Basically, my father-in-law's mother died, so my wife's grandmother. She left everything to her sons, when split, leaves him about £46,000. Now, he's on benefits, doesn't work because he has serious mental health issues, anxiety disorder, agoraphobia to name a few. He doesn't want the money, and wants to pass it on to my wife and her two brothers, split between them. Now, he's been told by the DWP that he has to take the money, or he'll be be kicked off all of his benefits for failing to acquire help. But if he keeps the money, he has to legally come off of Benefits anyway. He doesn't get a pass to keep it, he has a keep a log of how he's spent the money, and has to spend it as though he's on benefits anyway. If they think he's been too haphazard with it, he won't be let back on. Only exceptions are things like broken appliances. I don't know if anyone has a law degree or anything like that, but is there any loophole in which he can pass on the money and keep his benefits? No matter which way, he's basically screwed. This is a UK question, since I'm aware laws on inheritance are probably different abroad.
Whatever the answer is now, it may be different tomorrow morning! Can't offer any advice, but it is shocking that the system can put someone in that position... Hope you find a solution dude.
I'm hoping we find a solution. He's got a serious anxiety disorder and this is making him more nervous and bent out of shape than I've seen him in the 9 years i've been with my wife. Problem is that no matter who wins, it's not like all the laws change in one day. The situation will still be the same, because he's already taking more time than they allowed and all of his family are bugging him because they want their money.
You can only have £6k. Any more than that and your benefits start to reduce. IIRC it's £16k before they stop them completely. My advice is not going to be what you want to hear but basically he is going to have to come off of benefits, use the money "appropriately" and then when it's gone prove it and go back on benefits. It's a complete arse believe me. And he will need proof and the DWP will want every last receipt and bill of sale etc. You also need to show them that you spent it "responsibly" or they will not give you any cash. My wife and I are both on ESA support group. We've both been deemed unfit for work (me through being "a liability" as my job centre put it and my wife because she had a pretty bad stroke and wanders all over the place). She sold her house that she was living in and IIRC we had about £16k. We had to declare it. Then we moved into a new place and had to completely furnish it from the ground up. Bed, cabinets, cupboards, TV etc etc. After we were done all of that we had to send receipts (real or printed) off to the DWP to be assessed. They asked a few questions about the bicycle my wife bought me and the TV but other than that it was OK. We now keep less than £6k in our savings account, *but* we've just literally been reassessed and had to send them in all sorts of bank statements, declarations etc. The only way that he could have gotten around it was by asking the person who left it to him to change the will. Now that it's done? I don't think you can do much. This is why basically over the past couple of months I have been in talks with my mother, brother, sister in law and wife and basically my mother is leaving the lot to my bro who is then going to buy a flat for me to live in for the rest of my life rent free. If anything happens to him it will be left to me and I will deal with that hurdle if and when. But a lot like your father in law I would be totally f****d if I got left a large sum of money.
As above, but the crux of the matter is that its not considered fair to give away thousands of pounds so that the taxpayer has to support you instead. Don't misunderstand me, I realise it's a bit of a kick in the balls, but it's as fair as it can be.
You''l have to say the specifics of the benefits he's on because for example DLA/PIP is a universal benefit. Oh and just a point passing on money is tax free from parents. There is a book published (about the size of the king James bible) by the gov't on benefits rules i think.
