References
· Where young people/person is written, this relates to children and young people
Title: / Pocket Money, Savings and DLA for Children in placement1 / Purpose
To inform as to issues related to pocket money and savings from young people that are looked after.
2 / Scope
All looked after young people within Family Care Fostering Ltd.
3 / References
· The Children Act 1989 Guidance and Regulation Vol 4
4 / Definitions
Note: Each Local Authority details within the young persons’ Individual Placement Agreement (IPA) the amount of pocket money/savings to be paid to said young person. If the Local Authority amount differs from Family Care Fostering’s pocket money list, then this is to be discussed in the Planning meeting and an agreement is to be made as to which amount is to be paid and then recorded within the minutes of the meeting.
Each Local Authority sets a rate for pocket money for young people that it cares for; there is little or no correlation between Local Authorities – in other words amounts vary. Family Care Fostering sets its own rates which may be higher or lower than some Local Authorities. The Company justifies this on the grounds that it cannot operate to different standards and that monies are spent on young people in addition to their pocket money, magazines, books, sweets etc.
5 / Action
Person Responsible
Pocket Money
5.1 / The amount of pocket money given to each young person is determined by his/her age.
Pocket money is given to the young person each week.
Details of pocket money by age of child may be obtained from the Finance Department at the Business Centre. As and when rates change all Foster Carers will be informed. / Staff
FC
5.2 / A record must be maintained of all pocket money distributed by Foster Carers. This is to be recorded on the young person’s record on Charms under the progress header Pocket Money and Savings – For Use by Foster Carers. This will then be discussed within the Foster Carers supervision with their Supervising Social Worker. / FC
SSW
5.3 / Foster Carers should positively encourage each young person to save a fixed amount of their pocket money. If they are too young to do so then this must be done on their behalf. If they are too young to receive pocket money then this amount should also be saved on their behalf so they can spend this at some point in the future. / FC
Savings
5.4 / No young person should leave Family Care Fostering without some level of savings and this will be discussed and monitored within the Foster Carer’s supervision. / SSW
FC
5.5 / All young people in care should have a savings account which should be set up in the young person’s name by the Foster Carer following the first 2 weeks of a placement being made. The Foster Carer is expected to make savings for the young person as soon as the young person has been in placement for 2 weeks with any savings being kept safely until the savings account has been opened.
If a young person moves placement the savings account MUST be passed to the new Foster Carer. / FC
5.6 / The amount of weekly savings for each young person is determined by his/her age.
5.7 / On discharge, the Savings Account Book/Account details must be given to either the Local Authority Social Worker or young person and signed for. / Staff
FC
5.8 / When spending their pocket money, appropriate advice and assistance should be given to the young person in order to teach them the value of money. A young person’s savings should not be accessed unless this request is made in writing from the young person’s Social Worker. / FC
5.9 / It may be necessary to say “no” to the young person's request to a specific purchase. This demands Foster Carers to use their judgement but the guiding principle is that Foster Carers should act as would a ‘reasonable parent’. / FC
DISABILITY LIVING ALLOWANCE (DLA)
PERSONAL INDEPENDENCE PAYMENT (PIP)
5.10 / The Independent Reviewing Officer will note the existence of a DLA/PIP claim which should be recorded in the young person’s LAC Review together with the DLA/PIP reference number and the location of the written agreement for the expenditure of the allowance.
The LAC Review may record details of the claim, the rate of DLA which a young person is awarded, who is the appointee and the types of activity, support, transport, or items that it is agreed that the DLA will be spent on for that young person.
The young person’s bank statement details should be kept by the Foster Carer. The Supervising Social Workers will be responsible for ensuring that Foster Carers are aware of their duties within the policy.
5.11 / Independent Reviewing Officers will have an overview of DLA claims and its use within individual care plans for children and young people.
5.12 / If a young person starts a new placement with Family Care Fostering, the Planning Meeting must detail the following information:
· The amount of Savings/DLA that is currently accumulated
· The LA’s Guidance on what the DLA can be used for
Agreement on any monetary limits that can be delegated to the Foster Carer. / SSW
6 / Documentation
· Pocket Money and Savings - For Use by Foster Carers
· DLA Guidance notes/questions (See Appendix 1)
This procedure/guidance/policy is reviewed by the Board of Directors or their delegate in consultation with staff, where appropriate, following changes in legislation, good practice guidelines or as is deemed appropriate.
Staff are invited to comment and any recommendations for change/improvement should be in writing to the Senior Admin Officer at the Business Centre who will liaise with the Senior Manager who has authorised release of this document – see control box, front sheet.
POCKET MONEY, SAVINGS AND DLA FOR CHILDREN IN PLACEMENT V1.3 / Page 6APPENDIX 1
Disability Living Allowance (DLA)
Q&A
What is Disability Living Allowance (DLA)?
Disability Living Allowance (DLA) is a Department of Work and Pensions (DWP) benefit available to disabled children who require help with personal care and/or supervision over and above that of other children of the same age because of their illness or disability.
DLA has mobility and a care component. These are considered to be separate components but DLA is a single benefit for which you make only one application. The mobility component has two rates (higher and lower) and the care component has three rates (higher, middle and lower).
