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Why are there two care funding support thresholds in England?

The upper threshold is £23,250 and those with assessable assets above this level, are deemed to be self-funding and are not eligible for funding support from the local authority.

Those with assets below this figure, but above the lower support threshold of £14,250, are expected to make a contribution towards their care costs from their capital. The level of this contribution is known as tariff income and is calculated at £1 per week for every £250 of savings between the two thresholds.

Those with savings below the lower support threshold of £14,250 are not expected to make any contribution from their savings, towards the cost of their care.

It should be remembered that these thresholds only apply to capital and savings. Income is subject to a different assessment process and so someone who has savings of less that £14,250 could be ineligible for local authority support because of their income.


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