Deputyship case study

How to cope when your life changes dramatically

We helped a wife deal with the implications of her husband’s serious illness, after she was appointed his Deputy by the Court.

“Woodruff Financial Planning communicates well and explains complicated matters easily to the average person. Your honest and trustworthy manner gives me confidence that I am speaking to the right people about my financial goals.”

Angela Low, Investment Management client

Background

An existing client developed a serious debilitating illness which meant that he would no longer be able to manage his own affairs. He had not set up a Power of Attorney so the Court of Protection stepped in to appoint his wife as his Deputy.

She needed to manage their income situation within the constraints set by the Court and to determine whether this change in their circumstances would impact on their future financial security.

Problems/Challenges

Proving probity with the Court

The wife had to show that she was taking into consideration the needs of her husband as she was now appointed to manage his affairs.

Income

Initially their main problem was one of income since the Court prevented the wife from using the husband’s assets. They needed to re-assess their expenditure to find ways to address this situation.

Taking control

Previously the husband had handled all the family finances which meant that the wife had only a limited knowledge of their existing provisions. We needed to work with her to understand the implications of the changes to their lifestyle, and also to help her to take control of their future financial direction.

Care fees

Since the husband’s illness was progressive, they needed to plan for the impact of future care fees.

Our approach

Calculated how much they needed

We showed her the amount needed to secure their desired future lifestyle. They had enough money to fund their future needs even with the costs of care.

Easy to understand position

Their plan meant they could easily understand their options. This allowed us to explore ways that they could improve their position.

Investment plan

We created an investment plan to generate a flexible income to fund their future in a tax efficient way, whilst taking the least risk necessary to achieve this.

Outcomes and Impact

Proof to the Court

Our advice and reports were taken as proof that the wife had acted in the best interests of her husband in the choices she made with his assets.

A secure future

The clients were able to feel secure in their financial future at a very difficult personal time.

Taking decisions

We helped them to make important decisions about their future income and their potential financial needs.

Secure investments

We arranged low risk investments so that they could achieve income with flexibility to withdraw money should their situation change.

Continuing Support

Each year we revise their financial plan so that we can react to any changes and re-assess whether they remain on target to meet their long-term goal of security.

We also examine their investment portfolio and aim to keep it on track towards its goals while taking the least risk needed to do so.