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Care and Support Charging and Financial Assessment Framework

18. Annex A

Working out your charge 

How we work out your weekly charge

There are 5 steps. When the CFO meets you, they will explain all of this, and give you the chance to ask questions.

Step 1. We work out your weekly income

This includes:

  • Most state benefits, including Personal Independence Payment (PIP), Attendance Allowance and Disability Living Allowance (care component)
  • Carers Allowance
  • Retirement pensions
  • Any applicable charge on your savings – see above

But this does not include:

  • Earnings from paid work
  • Disability Living Allowance (mobility component)
  • Child Tax Credit
  • Disabled Person’s Tax Credit
  • Pension Credit - Savings Credit element

Step 2. We then work out your allowances, money that you keep to make sure you have enough to live on

There are 4 separate allowances:

  1. The Government has set standard allowances for your general living expenses. For example, if you have reached qualifying pension age, this is £214.35 a week.  
  2. Housing costs you pay. This will be your rent or mortgage interest costs that are not covered by Housing Benefit and Council Tax costs that are not covered by Council Tax Support.  
  3. Extra costs that relate to any disability you may have (only for people not in a care home). For example, you may have higher dietary costs. This is called your Disability Related Expenditure or DRE. We will include the costs of:
    • Telecare equipment including a community alarm
    • Privately Arranged Domestic Help 
    • Special Diet
    • Special Clothing or Footwear
    • Additional Laundry Costs 
    • Additional Wear & Tear of Clothing, Footwear or Bedding
    • Additional Heating (taking into account receipt of the Winter Fuel Payment) 
    • Maintenance or Repair of Equipment
  4. If you receive the higher rate of Attendance Allowance/Personal Independent Payment (PIP) or Disability Living Allowance (care component), and Bath and North East Somerset Council does not pay for any care at night for you, we will take away £33.65 from your income total. This is the difference between higher and lower rates of these benefits. This is because you are given this extra allowance specifically to pay for care at night.

Step 3. To work out what you pay each week

To work out what you pay each week, we add up your total income from step 1 and take away the eligible allowances from step 2 to give us your “assessable income”. 

Step 4. We then compare this assessable income with the total weekly cost for the service/s you are receiving, or the amount of your personal budget

You will pay the lower of the 2 amounts.

For example:

  • Your assessable income charge is £40 a week
  • You receive two hours of care a week that costs a total £32 per week
  • £32 is less than £40 so you would only pay the lower charge of £32

In this example it has been calculated that you would be a self-funder (being able to pay the full cost of the care and support you receive) and would have to make your own arrangements for your care. The Social Worker can help you to make arrangements if you would like.  

If you receive 5 hours of care a week, at a total cost of £84 per week you only pay your calculated charge, in this example £40.

Step 5. The care charge that we have worked out is a fixed weekly one

If you have less or more care hours for a short time, your weekly charge will stay the same. If you feel that you are at a disadvantage by this, please contact your Social Worker. If there is a permanent change to the number of care hours, the amount that you are asked to pay may change.

If you have more than one community service, for example, homecare and day care, the weekly charge that we work out will be the most you can pay for all of these services together.

Financial Assessment Allowances 2024-2025
  Level of ‘Minimum Income Guarantee’ for a Service User who is single (or living alone) Level of ‘Minimum Income Guarantee’ for a Service User living with a partner
Age 18 to 24, up to qualifying age for Pension Credit £136.45 per week £121.45 per week
Age 18 to 24, up to qualifying age for Pension Credit and qualifying for Enhanced Disability Premium £160.30 per week £138.80 per week
Age 25 or over, up to qualifying age for Pension Credit £159.40 per week £121.65 per week
Age 25 or over, up to qualifying age for Pension Credit and qualifying for Enhanced Disability Premium £183.25 per week £138.80 per week
Reached or over qualifying age for Pension Credit £228.70 per week £174.60 per week
Eligible for Carer Premium  An additional £52.35 per week
Responsible for a child, and a member of the same household as that child  An additional £101.25 per week
Statutory Personal Expense Allowance (in a Care Home) £30.15 per week
Maximum Savings Disregard92 (in a Care Home if aged over 65 + and qualifies for savings disregard) £6.95 per week
Disposable Income Allowance (Deferred Payment in place) Up to £144.00 per week
  • 92Savings Disregard is calculated on an individual basis in accordance with the Care and Support (Assessment of Resources) Regulations) The maximum amount is shown here for information only.