A child under 16 cannot make a claim in their own right. A claim must be made on the child's behalf by an adult. Any adult caring for such a child, providing the child is not in hospital or residential care for more than 28 days, can apply for this benefit. This must always be in consultation with the placing authority prior to any application being made when a child is fostered; the foster carer is the most appropriate person to claim the DLA. The Secretary of State will decide who should be appointed to act for the child when a claim for DLA is made. An appointee takes on all the rights and responsibilities of the child. For example, the appointee must notify the Department for Work and Pensions (DWP) about changes in the child's circumstances.
An appointee must be over 18 years old and must normally apply in writing. DLA ceases to be paid to the appointee immediately the child is no longer living with them (except in some specific circumstances). DLA is paid to the child not the carer. Normally if the child is under 16, the carer acts as an appointee. Otherwise the young person, providing they are capable, can have the benefits paid to them direct. It is intended that the money be used to enhance the child’s life so that the child derives maximum benefit from the payment of this benefit.
Please note a Disability Living Allowance (DLA) is different to Personal Independence Payment (PIP) PIP is in respect of an individual with a disability aged 16 to 64
How do I get help to make a claim for DLA?
You must notify the Child’s Social Worker and your Supervising Social Worker as they may be able to support with the evidence. The Social Worker should inform the child’s parents of the application. If a child is in receipt of DLA, prior to becoming a looked after child, the child’s Social Worker should be involved in discussions e.g. the parent should notify the Department of Work and Pensions that the child is no longer in their care and that the Foster Carer will make an application.
To claim DLA for children: call Foster Talk’s Tax and Benefits Team on 01527 836910, they should give you individual advice and guide you through the application’s process. Foster Carers and Supervising Social Workers should log the content of the call fully in their recordings.
The application for DLA or transfer of DLA will be discussed and agreed at the Placement Planning Meeting, subsequent Care Team Meeting or Statutory Review. This must always be in consultation with the placing authority prior to any application being made. This will enable a record of any claim or proposed claim to be included within the Placement Plan or Review Record.
Do I have to set up a separate bank account?
Yes, for payment and management of DLA for children under sixteen a separate bank account is essential. The bank account should be in the carer’s name. Foster Carers caring for children over sixteen will be expected to support the young person to set up a bank account for receipt of their own DLA.
How should the DLA be used?
Where a Foster Carer is an appointee receiving DLA on behalf of a child or young person in their care, the Social Worker and the Supervising Social Worker will seek to support the carer in the appropriate and effective use of DLA. The use of DLA may be used, but is not to be limited to, the following:
• Activities that are costly e.g. horse riding, after school clubs
• Provision of an escort to enable social events to be attended
• Extra helper for an outing or holiday
• Taxi fares for trips out
• Special holiday for the child, which could include covering the foster family’s expenses
• Caravan expenses so that the child can have regular breaks in a familiar place. This must be what the child wants (not solely what the Foster Carer wants)
• Extra support such as child sitting service
• Individual equipment such as computer or communication aids
• Laundry service and appliances
• Replacement clothing where there is excessive wear and tear on clothing
• Additional heating costs
• Additional help with personal care
• Special toys to meet child’s needs – which may be of therapeutic value
• Domestic help to allow carer to spend more time with the child
The way in which a DLA allowance is used will depend upon the circumstances and needs of the individual child.
The DWP is ultimately responsible for monitoring the use of DLA. A carer may wish to contact the DLA general enquiries helpline (0845 712 3456) to clarify situations in which it is appropriate to use the DLA to support a particular activity or purchase.
Is there ever inappropriate use of DLA?
It is intended that the money be used to enhance the child’s life so that the child derives maximum benefit from the payment of DLA; it should be used to support the child’s individual practical and emotional needs, both in the present and in the future. Though caution as to use of the DLA in the child’s later years could result in their or their families’ benefits being affected.
Upon reasonable request and notice, a Foster Carer may be required to evidence to their Supervising Social Worker how they are using DLA on behalf of a child or young person in their care. A Foster Carer’s use of DLA will inform the overall review of their ability to meet the needs of a child or young person in their care and may be a consideration of their continued approval by the Local Authority.
If the Local Authority suspects that DLA is being claimed or used inappropriately and/or fraudulently, the Local Authority could refer the matter to the DWP to investigate as misuse of the benefit is a criminal offence. Misuse of DLA may also, dependent upon the circumstances result in a consideration of a carer’s approval by the NFA and an individual Local Authority may refer the Foster Carers to the respective Local Authority LADO as a safeguarding issue.
Suggestions as to How DLA May be Used
DLA should be spent by the Foster Carer in securing services and/or support to meet the child's additional needs other than those covered by additional fostering payments. DLA is intended to support everyday living. It can be spent on a range of activities and equipment to meet the child's additional needs which may include:
· Replacing clothing, shoes, glasses for instance if excessive wear and tear or destructive behaviour has caused it
· Additional Foster Carer household expenses such as laundry and heating costs where this is directly attributed to the child’s additional needs
· Provision of an escort to enable social events to be attended
· An extra helper for an outing or a holiday
· Taxi fares for trips out (once the transport component of the weekly Foster Carer allowance has been used)
· Extra support such as a childminding service
· Individual equipment such as communication aids, laptop etc