested benefits will stop.
When you purchase any large items make sure you keep any receipts,so that you can show what you spent your money on, once your savings go below £16k you can then re-apply, yes you are correct, you will not be able to apply for IR ESA, you will have to apply for UC and WCA if eligible.
I know absolutely nothing about Trusts and variation deeds, so make sure you are happy with the advice you receive, I would always advise to get 2 or 3 quotes before you make any decision and talk it over with family members, if it sounds too good to be true, ...... be warned.
Gary
Nothing on this board constitutes legal advice - always consult a professional about specific problems
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- denby
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10 months 2 weeks ago #285250 by denby
Replied by denby on topic Inheritance
Hi DJMH15, I believe your sister may be correct, if, if, it can be done after the death by Deed of Variation.
If you get PIP it may be possible to class you as 'vulnerable,' as was done for a younger adult relative of ours. This enables a trust to be set up, so that the beneficiary cannot directly access the money. This means they are not counted by DWP as owning the money, as they don't own it, the trust does. The money has to be taken out and passed to the beneficiary by the Trustee/s as they see fit.
You would need to get quotes from solicitors for setting up one of these, there is info on .gov about them, discretionary trusts if I remember rightly.
Hope this is some help
If you get PIP it may be possible to class you as 'vulnerable,' as was done for a younger adult relative of ours. This enables a trust to be set up, so that the beneficiary cannot directly access the money. This means they are not counted by DWP as owning the money, as they don't own it, the trust does. The money has to be taken out and passed to the beneficiary by the Trustee/s as they see fit.
You would need to get quotes from solicitors for setting up one of these, there is info on .gov about them, discretionary trusts if I remember rightly.
Hope this is some help
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- David
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10 months 2 weeks ago #285252 by David
Nothing on this board constitutes legal advice - always consult a professional about specific problems
Replied by David on topic Inheritance
Deed of variation won't work in this context. See following DWP guidance and link.
H1175 Pending the completion of the administration, a benefciary without a specifc bequest (a
residuary benefciary) has valuable rights in the form of a chose in action (see H1036). This can be valued
(H1643) and should be taken into account as actual capital. If the residuary benefciary gives away his
interest by a deed of variation before administration is complete then this may amount to deprivation
and the DM should consider H1815 et seq.
assets.publishing.service.gov.uk/media/6...00127faae7/admh1.pdf
H1175 Pending the completion of the administration, a benefciary without a specifc bequest (a
residuary benefciary) has valuable rights in the form of a chose in action (see H1036). This can be valued
(H1643) and should be taken into account as actual capital. If the residuary benefciary gives away his
interest by a deed of variation before administration is complete then this may amount to deprivation
and the DM should consider H1815 et seq.
assets.publishing.service.gov.uk/media/6...00127faae7/admh1.pdf
Nothing on this board constitutes legal advice - always consult a professional about specific problems
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- dancer22
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10 months 2 weeks ago #285255 by dancer22
Replied by dancer22 on topic Inheritance
A variation deed is used to invent or change a will after someone dies - all inheritors must agree. Discretionary Trust = your share would be held in a Trust and controlled by your sister. You would have access to the money via your sister if it complies with the rules of the Trust, but it's not 'your' money. However setting this up after the death may be challenged as a device to avoid DWP means testing and keep the income related benefits. There is also a lot of admin involved with the Trust, your sister would need to submit tax returns for the Trust for example. It is not something to do without really good legal advice. Look up 'Trusts for Disabled People' .
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